Hey webmaster buddies, You may remember my other thread where i was asking how best to monetize my traffic on 450000+ uniques site. Well, i implemented a few changes(design) and now the click through rate has increased and the site is doing good. The site has also grown meanwhile and i analysed my competitors websites to see how they where monetizing it. All of them where directly selling their ad spaces without any intermediates. So i have decided that the best option for me is to directly sell my adspots. But the problem is i am not sure how much i should charge for it. Heres the details, The site gets 475000+ Uniques per month. The average uniques per day range from 15k-22k. The site has an excellent alexa rank of 10k. The alexa rank for the site for just US traffic is 10.2k (This shows the excellent US traffic it enjoys). The banner spots available are Leaderboard(728x90), Banner(468x60), Square Ad (300x250) I can work with potential advertisers to decide which type of banner will convert best for them with my traffic. So now fellow webmasters, please tell me how much should i be charging for these ads spots ? I intend to sell them on a weekly basis or per day with payments received only via paypal. P.S > If you are interested in advertising on my site PM me and we can discuss the details.
If your competitors are generating their revenue mostly from advertising and are successfully selling their inventory your best bet is to choose similar ad rates on your sites. A good metric to measure your inventory and pricing is a CPM rate. Devide the dollar amount they charge by the number of thousands of impressions the purchase gives the advertiser, and you have a CPM rate. If you multiply this CPM rate by the number of thousands of impressions you can sell to an advertiser, you will get the total value of your inventory at parallel rates with your competitors.
Thanks for the info. But i was thinking of a flat rate per day or per week rather than a cpm. Any suggestions for that ?
You can charge flat rate per day or pay week rates using CPM metrics to approximate the value of your inventory. If you know your competitors are selling traffic at $1 CPM. And you have 10,000 impressions on your site daily. Then you can charge advertisers $10/day or $270/month (10% discount for buying in bulk).