What is cost per impression (CPM) in Google AdWords?

Cost per impression (CPM) in Google AdWords is what you pay for 1000 placements of your Google Ads. CPM bidding is distinct from cost per click (CPC) bidding in that you pay for your ad placements regardless of whether you receive ad clicks.

The two most common bidding options offered by Google AdWords are cost per impression (CPM) and cost per click (CPC). With CPM bidding, you set a maximum bid (CPM) that you’re willing to pay for every 1000 placements of your ad on Google. Unlike CPC bidding, in which you pay only when your ad is clicked, CPM bidding requires you to pay whenever your ad runs, regardless of whether it is clicked.

You might wonder why you would ever choose to pay for ad impressions that don’t generate clicks. The answer is, CPM bidding is best when you’re just looking for ad visibility and not concerned about clicks or immediate conversions. Yet, for most products and services sold on the internet, CPC bidding is the choice option.

See: What makes people instantly click Google Ads now?