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Being Contacted By Advertisers

How much should I charge them?

         

signup1

5:44 am on Nov 11, 2004 (gmt 0)

10+ Year Member



I have 3 blocks which totally has 4 ad units. Assuming I have X unique visitors per month and making Y money from adsense with average PPC at Z dollar, how much should I charge for a text ad on the site? The PR is zero, and no result in SERP, so there is no value for passing PR.

I am asking for 1/10 of my total adsense income from last month. I charge it per month rather than per click or per unique visitor. Is that too low?

I am thinking this, if I count 25% of the adsense and I get half of the Adsense cut, then I should charge 27.5% of my total adsense income. But since it is a monthly payment, and adsense is unstable, I give a discount to the big spender. And if I count the new advertiser and the 4 units, I will get 5 units, so 20% of the total monthly adsense income is a reasonable number, right?

ganderla

6:01 am on Nov 11, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



I was fourtunate enough to have advertisers contact me to so some business with me.

I just calculated my CPM with all the programs that I use and gave them a monthly average cost.

This worked for both of us.

webmastertexas

7:44 am on Nov 11, 2004 (gmt 0)

10+ Year Member



I just calculated my CPM with all the programs that I use and gave them a monthly average cost.

That seems very logical, but how would you make any extra income off that? If you're just going to make the same with the advertisers as you would with your normal banners/ads, what's the point in selling ad space? If you're going to sell ad space, shouldn't you do so (go through all the trouble) only if you can make more than what you would normally with your usual ads? I always thought that was the whole point of selling ads. Maybe I'm wrong.

level80

8:10 am on Nov 11, 2004 (gmt 0)

10+ Year Member



I'd charge them market rates for the adverts eg at least double what you're getting through Adsense for the same. After all - you've got to deal with the advertisers, make changes for them etc.... it all adds to your overheads.

webmastertexas

5:24 pm on Nov 11, 2004 (gmt 0)

10+ Year Member



I'd charge them market rates for the adverts eg at least double what you're getting through Adsense for the same. After all - you've got to deal with the advertisers, make changes for them etc.... it all adds to your overheads.

Exactly.

dbar

11:19 pm on Nov 11, 2004 (gmt 0)

10+ Year Member



you've got to deal with the advertisers, make changes for them etc.... it all adds to your overheads

Plus the big one of you have to send invoices AND get paid

Yes people have trouble getting paid from Google sometimes, but for the most part you will eventually get paid (please no chimes about getting dropped from google, etc.. that's another thread).

If you do it, I would charge at least in the range of twice as much. Maybe it is me and the industry I am in, but I have been burned before and the whole process of invoicing/collecting is a huge headache to me.

So the moral of the story is, do it if it works for you, but make it worth your while.

signup1

11:54 pm on Nov 11, 2004 (gmt 0)

10+ Year Member



I just found out the advertiser is the #1 on the ad list, so he must be tired of paying the middleman. However, after contacting, they ask me for a legal contract, ask for my name, address, phone number etc. I think I will just pass on this, and burn his wallet through Google.

Google is really acting like a bank now. Both parties don't trust each other, but use this middleman and the middleman cut 20%. Bank has to take the risk of bad loan, but google has no risk. What a great business.

I will add adsense search soon to get more from them.

hanuman

5:17 am on Nov 12, 2004 (gmt 0)

10+ Year Member



i would weight more the page impressions rather than the CTR.

CTR has allot to do with the wording and offer of the advertiser. you as a publisher offer the advertiser impressions that counts more in a niche market....

my 2 c

amznVibe

10:00 am on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



One of the sites I visit often has a self-serve adsense-like service called AdRevenue by w3matters. Looks pretty decent, might help you in this case. (I'm personally interested in any open source projects like that if anyone knows of one)

ncw164x

10:35 am on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Not wanting to dampen any of your idea's here but when you sign up for adsense you agree to the terms of service one of which is

Communications Solely With Google. You agree to direct to Google, and not to any advertiser, any communication regarding any Ad(s) displayed in connection with Your Site(s).

Now unless you don't want to have adsense on your site anymore and you move totally to getting your own advertisers the next post you will be making in the very near future will be

"google terminated my adsense account and I don't know why"

The greed factor is now taking over, what are you going to do put the advertiser on your premium pages and leave adsense on the others just to soak up the gravy.

How long do you think it will take for this to be spotted by the adsense team?

elguapo

11:19 am on Nov 14, 2004 (gmt 0)

10+ Year Member



Well, YOU are not to contact the advertisers. But if the advertisers are the ones contacting you, I don't think G has anything to do with it anymore.

ncw164x

12:11 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



"Loyalty"

It's not very long ago site owners praised google for making it possible for them to earn money from their sites because up until adding adsense they earned very little.

