CPC - Advice needed on what to charge

[Jinx]

I want to pick your brains on CPC.

I run a lottery/games site that gets between 10,000 - 12,000 unique visitors per month.

I've been approached by a company called Scratch2Cash.com that want to advertise banners and have a site review.

They're asking for CPC or CPA costs. I wanted to go with CPC (but would rather do a monthly flat fee as my traffic isn't substantial enough). As they're only interested in CPC, what would you say is a reasonable test price run given that I've never explored this route before?

I've looked around the net and various forums, but it seems very much down to the discretion of the site owner at this sort of traffic level.

My developer has just implemented a CPC section on the site for advertisers, so I'm ready to go.

The only other thing they want is an agreement for the CPC campaign, so if anyone has a standard template I could adapt it would be most appreciated!

Any advice gratefully received.

Cheers.

Steve.

[anshul123]

Originally Posted by Jinx I want to pick your brains on CPC. I run a lottery/games site that gets between 10,000 - 12,000 unique visitors per month. I've been approached by a company called Scratch2Cash.com that want to advertise banners and have a site review. They're asking for CPC or CPA costs. I wanted to go with CPC (but would rather do a monthly flat fee as my traffic isn't substantial enough). As they're only interested in CPC, what would you say is a reasonable test price run given that I've never explored this route before? I've looked around the net and various forums, but it seems very much down to the discretion of the site owner at this sort of traffic level. My developer has just implemented a CPC section on the site for advertisers, so I'm ready to go. The only other thing they want is an agreement for the CPC campaign, so if anyone has a standard template I could adapt it would be most appreciated! Any advice gratefully received. Cheers. Steve.

for CPC this will give you a better idea abt your bids...

http://uv.bidtool.overture.com/d/UKm...tools/bidtool/

[bonzodog29]

Originally Posted by anshul123 for CPC this will give you a better idea abt your bids... http://uv.bidtool.overture.com/d/UKm...tools/bidtool/

Yeah thats a good shout to find out what to charge, another thought would be quickly put a google ad to check out what they are charging just dont put the ad live as you need to put one together in order to use their traffic estimator

[Jinx]

Cheers for the replies.

Not sure how it will help, but I hadn't seen the Overture tool before, so thanks for that.

I need to know from an advertiser's perspective. There won't be any bidding on keywords, Scratch2Cash want to pay me to have their banners placed on the site on a CPC basis.

I read this post from Expedia in the forum suggesting that 50p would be the norm to charge per click on a CPC campaign. Does this sound reasonable in my case?

Originally Posted by Expedia(SEO) Hello, Here is my 2 cents. [*]what's the difference in being a merchant vs an affiliate Answered [*]how do we ensure that we pay per purchase rather than by clicks which may not result in sales There are 3 basic ways to generate revenue by affiliate marketing and that is CPM, CPC and CPT. by this they have different payout due to the nature of each model. CPM, is Cost Per Thousand, is used for display or branding of the advertiser. CPC is the Cost Per Click is the clicking of the ad to the advertiser's selected site. CPT is Cost Per Transaction where the pay out is after the user has seen the ad, clicked the ad and has signed up and purchased a product. Each of these basic models are harder to achieve as the user moves along, but the payout is also larger. a typical CPM for a normal banner is about .20 per 1000, the average CPC payout is about .50 per click and the CPT is about 5 pounds. given, every ad campaign is different, so this is just a typical sample. [*]what are the main benefits of being involved with an affiliate network Networks are like a mall of advertisers and Merchants, where you can go to one place and join multiple programs and have one payout. However, this also means you are sharing your payout with the Network. Most affiliates chose to join the affiliate program directly, if it is available, and the commission and support rates are better. [*]what are the disadvantages A network has a difficult time sine they must support multiple products and each merchant/advertiser makes them different % of a purchase, so being neutral has been difficult. Not all of the programs are offered by one network, but some networks do not allow you to work with two networks at once or leave the network to join an affiliate program directly. Be sure what is involved when looking to approach an affiliate program directly. [*]how does the placing of banners work and promotion of other affiliates I do not understand this question. Are you talking about banner advertising and remnant advertising or a banner exchange from one affiliate to another? [*]which network would work best for us Depend on your needs, requirements and future growth. Join a couple and see what they offer, as well as join a couple of direct merchants and advertisers like Wrightmedia or Advertising.com Cheers, I hope this helped Jai

Thanks again.

Anyone got a CPC agreement I can adapt?

Steve.

[hirschnathan]

Jinx

I dont understand

If its worthwhile for them to put a banner on your site and pay you x per click, I am sure they would have worked out conversion rates, why dont you stick a banner as an affiliate?

[drivetowin]

For something like Scratch2Cash I would think you're doing well if you can get them to pay 5p per click.

[Jinx]

Well I'd considered placing a banner as an affiliate, but CPC will enable me to assess how well it does, and if worth it, I'll consider signing as an affiliate.

I don't know enough about the company, so I considered taking it on face value for now.

5p seems a little pessimistic, but if that's the case, I'll price it accordingly.

Thanks for the advice.

Steve.