Forum Moderators: martinibuster

Message Too Old, No Replies

If you think your eCPM is bad. . .

         

europeforvisitors

8:13 pm on Apr 26, 2006 (gmt 0)



If you think your eCPM is bad, consider what MySpace.com is earning from ads:

Just over 10 cents per 1,000 impressions. And that's gross CPM.

Why? Supply (too many impressions) and demand (too little interest from advertisers, including search companies like Google who feel that MySpace users are "not the best prospects for most marketing because they use MySpace for socializing, not buying").

Source:

[nytimes.com...]

Moral: It isn't just the amount of traffic, but also the quality of traffic that determines what an impression or click is worth.

danimal

6:00 pm on Apr 28, 2006 (gmt 0)



nubbin, i have also been hammered by those myspace hotlinked pics... it appears that the pics can be blown up in size when displayed on myspace, so that your logo in the corner isn't even visible.

if you stop all hotlinking, i'm thinking that it will affect search engine rankings for pictures, which can be a decent source of traffic.

danimal

6:16 pm on Apr 28, 2006 (gmt 0)



>>>But the fact remains that MySpace is averaging a 10-cent CPM from all of its advertisers.<<<

"Because its supply of pages so greatly outstrips demand from advertisers, it has offered deep discounts." ...as the article clearly states.

it's more akin to the lousy ctr that comes with putting adsense on forums... the only thing we can learn here is that contextual ads are simply not right for every situation.

europeforvisitors

7:25 pm on Apr 28, 2006 (gmt 0)



"Because its supply of pages so greatly outstrips demand from advertisers, it has offered deep discounts." ...as the article clearly states.

And why do you think its supply of pages so greatly outstrips demand from advertisers? Probably because, to use the NEW YORK TIMES reporter's words, MySpace users are "not the best prospects for most marketing because they use MySpace for socializing, not buying."

If you disagree and can make a convincing case to the contrary, there's a job waiting for you in advertising sales at MySpace.com. :-)

danimal

7:51 pm on Apr 29, 2006 (gmt 0)



efv, it's really funny to watch you trying to disagree with what the article clearly states is the exact reason why the cpm is so low :-)

your "probably because" is not factual information, and it's certainly not relevant to adsense.

"What MySpace means for Marketers:
As you can imagine, many marketers have stepped up to try and harness this tangle of human relationships for the purposes of brand building and lead generation. They're mostly in the entertainment vertical, but other sectors abound: book publishers, automakers, cause marketers, even CPGs."
clickz dot com /features/article.php/3565776

europeforvisitors

10:01 pm on Apr 29, 2006 (gmt 0)



As you can imagine, many marketers have stepped up to try and harness this tangle of human relationships for the purposes of brand building and lead generation.

Yes, and according to the NEW YORK TIMES, they're paying an average CPM of 10 cents. That's the bottom line. Audience quality counts, whether you're a contextual advertiser, an AdSense site-targeted CPM advertiser, or an advertiser who's trying to build brand awareness with display ads.

danimal

7:06 pm on Apr 30, 2006 (gmt 0)



>>>Audience quality counts<<<

that's NOT what the NEW YORK TIMES article blamed it on: "Because its supply of pages so greatly outstrips demand from advertisers, it has offered deep discounts." were the exact words of the article.

you are still "probably because"ing it, lol... and you have failed to address the strong parallel between adsense on forums, and adsense on myspace.

the simple fact is, adsense is not right for every application, period.

danimal

7:23 pm on Apr 30, 2006 (gmt 0)



>>>And why do you think its supply of pages so greatly outstrips demand from advertisers?<<<

i think that i see what your problem is, efv... you just don't have a grasp of how big myspace really is... look at the stats, and you'll see another reason why the supply of pages exceeds the advertising demand:

"MySpace has continued to grow since the acquisition. It had 37.3 million unique visitors during the month of February, according to comScore. It logged 23.5 billion page views, making it the second-most trafficked site after Yahoo, which had 30 billion. MSN was No. 3, with 18 billion, and Google was No. 6, with 7.7 billion."
businessweek dot com/technology/content/mar2006/tc20060327_215976.htm

europeforvisitors

9:19 pm on Apr 30, 2006 (gmt 0)



danimal, you're being selective in your quotes again. Since we're obviously stuck in an endless loop, I'll save myself some typing and refer you back to message #24.

steve40

10:02 pm on Apr 30, 2006 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



i must say suprised at 10 cents per 1,000 impressions, but like all businesses some are based on high throughput take for example discount food store making 1 cent on can of beans compared with top end retailer making 10 cents on same can of beans if the number of cans of beans sold is greater than 10 times the amount the high volume discount store makes a higher overall profit.

Not sure if my maths is right but I suspect myspace is making in excess of $1,200,000 per month , from that point they only need to increase the CPM by 5 cents to make a further $600,000 per month so still sounds like good business model as I am sure are no shortage of takers anywhere below 20 cents per thousand impressions who would accept that for branding at that age group would still be worth it.
I could even see a quite staid sector like banking looking at as a good long term branding opportunity .
I am unsure what the percentage of under 15 would be as they would be poor prospects for short or long term branding but 16 and up would seem like a business opportunity for many at those figures.

just my 2 cents

steve

europeforvisitors

10:09 pm on Apr 30, 2006 (gmt 0)



I could even see a quite staid sector like banking looking at as a good long term branding opportunity.

Sure, if the CPM is low enough (as it is, if we're to believe the NY TIMES story). In that respect, it's no different from advertising in offline media.

danimal

4:47 pm on May 1, 2006 (gmt 0)



>>>I could even see a quite staid sector like banking looking at as a good long term branding opportunity.<<<

good luck convincing efv of that ;-)

a classic example of long-term branding is food ads on tv that are aimed at kids... once they convince mom to start buying it, they will be customers for years... depending on the product, of course, there is no age limit on long-term branding.

that's why myspace is such a killer advertising opportunity.

This 41 message thread spans 2 pages: 41