The formula for finding CPM is an important calculation in media planning. To find the Cost Per Rating Point (CPP) from Cost Per Thousand (CPM) in media planning, we first need to understand their definitions. CPP refers to the cost of reaching one rating point, and the American Marketing Association defines it as a means of comparing the cost efficiency of different radio or television media options. CPM, on the other hand, enables media planners to compare media based on audience and cost, serving as a comparative tool. Use our free CPM calculator tool as a resource when planning your media campaigns.
Cost per thousand for a broadcast schedule can be determined from the cost per target audience rating point (abbreviated cost per point or CPP).
Find CPM from CPP
CPM = ((CPP x 100)/Population) / 1000
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