Understanding RPM: How you earn money with ads

Advertisers pay a certain CPM (cost per mille, or thousand) for an ad. In Spotify for Podcasters we use RPM, which stands for revenue per mille. This is how much you’d earn per 1,000 ad impressions, after any potential transactional fees or revenue split.

Automated Ads

If you monetize with Automated Ads, ad revenue (CPM) is split equally between Spotify and you at a 50% rate for each ad placed in an ad slot in your show. Adjustments to revenue may occur after your payout and may be incorporated in subsequent payouts. This means that your earnings per ad impression (RPM) may vary depending on the advertiser. You’ll be able to see your estimated monthly earnings and average monthly RPM using Spotify for Podcasters’ Ads analytics.

Note: Your average RPM is subject to change. It represents how much you, on average, can expect to earn from an ad you run on your show. We calculate your RPM by dividing your estimated earnings by the number of ad impressions you received, then multiplying by 1,000.

Ambassador Ads

If you monetize with Ambassador Ads, you’ll see a fixed RPM model appear on your campaign through its duration, meaning you’ll earn the same amount of revenue for each ad impression. Your earnings are calculated based on the number of impressions delivered. The RPM is defined at the start of each Ambassador Ads campaign and you can track each campaign’s RPM in the Host-read Ads section of the Monetize tab.