How much to charge for Advertising space on my website… (9 posts)

  • I was just approached and asked if I would be interested in putting an ad on one of my websites.  This is new territory for me.  The content is relevant to our website and would not be competing.  They also want to know what we would charge to which unbeknownst to them, I have no clue…Any advise would be completely welcomed!  Thanks!Jacki

  • @mediamenow I can only render an opinion, since I have no personal experience here. It seems to me that the potential advertiser sees value, so that’s a good thing. You can charge a base fee or a click thru rate (as long as you can track). If you have a lot of activity on your site, it’s worth more, especially if they are unique visitors.

    But, you have to understand why your audience visits your site, and take a look at what you know about them. I don’t mind some ads on websites, but personally hate it when they distract me from what I want to find.

    I believe there are a number fo real web pros who have probably helped set this up for clients in the SME clubs. Hopefully one can give yo concrete advice.

    Good luck!

  • @mediamenow You do have some options Jackie.

    1. You could charge a monthly fee.
    2. Cost per click - For example, you charge $0.50 per click. The banner may be displayed 5,000 times that day but if it’s only clicked on 50 times the customer would owe you $25.00.
    3. Cost per CPM or cost per 1000 impressions. This is determined by the number of times that their banner is displayed on your website. This is generally reserved for websites that receive thousands of hits per day. A way to bill such a method is $5 cpm, this is saying that you are charging the advertiser $5 for every 1000 times that their banner displays.
    If you’re simply selling advertising at a fixed rate it’s easy to setup a Pay Pal subscription and each advertiser is automatically billed each month. Where you will run to problems if you should decide on CPC or a CPM method.
    The free option that I would recommend is Open X, you install it directly to your domain name and it works great. Rather than getting into all of the details, take a look at the features at the Open X website.
    For a good article on this go here:http://www.problogger.net/archives/2008/03/27/how-much-should-i-charge-for-my-advertising-space/

  • @joanmuschampfagnani, @ptwylie  Thanks for all the great info.  Did not know there were so many options.  Not sure we get enough traffic yet for the CPC or CPM methods so may have to go with just a fixed rate.  Again thanks!

  • @mediamenow I am glad @ptwylie put it in clearer terms for you.

    Good luck.

  • @mediamenow You could try going to buysellads.com and finding a similar site with similar amount of traffic and see what they charge. I would definitely stick with a flat fee starting out.

  • Congrats to you for having a site that people want to advertise on!

    @mediamenow

  • @mediamenow

    I would find similar sites to yours that sell ads and ask them how much it would cost to advertise on their sites.

    They’ll probably also provide you with traffic reports, so you’ll have a good sense if you can charge the same or more.

    One thing I’d avoid is text ads. Google frowns on them and if they determine you have paid text ads on your site they may punish not just the advertiser but you, too.

  • Yes, you should definitely check out what the other sites are charging for CPM, PPC, etc..  you can also try Google adwords or Facebook advertising to see how much they are suggesting for such exposure.

    For rendering the ads, try Google ad planner.  with this you can rotate ads [AB testing], limit impressions [for CPM], view how many impressions and clickthroughs the ad generated, etc.


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