Enter the total number of points and the total cost into the calculator to determine the cost per point.

## Cost Per Point Formula

The following equation is used to calculate the Cost Per Point.

CPP = TCP / P
• Where CPP is the cost per point ($/point) • TCP is the total cost of the advertising campaign • P is the number of points achieved by the campaign To calculate the cost per point, divide the advertising/media cost by the number of point. ## What is Cost Per Point? Definition: Cost per point is a metric used in marketing that describes the cost to reach one point of audience with an advertising. Points can have several meanings, but typically a point describes 1% (or another percentage) or a given audience, i.e. 1 point = 1% of audience. ## How to Calculate Cost Per Point? Example Problem: The following example outlines the steps and information needed to calculate the Cost Per Point. First, determine the total marketing cost. In this example, the marketing cost is$10,000.00.

Next, determine the number of points achieved. In this case, the campaign was able to reach 10% of a desired population, so it received 10 points.

Finally, calculate the cost per point using the formula above:

CPP = TCP / #P

CPP = 10,000 /10

CPP = \$1000/point