In Display & Video 360, the bid price you specify will be used to determine how much Display & Video 360 can spend to win any individual impression for a line item.
Since bid prices are specified in CPM (cost per mille), the actual bid price Display & Video 360 will use will be:
CPM bid / 1000
Thus, if you set a fixed $10 CPM bid, your maximum bid per individual impression would be $0.01 ($10.00 / 1000).
Considerations
- The amount you set as your fixed bid determines what impressions you can purchase based only on the media cost of a given impression. Other costs factored into your revenue model, such as fees for using third-party data or any other services, don't affect your line items' bids. This is different from automated bidding that includes all types of fees.
- In rare cases, using fixed CPM bids may prevent you from spending your entire budget. If you're concerned about underspending, raise your bid.
Automated bidding
Many times a better option than using a fixed CPM bid is to enable automated bidding, which gives Display & Video 360 the ability to dynamically change your line item's bid based on the likeliness that an individual impression is going to perform well.