In influencer marketing, few topics cause as much debate as CPM (Cost per Mille) - the cost per 1,000 impressions.
It’s one of the most common pricing benchmarks, yet often one of the least meaningful when viewed in isolation.
At Likeminded Marketing, we encourage brands to think more strategically:
👉 What CPM actually makes sense for my business and when does it make sense to challenge it with a performance-based approach?
That’s exactly what our Influencer CPM & CPO Calculator helps you figure out.
1. CPM Alone Tells You the Price - Not the Performance
Many brands still negotiate influencer fees purely based on CPM benchmarks (e.g. “€40 CPM is good for Germany”).
But CPM only tells you what you pay for reach - not what that reach delivers.
For example:
- Influencer A charges €600 for a Story with 20,000 views → CPM = €30
- Influencer B charges €400 for the same views → CPM = €20
On paper, B looks more efficient.
But if A drives twice as many conversions or newsletter sign-ups, the efficiency picture flips completely.
That’s why more brands are starting to look beyond CPM - and experiment with hybrid models that integrate performance metrics like CPO (Cost per Order).
2. From Fixed CPM to Hybrid Models
Our calculator helps you model both setups:
A) Fixed CPM Model
You pay a set fee based on expected reach.
✅ Predictable for planning
✅ Ideal for awareness-driven campaigns
⚠️ Doesn’t reflect conversion performance
B) Hybrid or CPO-Based Model
You agree on a lower base fee plus a variable component per conversion (e.g. per sale or qualified lead).
✅ Aligns incentives between brand and creator
✅ Fairer risk distribution
⚠️ Complex to track and administrate at scale
By comparing both models side by side, you can identify your break-even points:
→ At what CPM level does a hybrid model start to outperform a flat fee?
→ How many conversions would justify a variable element?
3. Why Hybrid Models Are a Nice Thought, But Rarely Practicable
Let’s be honest: hybrid or CPO models sound great in theory, but they’re still hard to implement in most influencer programs.
Tracking is fragmented, attribution is messy, and many creators (especially on Instagram) lack reliable tools for performance-based remuneration.
However (and this is key) it’s still valuable to challenge your fixed-fee setup from time to time.
Even if you stay in a flat-fee model, running the numbers can help you:
- Benchmark whether your CPMs still make sense from a performance perspective.
- Identify creators who consistently over- or underperform.
- Strengthen your negotiation logic by knowing your break-even CPO.
So while hybrid models might not yet be mainstream, they’re a useful thought experiment to bring performance awareness into your pricing discussions.
