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Out-of-the-box ABM

Extend your marketing mix outside the "Facebook/Adwords" box

3 min read

All CPM is Not Equal (Your Target Audience PLACE Matters More)

Cost per Mille (CPM), also called Cost per thousand, is the most common method in digital marketing for pricing web advertisements. Different factors can influence the effectiveness and success of CPM rates, including location, date and time, and users' device types. These aspects enable you to know more about a prospect, helping you plan effective ads. 

Location is a critical component influencing how potential clients interact with your website and advertisements. Certain locations and times generate higher CPMs due to the activity undertaken by the prospect matching your ads. Therefore, it is vital to ascertain that your target audience is at a location to ensure you can create and deliver a suitable and impactful marketing campaign.

If you get your target audience's present location right, you can tailor your advertisements to capture the visitors' attention. The more likely your advertisement is to capture a user's focus, the higher your CPM. Nevertheless, you want to moderate the ads and not let the promotions dominate your page since less is more.

How Does Place Affect CPM?

Learning how location can influence Cost per Mille performance is critical to understanding why your target audience present at a location matters. Different areas have different demographics and needs that impact how potential clients interact with your ads. Location features five primary elements that can help you determine the right audience to target based on their presence in a particular area. These elements also affect pricing, delivering varying CPM costs at various locations. They include:


The Cost per Mille, on average, typically corresponds somewhat closely with a country’s GDP where you serve your content. Advertisers are less likely to bid for impressions in areas with lower consumer spending power. Therefore, you can avoid potentially expensive losses advertising to a group unable to afford your products when you know your target audience’s presence at a low-income location. Alternately, you can customize your ads for middle-income areas and high-end spots to include affordable and luxurious items.


Generally, many English-speaking countries produce higher CPM rates compared to other languages. The increased rate may result from English being the standard language commonly used by multiple nations worldwide, including locations where it is not native. This wide geographical reach means many people can understand an ad posted in English, leading to more impressions.

On the other hand, your target audience can be present in an area dominated by a foreign language, such as a Spanish-dominated community. In such a case, you can create a Spanish-language version of your site to increase Spanish visitors and impressions. The translation incurs additional costs, and thus you want to weigh between shifting your target audience to another English-speaking zone and targeting the Spanish audience.

Date and Time

You typically schedule your online ads to run at a specific date and time. Additionally, you carefully select the predetermined periods that offer the most impact on CPMs. It is an essential consideration, especially if your business operates across multiple states or globally. Multi-state or international ads need to account for regional time differences, allowing you to know the best time to get your target audience's eyes on your ads.

For instance, if your prospect is staying in London, you do not want to post Thanksgiving promotions since the country does not celebrate the event. Likewise, you can advertise vacation products like strappy sandals for a user residing at a resort on one of the sandy beaches in Indonesia.

You also need to think about the date and time when operating locally, helping you boost CPM rates. For instance, you can identify your target audience at an airport and promote ads concerning travel and hospitality. If you determine that your prospects are in a mall, you can promote different products via onsite QR codes in line with the item types available at that shopping center. You can use local activity patterns such as the busiest shopping hours to ensure you get your ad timing right.

User Device Types

Even though nearly half of the global population uses smartphones, businesses still achieve higher CPMs via desktops. Mobile phones overtook desktops regarding traffic but remain behind PCs in conversion rates. Nonetheless, mobile devices can considerably influence CPMs. Thus, learning your target audience's mobile details is necessary, including the model, manufacturer, and operating system.

Marketers can bid more for Apple impressions since Apple products are generally more expensive than Android devices. A more expensive phone increases the likelihood of a potential customer having disposable income. In addition, some online items may be available only on certain devices, meaning you have to pay more for CPM services to reach that audience.

You can connect the device to your prospects' present location to offer appropriate advertisements to deliver interest and positive responses. For example, you can identify a user with the latest iOS system and living in a high-end suburb and promote luxurious items on your ads.

Level of Technological Advancement

The CPM rates can vary depending on the level of advancement of the digital advertising industry. An area with a developed online marketing industry already has an existing market and opens doors to other untapped prospects. In this case, knowing potential clients' locations can help you know how advanced their area is. In addition, you can use this information to modify some marketing strategies to address any potential roadblocks.

For instance, if your target audience stays in the countryside surrounded by major cities, you can customize your ads to feature products suitable for the countryside lifestyle. You can place Wellington boots in such ads rather than pavement-friendly sneakers. Likewise, you can show stylish dress shoes if your target audience lives and works in a city.

Understanding that not all CPM is equal allows you to adjust your marketing strategy accordingly to ensure your ads reach the right audience. The factors above help you know the different location elements that influence pricing and create different CPM rates. Additionally, your target audience’s presence in or at a location matters since you can personalize the promotion to cater to its needs. This customization enables you to increase your overall CPMs and identify high-value prospects for high-value CPMs.