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1st Direct Advertiser Query Relationship

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#1 SEOigloo


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Posted 05 October 2011 - 01:47 PM

Hey Everybody,

I wanted to share that a hobby site I've been running since 2007 has just signed its first direct advertising contract. I had written a piece in praise of something this company manufactures and they clearly have some smart marketers paying attention to analytics because they contacted me to request advertising on the site after seeing that my article was driving traffic to them. I felt very proud.

It's just a small contract for 6 months of advertising and we won't be buying a yacht any time soon, but it was exciting to me to feel that I had 'reached out and touched someone', at least in a traffic sense.

That being said, this is a new world for me. Can anyone point me to information about how websites typically set rates for this kind of thing? I picked a price I felt would be reasonable given the amount of traffic the site gets as well as its prominence in the SERPs, but I am operating solo in my calculations about this and wonder if there is some standard way of assessing value or some standard of rates you have encountered that you feel is fair and honest.

Would appreciate any feedback.

#2 jonbey


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Posted 05 October 2011 - 01:53 PM

I am tuning in.

We sold some ads for one of our sites recently, not the fitness one, but one of Marcia's. Like you, they are not a lot, but as much as Adsense is paying, so that is not bad.

We find setting prices really hard. Too high and they are not interested, too low and you are stuck with a cheap ad for 6 months. I think we plan to get what we can on the cheap then if people want to renew put the prices up, with a nice explanation of why.

Oh, one of the advertisers was spamming the comments for ages and Marcia just kept deleting them and then dropped them an email asking if they wanted to advertise, and they said OK!

#3 DonnaFontenot


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Posted 05 October 2011 - 02:07 PM

There's no really good way to price ads. Each niche can be different. The best thing to do is to try to ferret out how much the competition is charging for ads. I created a little calculator to help with this at http://www.dazzlindo...or-125x125.html a while back, and it includes a default CPM rate, but if you dig around your competition's sites, you may be able to determine how much to adjust that by, and go from there.

#4 jocelyn


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Posted 05 October 2011 - 02:55 PM

Hummm... good feeling hey... but then... doubts.

The meeting, or conversation will decide everything, specially if they can sense you want the money. Most of the time that I replied with "Sorry, but this discussion is over", I got a new offer... but, it was in the poker industry, and I could push them around quite a lot.

First, how much do you need this money. If you are starving, then you'll get peanuts, cause you'll fold much sooner than them. If you don't really need the money, then you should make a decent deal, cause it'll be much easier to say, "It's too much trouble for the peanuts I get... specially with a contract".

If you can set a good price, then the next customer will have to at least, meet this price... and this is very important. Later, you'll just have to say "How would you feel if I charged less than you to the next advertiser. I can't do it any less than so much, or it would be cheating on my other advertisers".

You will be kind of setting your base price here... so don't run and think.




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Posted 05 October 2011 - 04:56 PM

Lots of people contact me about advertising. Most just want to buy a text link on my homepage or send blocks of text links to help their collection of websites in the rankings.

However, a few people have contacted me for real advertising buys.

I get some idea of value by knowing what advertising networks are currently paying me for the space and then multiply that by at least 2x because the middle man is now out of the deal.

#6 Dr.Marie


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Posted 05 October 2011 - 07:08 PM

Do you have Adsense currently in the space where they want to buy advertising? Something that EGOL taught me was to figure out how much you are currently making via Adsense and then charge more than that (perhaps double) for a direct advertiser. It has to be worth your while.

#7 SEOigloo


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Posted 06 October 2011 - 03:10 PM

Thanks for the thoughtful feedback, everybody, and to Donna especially for the link to the tool.

Dr. Marie - there isn't currently AdSense in that area of the site. But that's good thinking if there was!

#8 send2paul


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Posted 06 October 2011 - 03:24 PM

I have no practical info to add to the discussion, but I did like:

"... but it was exciting to me to feel that I had 'reached out and touched someone', at least in a traffic sense..."

- these are the kind of unique phrases associated only with the internet :)

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