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Old 01-13-2012, 06:34 PM   #3
albert_pak
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Join Date: Dec 2011
Posts: 33
It really depends on how much the ad space is, the type of audience, and getting the right type of ad for your niche. Even if there are two similar sites, this can be different every case by case.

The thing with charging for ad space is that you are limiting yourself on how much you can make. Your limiting yourself from getting the full revenue. Many customers gets hundreds to thousands of dollars and can easily surpass what you charge for ad space.

Now, the type of ads that I offer are CPA ads. The great thing about a CPA ad is that, they pay for every conversion. Think about this, when visitors comes to your website and they're interested in a specific ad that you have running, they click on it to see what the ad is about. Now, these guys are clicking the ad because they're interested in that specific product. What are the chances that they won't purchase, sign up for free trial, or simply put their email in. When the visitors goes through one of these process(it differs for every advertisers), you get a conversion.

Some of these can range from $1.50-$100 per conversion. Now, there are things called cookies where it tracks that customers for a certain period of time(can be days, months, or even a year). Meaning if they go and buy the product at a later time, you can still get paid for that. Usually, the lower the conversion price is, the easier it is to convert.

These visitors don't click on an ad just for fun.... well most of them anyways. Most visitors clicks on an ad because they are interested in what that ad offers. If this is true, the chances of them getting that product or services are raised a lot.

Most website owners think that CPC or CPM are the way to go, but they don't realize that there is a limit to both those ad types.

This is why I request for split testing for many customers. I want to show my customers exactly what kind of performance CPA ads can deliver.

Last edited by albert_pak; 01-13-2012 at 06:40 PM..
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