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Online Advertising Barnaby Dorfman Monetization

IFBC 2011 SAMO Monetization

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Blog Monetization presentation from the 2011 Santa Monica International Food Blogger Conference.

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Page 1: IFBC 2011 SAMO Monetization

Online AdvertisingBarnaby Dorfman

Monetization

Page 2: IFBC 2011 SAMO Monetization

I know that half of my advertising dollars are wasted … I just don’t know which

half.-John Wanamaker

The Promise for Advertisers

With Online Advertising the Impact of All Dollars Can be Measured

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Definitions

– Impression: The Viewing of an Ad by a person– CPM: Cost per Thousand Impressions– CPC: Cost per Click– eCPM: Effective Cost per Thousand– CPA: Cost per Acquisition– CRT: Click Through Rate– UV: Unique Visitor– Visit: A Single Website Session by a User– PV: Page View– PPV: Pageviews per Visit– House Ads: Unsold, Self-Promotion Spot

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Advertorial

• Sponsored – Blog Posts– Email– Twitter/Facebook

• Set a base flat rate

DISCLOSEDISCLOSEDISCLOSE

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Display Advertising

Begin with

Design Review

To Create Inventory

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Choose Creative Types

• Banners• Popups/Popunders• Takeovers• Multimedia/Video• Social Media

http://www.iab.netInteractive Ad Bureau

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Selling: Use a Mix for Max $

Direct Selling

Targeted Networks&

Agencies

Broad Networks“Remnant”

$

Volume

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Broad Networks• CPMs: $1-3• Can be Total Autopilot• Less Control

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Targeted Ad Networks & Agencies

• CPMs: $2-$5• More Control (usually)• Read the Contract• Watch Out for Exclusives

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Direct Selling

• CPMs: $5-$10+• A Lot of Work• Total Control• Leverage Relationships• Create a Media Kit– Traffic– Audience Demographics– Editorial Calendar– Creatives Available– Pricing?

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Delivering Advertising

Double Click for Small Businesswww.google.com/dfp/sb

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Numbers

“It was my understanding that there would be no math”

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So How Much Can You Make?It Takes a Lot of Traffic

• Assume • 100,000 Monthly Unique Visitors• 2 Visits per Month • Average 2.5 PageViews per Visit

• Equals 500,000 Pageviews/MonthAd Type RPM/eCPM Monthly Income Annual

Income

Adsense $1 $500 $6,000

Targeted Network $3 $1,500 $18,000

Direct Sales $10 5,000 $60,000