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How much to charge for exclusive non-rotating banner?
cynicdave




msg:540757
 8:55 pm on Apr 5, 2005 (gmt 0)

Hi, this is my first news here, I read through as much as possible but I didn't, of course, didn't see much about my topic of choice.

First question: Am i allowed to post a link to my site in order to make the question clearer? Or is that taboo here?

Now for the real questions: I run a hobby site relating to dancing. Most of the people are between 17-28, more males than females. It's the only site I run because I care about this hobby.

The site is HIGHLY targetted, and ad space on this banner wouldn't be general at all.

We have been recommending one store to buy products. I made a posting on my forum asking people how much they usually spend on this store and how often. I got about 30-40 responses and mostly people buy at least $50 worth of products at least every 3-4 months. Some people have purchased over $1000 in 3-4 years. My community has over 5000 members... that actually participate. Most of the traffic are "anonymous" users who lurk and read what these people recommend and have to say. Whenever something is recommmended by my site, people tend to buy it.

It's because this store is the most inexpensive and the most convenient. The staff at my community and I included always recommend this store.

Recently I emailed then if they were interested in banner space. This banner would explicitly say it was recommended by my site, and would be placed aside from the rotating banners I already have. Becuase we recommend them anyway, we would continue to recommend them even if they declined. But they were very interested and want prices.

March 2005:
Unique Visitors per month: 15,076
Average Unique Visitors per day: 1478
Numer of pages served: 6296878
Number of hits per month: 12,722,821
Average in a day: 410,413

How much do I charge what is the norm for niche-sites that dominate the search engines for that niche? Because I'm #1 on google for this niche hobby and it directly uses supplies from other stores.

 

ShantiShunn




msg:540758
 9:06 pm on Apr 5, 2005 (gmt 0)

I would look into to doing a CPA (cost-per-action) deal with them. This can be based off of a percentage basis of the total sale amount or a fixed rate. This model, I would expect would be the best for you as you already know that many people will purchase from this company based on the research you have already done.

My guess, based on your statements would be about a 5% rev share.

Doing the CPA offer is best for both you and the company in question as the payouts only occur when they make money.

That would be my suggestion to you.

cynicdave




msg:540759
 9:18 pm on Apr 5, 2005 (gmt 0)

One problem is that I'm sure they do not have the capability to track whoever buys. It's a basic ecommerce store with a real life storefront, so they aren't that internet saavy.

So I think a banner ad for a flat rate per month would be the most appealing for them. Just from the base of these figures, what would you charge, if it had to be a flat rate per month?

ShantiShunn




msg:540760
 10:50 pm on Apr 5, 2005 (gmt 0)

Figure out what your potential send would be (i.e. $50/month in sales) and charge 5% - 10% of that. Work in a clause that allows for renewal based on referral traffic #'s. You'll be able to track that on your side.

zivkovicp




msg:540761
 11:06 am on Apr 6, 2005 (gmt 0)

I know of a forum site with very targeted traffic, usually over 100K uniques per month...

The site operators are charging anywhere from $300/month and more for banner ads (small banners, more like buttons). This is for the main page... sub pages carry a slightly lower price.

However, they have a LOT of small banners being displayed. I imagine that your traffic is worth much more, and if you already send customers their way, you should be able to get even more money... otherwise you might want to look for an affiliate program and convince your visitors to use them instead.

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