Running a Banner Ad campaign

[scot184]

I recently had a customer who wanted to run a 1 week ad campaign on my website. They sell a product that costs $65 Canadian. And they would be running the banner on the top of 9 pages that receive roughly 15,000 impressions per week with a good percentage of new visitors. They would also like a banner placed on the home page in addition, which receives 1,500 visitors a day. So that said, can anyone give me a estimate as to what I should charge. Additionally, since I don't have a payment system set-up, what is the best way to settle the payment, and secure the contract.

Thanks a lot!

[globalhostinggroup]

First have you looked at their linked site they want to post make sure that they have no popup or under (you may lose traffic because of this)
Now what to charge depends
Is your sight relevant to the produce they sell (if so + base cost)
Is the banner size large or small (the larger the more $$)
Some sites pull in very high local traffic like city specific sites no if the advertising business target market is this localized area then you can really premium the cost(ie Toronto.com and I quote “ If you are going to consider banner adevertising - the Summer special is 2 for 1 Run-of-site banner impressions. The rate card is $20 cpm, and now the special rate card is $10 cpm. There is a min. buy of 50,000 impressions up to 200,000 and we will waive the $250 development cost. The banners need to be used by the end of Sept. Therefore your fist buy would be $500 for 50,000 imp. up to $2000 for 200,000 imp. The only disadvantage to just having a banner is that you're not found by listing and keywords. I believe that you would need to have both.

Targeted Banners - the cost is $25 cpm with the same min. buy of 50,000. Initial cost is -$1250. To compare it to our Summer special pricing, you would get 125,000 run-of-site banners at the same investment.”
It is always difficult to determine the value of your banner ad’s on one hand you do not want to sell yourself short on the other you do not want to overcharge and get no business.

And finally if your sites traffic is true and not generated by pop-ups or under and be clear to the client of the volatility of your traffic how long people stay on your site and visits to unique visits.

There is no industry standard but trash banners (worthless banners) go for around $1 cpm (1000) impressions and go up from their dependant on value.

[scot184]

Thanks a lot...I appreciate all the info. We started the campaign at the cost of one of the company's products. I figure they can generate one single sale from the impressions on my site. It is very specialized...perfect fit for my site. I think I probably undercharged, but we'll see. I also run Google Adsense next to it, so I feel like it should get a slightly lower rate...though it seems to be cutting into my adsense payout. Trial and error will determine future pricing. Thanks again.

[globalhostinggroup]

I am happy to help