What does oCPM stand for in digital advertising?

The abbreviation oCPM stands for Optimized Cost per Mile. This concept is used in digital advertising to define a bidding strategy where advertisers pay for impressions based on the likelihood of achieving a specific outcome, such as conversions or engagement, rather than just for the number of impressions delivered.

In this model, the platform utilizes its algorithm to optimize ad placements on behalf of the advertiser, focusing on achieving the best results within a specified budget. This advanced strategy allows advertisers to maximize their return on investment (ROI) by targeting the right audience more effectively.

The other options, although they might sound plausible, do not accurately represent the established definition of oCPM. For instance, terms like Cost per Minute or Cost per Market do not align with the common industry terminology used in digital advertising metrics. Ultimately, understanding that oCPM directly relates to optimized cost per thousand impressions offers a clearer insight into advertising performance and efficiency.