How would you feel if it was the other way round and you had it done to you?

But hey you do what ever you feel is right for yourself, I have my opinions and you have yours and personally I would not do this.

ken_b

5:00 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



ncw164x; You raise an important point.

Communications Solely With Google. You agree to direct to Google, and not to any advertiser, any communication regarding any Ad(s) displayed in connection with Your Site(s).

That's a pretty broadly worded statement. The words I bolded, "any Ad(s)", make it sound like if you sign up for Adsense you give up the right to sell any ad space on your site to anyone but Google via the Adsense program.

Is that how you understand it?

Or it could mean you agree not to initiate contact any advertiser that runs Adwords ads that show up in your Adsense blocks, anywhere on your site, and to tell them to contact Google if the advertizer contacts you directly. In other words you won't try to cut a better deal for between you and an exisiting Adwords/Adsense customer by cutting Google out of the deal.

That's second interpretation is a little less restrictive, but could still have a major impact on site owners.

On the other hand adsense does allow the placement of affilliate ads on your site, that muddies the waters a bit.

ncw164x

5:45 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Yes That is how I interpret it Ken,

G will have a pattern of what ads have been shown, your site, my site etc and it's not hard to prove that an ad was shown x amount of times via adsense on xyz site and then a few weeks later the publisher has the advertiser's ads all over his site and at the same time his adsense ctr drops.

Now even if the publisher did not approach the advertiser you would be found guilty anyway because you are showing the ads, all they would have to do is launch a spider and bingo the large advertiser who they have just lost is now advertising on x amount of sites and these same sites used to show adsense.

Publisher = Z x A + ib x square root of -1 = GUILTY

Bit of a no brainer if you ask me, don't forget these guys build spiders for a living.

alika

6:13 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



Adsense does not have an exclusivity on our pages. If we show the ads of the same people who use Adwords -- either because:

- they contacted us
- we have pre-existing relationships with these advertisers long before they used Adwords
- these are the same people who advertise in the banner networks that we have used long before Adwords came into the picture and they are aware of our sites

then G should not have anything to do with it.

If G asks me to sign a contract that only the ads shown in my pages are from Adsense, then that's the only time when I would feel that an advertiser contacting me is a no-no. By then, G should be paying us a higher cutoff rate than the non-exclusive publishers.

Exclusivity should have a price. Banner ad networks such as Burst gives the option of exclusivity to their members, giving the exclusive members higher cut off of the revenue rate. G does not have an exclusivity clause.

But if the advertiser is the one who approached me and want to advertise directly on my site through banner ads, newsletter advertisement, ezine advertisement or any other forms of advertisement, then what has G got to do with it? G does not say that any of their advertisers should not be seen on the Adsense publishers networks other than through Adsense. Only that we should not contact the advertisers directly.

Plus -- there's the clause that allows members the use of affiliate advertisements provided that the ads do not mimic the look and feel of G. I have big advertisers running on my site of which I am an affiliate through CJ or other affiliate networks and I am running their banners. They are also running Adwords and their ads show up on my site. G does not say that this is not allowed.

Just like ebay. Ebay does not allow the seller to contact the customer directly and do an off-ebay transaction. But they have their hands off when the customer is the one who contacts the seller directly and deals with the seller off-ebay. Same principle.

webmastertexas

7:18 pm on Nov 14, 2004 (gmt 0)

10+ Year Member



But hey you do what ever you feel is right for yourself, I have my opinions and you have yours and personally I would not do this.

So, uh, when are you going to tell your Google masters about this other guy's "guilty" shenanigans? I'm sure they'll appreciate it and properly reward you for it. Don't forget to bring an apple while you're at it. They love apples, or so I've heard.

ncw164x

7:22 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



One thing I am not is a grass my friend, I was refering to this thread as being my opinion

europeforvisitors

7:45 pm on Nov 14, 2004 (gmt 0)



Or it could mean...

Why not e-mail AdSense Support to ask how Google interprets the contract clause? That's the quickest, easiest, and safest solution.

jim_w

10:55 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



ncw164x
>>Publisher = Z x A + ib x square root of -1 = GUILTY

The -1 is that to allow for the degrees of freedom, or something else?

ncw164x

11:21 pm on Nov 14, 2004 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



No it was something I copied and pasted quickly as a jovial approach to the equations which google set as a test for any new employee's

Not having a PhD I did not see the minus sign ;)