1. What is CPM?

CPM (Cents Per Mile/Point) is a metric used by points and miles enthusiasts to evaluate the value of reward redemptions. It calculates how many cents each point or mile is worth in a specific redemption scenario.

2. How Does the Calculator Work?

The calculator uses the CPM formula:

Where:

• Cash Price — The cash value of the redemption in dollars
• Points — The number of points/miles required for the redemption

Explanation: This formula converts the point value to cents, making it easier to compare different redemption options across various loyalty programs.

3. Importance of CPM Calculation

Details: Calculating CPM helps travelers maximize the value of their points and miles by identifying the most valuable redemption opportunities and avoiding poor-value redemptions.

4. Using the Calculator

Tips: Enter the cash price in dollars and the number of points required. Both values must be positive numbers (cash price > 0, points ≥ 1).

5. Frequently Asked Questions (FAQ)

Q1: What is a good CPM value?
A: Generally, 1.0 cent per point or higher is considered good value, though this varies by loyalty program and redemption type.

Q2: Should I always choose the highest CPM redemption?
A: While higher CPM typically indicates better value, personal travel preferences and availability should also be considered.

Q3: Does this work for all loyalty programs?
A: Yes, the CPM calculation can be applied to any points or miles currency across different travel loyalty programs.

Q4: How does this compare to point valuations?
A: CPM provides a specific redemption value, while published point valuations are general estimates across all redemption options.

Q5: Can I use this for hotel points as well?
A: Absolutely! The CPM calculation works equally well for airline miles, hotel points, and other loyalty currencies.