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Online advertising rates are set through a combination of ad size, ad location, ad performance and market demand. Optimizing this key ad sales tactic results in higher revenue, increased advertiser acquisition and increased advertiser retention, which in turn influence the price on the online rate card.
The size of the ad is a major factor in Website advertising rates because of the amount of space each one takes up on a page. Based strictly on space alone, the 160 x 600 skyscraper should command the highest premium on the rate card, followed by the 300 x 250 and then the 728 x 90. Therefore, the ad might command a premium on price in the most targeted section and a discount in other sections of a site.
A publisher will find that setting a rate card at a level low enough to sell out the bulk of the inventory will increase retention for advertisers and drive up rates in the long run. Content sites will find that a careful balancing of the above four factors will drive higher sellout rates and advertising market share. A client might pay a fix rated for every 1,000 impressions, but that same client may or may not have a guarantee on the number of impressions.
It may seem obvious that clients are guaranteed them, but whether or not to do so creates an opportunity in sales. The simplest and most well-known example of non-guaranteed impressions is the use of remnant advertising networks such as Google AdSense, which allows a site to generate revenue from unsold inventory.
A good sales team should try to sell some of that inventory on their own as non-guaranteed impressions at a rate somewhere between what they get from national remnant networks and what they get from guaranteed impressions on the rate card. The client then pays a variable amount each month based on the number of impressions delivered. A recent rate card for AdWeek (2013) shows run of site rates of $65 and targeted rates for the home page and sections at $100.
But it’s worth noting that CPM and CPC rates are declining over time as the total number of Web sites and pages is increasing faster than the amount of online advertising. One answer to that problem: Drive up ad inventory volume by increasing site audience, unique visitors, visits and page views. The average CPM rate for a page is an effective tool for an online business to measure how efficiently a Web site is performing for both revenue and audience.
Anyone who uses Google AdSense to generate extra site revenue will recognize this metric in their account reports. Example A — Assume a medium-sized site has $5,000 in revenue and 500,000 page views in a month. This rate card for a travel publication shows high CPMs because of its targeted audience with high income demographics.
I did two studies for clients that revealed average page CPMs of about $12 for a group of small, underdeveloped sites and CPMs ranging from $30 to $40 for another group of large and advanced sites that also had multiple revenue-generating products such as classifieds, directories, mobile and video.
A $12 CPM is too low for the underdeveloped sites to make a profit, while the larger sites have CPMs more in line with their true potential.
Some major national sites I analyzed have a page CPM of nearly $100, but they also have high marketing and production costs and targeting of high-value audiences. Although there is no perfect number, page CPM is a useful metric in striking a balance between revenue and audience performance.
If average CPMs are declining, one way to make up the difference is by increasing volume of impressions, usually by taking audience market share away from other sites in an environment where online audience growth rates are slowing.

An advertiser who uses Google AdWords, Facebook, Bing or other major advertising sites will instead likely pay based on a cost per click or CPC. A CPC rate card is fair to an advertiser based strictly on response rates, but it is unfair to the publisher if a great deal of inventory is used for a poor ad that generates no response.
It becomes even more unpredictable based on the category — auto, real estate and employment have a high CPC for advertisers because of intense competition for inventory and because a $4 CPC for real estate could result in a $20,000 commission for a Realtor and broker. So a CPM campaign should be judged based on impressions with an emphasis on branding and response.
In fact, some buyers of search engine advertising are finding that when CPC is calculated on a CPM basis, the rate is closer to $2 to $3. Lots of interesting data here, but it is unclear when this was written…other than January 18. The rate cards and studies are a bit worn, but I’m surprised at the number of sites that are still trying to charge above a $10 cpm. Just wanted to know if one has to charge for static ads independent of CPM then what should be the monthly charge n general? A flat rate for a static ad doesn’t have to be exactly based on the page views or keep changing as page views drift up or down over a few weeks or a few months. You don’t want to charge too little and end up with a 50 cent CPM (this actually happened to one site) or too much, which results in an unhappy customers who overpays for results. Are you looking to build brand awareness around your product and drive traffic to your booth? Introducing online advertising opportunities for the PGA Merchandise Show designed to target your specific audience and maximize your brand exposure pre-Show, during the Show and long after. By advertising online your company will maintain high visibility on the main entry and exit pages and attendees will be just a click away from your website. Your web banner will appear on all pages of the registration process on the PGA Show Web site. Your web banner, company name and link to your website will appear on the registration confirmation email sent to all PGA attendees after they complete the registration process. Following banner placements banner will link to your website and will be located on every page inside the Digital Show Directory, including entrance page. Your company logo located on the PGA Show website above the flipping icon to enter the Directory.
Your company name mentioned as the sponsor in a broadcast email to the FULL-registration email list announcing the digital directory being live on the website.
Introducing online advertising opportunities for the PGA Fall Expo Show designed to target your specific audience and maximize your brand exposure pre-Show, during the Show and long after. Monthly banner advertising lets you create a unique banner campaign by targeting the month and banner position you desire.
Your company logo located on the PGA Fall Expo website above the flipping icon to enter the Directory. Japan ($8,129 million) will hold on to second place in 2016, while the other Asian leader will be China – where online advertising revenues are predicted to grow from $2,600 million in 2010 to $7,689 million in 2016. Digital TV Research Ltd specialises in offering innovative business intelligence for the television industry.
When your business relies on advertising, it helps to have a system for analyzing how much you pay vs their effectiveness.

As with all Excel spreadsheets, this advertising template has features that are versatile and able to be used by anyone from novice to advanced programmer.
Make advertising dollars go further with close monitoring of a certain media’s effectiveness. As a result, the 300 x 250 often gets the best rate and highest demand because it works better for creative, despite the larger size of the 160 x 600. Whether they also work best on the left, in the center or on the right depends in part on what else the page contains. An ad with a phone number in it can result in a response via a phone call rather than a click. A CPM that is too high can mean that a site is running the risk of selling out all available ad inventory and must focus more attention on boosting site traffic.
Other factors that contribute to the disparities include the amount of competition for each site and how deeply they specialize in a particular topic or geographic location. But it’s a good idea to review the pricing every three to six months as site audience changes. In order to post comments, please make sure JavaScript and Cookies are enabled, and reload the page.
Your sponsorship will appear behind an active peel away image on every page of the website. With this free advertising plan template, you can categorize and tally those expenses on a monthly and annual basis.
Change the column or row sizes, re-label them, add specific formats to different cells or delete them. In-store traffic because of a coupon ad, an ad about a sale or simple brand awareness is an invaluable form of indirect response. I think it still has some use in layouts where the space doesn’t allow anything wider or deeper.
If the section averages 10,000 page views a month, then $100 is a reasonable rate because it averages a $10 CPM.
The page peel will be located in the upper right hand corner of every page on the site: see an example of the page peel now.
You can make a printable report using spreadsheets that can include graphs or 3 dimensional pie charts. You will find this among many other great templates that can be used for business, personal organization, project management and financial management. With advanced programmers, there options for integrating multiple spreadsheets or exporting your work to MS Word and MS Publisher for print and web publication.
If you are in need of a way to organize your advertising expenses, try using the free advertising plan template from Microsoft.

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