Standard Ad Network Rates?

Discussion in 'Pay Per Click Advertising' started by grungemedia, Sep 4, 2007.

  1. #1
    What are the standard Ad network Rates? Like, from Advertiser to Publisher, what gets through?

    I heard some strange ones about Google AdSense where Advertisers would pay $1.00, and publishers would receive about $0.40 of it.

    What are realistic rates that Ad Networks take?
     
    grungemedia, Sep 4, 2007 IP
  2. Nitin Gupta

    Nitin Gupta Peon

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    #2
    Nitin Gupta, Sep 4, 2007 IP
  3. grungemedia

    grungemedia Well-Known Member

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    #3
    We are looking to keep it around 90%. We jsut want to know the standards for each company. AdSense, Y! Publishers, and AdCenter. (and any others you know)
     
    grungemedia, Sep 4, 2007 IP
  4. Nitin Gupta

    Nitin Gupta Peon

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    #4
    90% sharing... and you will be paying around 4% for paypal refills and around 6-8% for Credit Card refills.. Where's the profit???
     
    Nitin Gupta, Sep 4, 2007 IP
  5. grungemedia

    grungemedia Well-Known Member

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    #5
    Most will be network ads. What do you mean by credit card refills? We factored in all PayPal / Check fees, but credit cards would just go through PayPal. And PayPal charges (me at least) .30 cents + 2.9% nomatter where it's sent from (Credit Card, PayPal, whatever) because we use PayPal Premier/Business.

    So the only fee we get is $0.30 per transaction, and 2.9% OF the transaction.

    Even for small payments around $10, it's STILL $0.41 profit.

    Maybe we will go down to 80%. But to start, we can afford to just do a 90% share to get us started. Because the few big spenders that come in will make it worth it.

    $6.80 for $100 at 90% share. $16.80 for $100 at 80% share. $26.80 for $100 at 70% share. And $36.80 for $100 at 60% share. You guys are making a killing off of, essentially, someone else's cash..
     
    grungemedia, Sep 4, 2007 IP
  6. Nitin Gupta

    Nitin Gupta Peon

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    #6
    killing off??? on 90% sharing.. you got $6.80

    A decent dedicated server costs $200 or so.. Then you need management, sales force, technical support, 24 x 7 Online and Technical Support, Developers and Maintainers, which will cost you atleast $5000 or so.. so to break even.. you need to make sales worth $75K / month..

    Do you that its possible???

    At 60% profitable, we are just breaking even..
     
    Nitin Gupta, Sep 4, 2007 IP
  7. grungemedia

    grungemedia Well-Known Member

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    #7
    I have a dedicated server for another one of my sites that uses very little to no resources but still makes profit. My staff from that team includes my very close friends who I know (most of them) in person and are totally on board to working for free and split wages. I am available 90% of the time for support and the other times my friends are available.

    So the server is paid for. The work force is paid for. (Programmers, Support, etc. are all friends) And with rates that low, we will grow to be huge, and eventually be able to start paying decent rates to our team. :)

    You can't start a business with everyone only in it for the money. You start one with everyone in it because they want it to succeed. Then when you make the money, you all enjoy it.
     
    grungemedia, Sep 4, 2007 IP
  8. A.G

    A.G Well-Known Member

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    #8
    I think 80% is good rate , it will make profit to you and it all depends on volume of publishers but the problem is getting the advertisers and are you going to resell ads for other adnetworks
     
    A.G, Sep 4, 2007 IP
  9. grungemedia

    grungemedia Well-Known Member

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    #9
    Resell ads for other ad networks?

    I am not sure what you mean by that.
     
    grungemedia, Sep 4, 2007 IP
  10. Nitin Gupta

    Nitin Gupta Peon

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    #10
    hmmm ... Give it a try then.. to be honest, i am just breaking even at 60% sharing... hope you succeeds :)
     
    Nitin Gupta, Sep 4, 2007 IP
  11. A.G

    A.G Well-Known Member

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    #11
    many ad network resell ads for other bigger networks when they don't have enough advertisers

    for example you can resell ads for TribalFusion or CPXInteractive as default ads when you have no ads to show
     
    A.G, Sep 4, 2007 IP
  12. grungemedia

    grungemedia Well-Known Member

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    #12
    Ohh, no, we won't do that. We plan to allow the user to create their own in-house ad code (they can put their own AdSense, or inter-network banners and such) to show in the case that we don't have any ads. Otherwise, a default in-house ad will show to SiteVertise.
     
    grungemedia, Sep 4, 2007 IP
  13. Nitin Gupta

    Nitin Gupta Peon

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    #13
    BTW A.G.

    Are you in online marketing and advertisement as well?
     
    Nitin Gupta, Sep 4, 2007 IP
  14. grungemedia

    grungemedia Well-Known Member

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    #14
    Thanks. And I just got a separate business checking so I can get payments and profits separated correctly and payments always on time. :)
     
    grungemedia, Sep 4, 2007 IP
  15. john269

    john269 Notable Member

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    #15
    You will probably find that you will get more publishers if you set it to 85% and then offer a referral program so that others can refer new publishers and earn 5% of their publishers earnings and then you have 10% of the earnings. That's if you are still only going to take 10% of the cut obviously.
     
    john269, Sep 4, 2007 IP
  16. A.G

    A.G Well-Known Member

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    #16
    no am not in marketing section

    it's known that small networks get feeds from big networks mainly TribalFusion
    eg: I think MediaShakers are sellers for other networks
     
    A.G, Sep 4, 2007 IP
  17. grungemedia

    grungemedia Well-Known Member

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    #17
    Ok, Looks like we'll do 80% share. And 5% referral share.
     
    grungemedia, Sep 5, 2007 IP