With CPM (cost per mille) you pay for impressions, priced per 1,000 views. With CPC (cost per click) you pay only when someone clicks your ad.
Which one applies to my campaign?
You don't pick CPM or CPC separately. Each ad format comes with its own pricing model:
| Pricing | Ad formats |
|---|---|
| CPM | Pop-under V2, Display, Native, Video |
| CPC | Push Notification, ChatGPT, Google Search, Microsoft Search, Facebook, Instagram, Google Display, Google Demand Gen, Google PMax |
On Google Demand Gen and Google PMax you still pay per click, but Google sets the bids within your budget, so there's no CPC to enter.
When CPM makes sense
- You want reach and visibility at a low price per view.
- The format is built on views, like a pop-under that opens a full page of your site.
- You track results yourself and want to buy volume, then cut placements that don't convert.
When CPC makes sense
- You only want to pay for visitors who actually clicked.
- You're running search, social or push ads, where the click is the action that matters.
Care about clicks on a CPM format? You can set a Bidding Goal of Target CPC or Target CPA. You're still billed per impression, but bids are steered toward the cost per result you want. See Bidding Goals: CPA and CPC explained.
Related: Which ad format should I choose? and How does billing work for CPM and CPC campaigns?