The advertising cost calculator is what you need before jumping into online advertising campaign of any sought. Unfortunately, many business owners and companies struggle with it. Using this free online CPM (Cost Per Mille) calculator to calculate advertiser costs, cost per 1,000 impressions (CPM).
Formula:
Advertiser Cost = CPM x (Impressions / 1000)
where,CPM - cost per mille,
Impressions - Number of times an advertisement is displayed
In addition, when calculating advertising cost, one must take into consideration the following.
The projected budget for the Advertising
The expected CPC and CPM costs e.g ($2 per CPC and $5 per CPM)
The targeted conversion rate of the advertising campaign
The average sale price of products and how each customer worth
The conversion rate (What percentage of those customers will be converted)