CPM (cost per mille, i.e. per thousand impressions) is the standard way video advertising is priced. An AVOD or FAST service's ad revenue is essentially impressions x CPM x fill rate, so CPM is one of the three levers that determine whether ad-supported economics work.
CPMs vary enormously by content quality, audience targeting, device (connected-TV CPMs are typically much higher than mobile web), geography, and ad format. Premium, well-targeted, brand-safe inventory commands higher CPMs, which is why measurement, targeting data, and viewability matter: they directly raise the price advertisers will pay per thousand views.
The handbook · 7 volumes
Fora Soft Video Engineering Handbook
CPM is one of three levers, with impressions and fill rate, that decide whether an ad-supported service pays for itself. The seven volumes cover the video stack; for CPM economics start with Volume 3 on players and the economics of streaming, then Volume 1 on encoding cost, with packaging and delivery in Volume 2. Written by Nikolay Sapunov, CEO at Fora Soft.
Modeling AVOD or FAST revenue and unsure what CPM it needs to break even?
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