Re: Going CPM Rates

From: Ilona Jerabek <ilona_at_queendom.com>
Date: Thu 06 Dec 2001 10:30:25 -0500

Janet Attard <attard_at_businessknowhow.com> wrote:

> with your guess about how a
> publisher can be profitable with a $1 CPM? I'd love to see
> how a publisher could cover marketing costs, production costs,
> server, programming, bandwidth, content and all other costs
> and be profitable at $1 CPM.

Simple - for 1MM impressions at $1 CPM, you get $1,000.
To be able to run a site with 1MM impressions, you need
a reliable server - say nothing below $300 - $400 a month.
That leaves you with $600 to cover salaries of support
staff, content people, administration, rent, computers,
office supplies, and marketing. Doesn't seem like a lot,
does it?

$1CPM barely covers the ad serving expenses. If you don't
make any cash elsewhere, your business is doomed. That's
why so many publishers are packing suitcases - they
cannot afford to subsidize advertisers.

Just my $0.02 (... ironically, the going price for 1 CPM).

Ilona (Queendom.com)


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Received on Thu Dec 06 2001 - 09:30:25 CST