Selling Advertising directly - Are these prices to high?

Discussion in 'General Marketing' started by DaStarBuG, Apr 4, 2006.

  1. #1
    I am going to sell advertising space on my project after our relaunch.

    We made a Media Kit incl. rate card which I will send out to possible advertisers.

    The question is, are my prices to high, low, or perfect ? ;)

    Ahh the traffic figures in my media kit are right, the analytics images are not, they only show the figures of one subdomain so they will be replaced in the final media kit.

    HipHop-Battles.com_media_kit_v.1.17.pdf

    Any feedback is appreciated

    I hope this is not considered advertising because we don´t sell advertising yet. We start it when we made the relaunch.

    StarBuG
     
    DaStarBuG, Apr 4, 2006 IP
  2. fsmedia

    fsmedia Prominent Member

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    #2
    I would say they are a bit high, I normally price things at around $1-2/CPM personally, but we have different types of sites (Sort of).

    What program did you use to make that media kit? I'm looking to make a media kit soon and it would be nice to have some feedback about creating them. For creating the template images in the back, etc etc...thanks!
     
    fsmedia, Apr 4, 2006 IP
  3. DaStarBuG

    DaStarBuG Peon

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    #3
    Adobe acrobat and adobe indesign cs2 and photoshop cs2

    But I did not made it myself, I have a talented designer who is realy good in what he does ;)

    Are the prices to high in general for these traffic figures?
    What about the tryout discount? Is it a good idea? Are the prices to high even with that discount?
     
    DaStarBuG, Apr 4, 2006 IP
  4. Blitz

    Blitz Well-Known Member

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    #4
    I would find similar websites in the hip-hop area... SOHH and Hip Hop Game are big right? Because pricing varies a lot in different markets, the Bentley Owners Club traffic will have a much higher CPM than the Skoda Owners Club traffic :)

    Nice media kit though.
     
    Blitz, Apr 5, 2006 IP
  5. DaStarBuG

    DaStarBuG Peon

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    #5
    The problem is, that all big hiphop sites don´t show their rate card publicly (like we wount as well)
     
    DaStarBuG, Apr 5, 2006 IP
  6. Blitz

    Blitz Well-Known Member

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    #6
    Yeah, try emailing them. I have to do it a lot. They prefer non-public email addresses (hotmail, gmail, yahoo) and might want to know some details about you.
     
    Blitz, Apr 5, 2006 IP
  7. DaStarBuG

    DaStarBuG Peon

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    #7
    Hmm I think I will try it with my prices first.
    They are not to high but lowering them is always an option later.
    Once you start to low rising them is a totaly different issue.

    That is why I give out the 25% tryout discount.

    Do you contact business directly and ask them if they want to advertise with you?
    How do you approach them?

    I have no clue what to write to them so far.
    Maybe you have some suggestions or tips?
     
    DaStarBuG, Apr 5, 2006 IP
  8. DaStarBuG

    DaStarBuG Peon

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    #8
    "What a lucky day for advertisers",said StarBuG, founder of HipHop-Battles.com,"the new version is not even launched and we already lowered the advertising prices!" ;)

    After some feedback in another forum I thought about the prices a lot and decided to lower them for the start.

    Reason:
    If I start contacting businesses asking them to advertise with us and have high prices and if they say no it would be hard to get to them again with lower prices.
    But the other way round would be much easier.
    Get them with the low prices and rise later when the demand increases.

    Here is my newest version of the media kit with lower prices.

    What do you think about these new prices? I think I would not want to go any lower then that.

    HipHop-Battles.com_media_kit_lower_prices_v.1.6.0.pdf

    Feedback is like always welcome
     
    DaStarBuG, Apr 6, 2006 IP
  9. Ben5082

    Ben5082 Peon

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    #9
    Be careful to leave yourself plenty of bargaining room for volume buyers to make it more worthwhile for both of you. In other words, don't price so low that you can't afford to discount at all.
     
    Ben5082, Apr 6, 2006 IP
  10. DaStarBuG

    DaStarBuG Peon

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    #10
    I thought about this as well but if a big advertiser is buying a high volume I am willing to start very low.
    We earn about 300€ a month with adsense on our current site which is amateur class compared to the professional version we are going to launch.
    So in any way even selling cheap to high volume buyers it will be a win for us.
    We can always rise the prices later but I want to get the business started at first.

    The cheapest CPM in my Kit is 0.7€ (0.82$) for 100,000 impressions.
    If someone would buy 1m impressions and we would not go lower then 0.5€ anyway because everything lower can be achieved with adsense and much lower impressions as well. So I say take it or leave it ;)

    I don´t know if you noticed the 25% tryout discount.
    We want to offer this to any first time advertisers on their first buy.

    But we want to limit this offer to a maximum of a 3 month buy and a maximum order of 500,000 impressions.

    Should I mention this restrictions as footnote in the media kit as well or should I tell the advertisers after they contacted me?
     
    DaStarBuG, Apr 7, 2006 IP