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Q: How much should I charge for a banner ad? ( Answered 5 out of 5 stars,   2 Comments )
Subject: How much should I charge for a banner ad?
Category: Business and Money > Advertising and Marketing
Asked by: trinity-ga
List Price: $125.00
Posted: 14 Jun 2006 10:49 PDT
Expires: 14 Jul 2006 10:49 PDT
Question ID: 738116
I am working with a company that has recently launched a niche market
website that sells tickets to sporting events and concerts.  We are
interested in selling banner ads on the site.  Our current traffic is
approximately 400 unique visitors per day, so we really don't have
high enough numbers for CPM or CPC (or should I say we don't have high
enough traffic to make money through those right now).  We are
interested in charging a monthly flat rate per banner ad, yet we are
unsure how much to charge.  Our goal is to target local businesses in
each of the major sports teams' cities who are interested in being
affiliated with the sports industry and who want to attract a target
audience of young, educated, affluent males (our demographic).  How
much is a reasonable amount to charge these companies for a banner ad
on our site?  Again, this would be a monthly charge and not based on
cost-per-thousand impressions (CPM) or cost-per-click (CPC).  Please
ask for clarification if necessary, as I will be happy to provide more
information.  Thank you!
Subject: Re: How much should I charge for a banner ad?
Answered By: belindalevez-ga on 16 Jun 2006 02:45 PDT
Rated:5 out of 5 stars
<What to charge for banner advertising.

I have taken a look at what other ticketing sites are charging and
what low traffic sites targetting the 18 to 34, sports fan demographic
are charging.

A wide variety of prices are being charged and there seems to be no
consensus. Judging by what some low traffic sites are charging, it
seems that there is scope for sites to achieve higher rates than they
are currently asking.

Many ticketing sites do not have advertising. Those that I found
charged between $30 per month and $927.00 per month. The site charging
the most had just 80,000 unique visitors which is fewer than your
146,000 visitors. This site has commercially exploited all avenues of
generating income. They also give a clear demographic analysis of
their audience which advertisers like to see.

With sports sites, a site with just 10,000 unique visitors is charging
$250.00 a month and appears to have its advertising fully booked.
Whereas a site charging $450 per month appears to have no takers.

There is certainly scope to convince advertisers to pay over $900 per
month and it is certainly possible to attain $250 per month from a low
traffic site targetting sports fans.

When pricing your banners you will need to bear in mind that companies
may try to negotiate the rate down so it advisable to leave some room
for negotation.

It might be an idea to try out a test marketing exercise, initially
offering advertising at several rates to different potential
advertisers to find out the optimum price.

What other sites targetting sports fans are charging. and
Sports fans.
10,000 unique users.
$250.00 per month.
The advertising space on these sites is fully occupied.
$150 to $300 per month. 
320 unique visitors per day. 
$50 per month

18-34 male demographic
$125 to $500 per month.
80,000 unique visitors per month ? approx 2,700/day

Ravens ? football site. From $100 per month., a sports site charges $450.00 per month. They do not
specify how many visitors they have. However they don?t have any
advertisers. The adverts are all for their own products.

What other ticketing sites are charging.

Sells ticket to concerts in the Chicago area.
$125 per month.
Tickets to christian concerts.
$50 per month

Sells 13,000 tickets a year.
Static banner ads - $30/month.

85,000 visitors
1500 for 3 months. Approximately $927.00 per month.

Ricoh Arena

This site with 250,000 visitors is charging $99 per year and $149 for
animated banners.>

<Search strategy:>

<tickets " static banner">

<"banner ad"  "per  month"  "sports fans">

<"banner advertising" "sports fans">

<Hope this helps.>
trinity-ga rated this answer:5 out of 5 stars
Good job! Thank you!  This definitely helps me.

Subject: Re: How much should I charge for a banner ad?
From: ck99-ga on 15 Jun 2006 13:36 PDT
I must say a flat fee of 500 to 700 usd per month.

Does that help?
Subject: Re: How much should I charge for a banner ad?
From: trinity-ga on 15 Jun 2006 13:40 PDT
I appreciate that information.  Honestly, the primary owners of the
website were thinking of $150 usd per month per banner, mainly
targeting local businesses.

Can you tell me how you came to your usd amount?

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