Re: CPM Pricing Models

From: Jim Reilly <jreilly_at_104krbe.com>
Date: Fri 18 Jan 2002 14:19:35 -0500

On 1/16/02 Lucia Page <LPAGE_at_iowacity.gannett.com> wrote:

> SNIP>>> Any ideas about CPM pricing? If you have any
> models that we could review, I would very much appreciate
> it. Even if you're not in the newspaper industry, I'd
> still be interested in your thoughts.

Lucia,

I represent a group of radio station sites. The stations
are in 8 markets and vary in format. The site traffic
ranges from 53,000 average uniques per month in a top 10
market to 11,000 uniques in a market ranked 150+ by
Arbitron. Stations send opt ins an email newsletter that
varies in frequency by market.

In the individual local markets, it was impractical to
try to sell the sites without bundling the stations'
other assets. This process allowed efficient use of
personnel and combined the glamour of the net with the
reality that all business is local.

For example, I offer Client X a radio schedule,
including an on-air promotion that is supported with a
mention in the e-mailed station newsletter to the opt
in listerner email database and a link (and/or editorial)
from the station web site. I deliver the client better
results than just what he/she would get by a stand alone
:30 or :60 spot.

Now, I am looking to aggregate the sites traffic to gain
revenue through banner and pop up revenue. Perhaps I can
also extend the "local" platform to advertisers who are in
multi -markets. Researching banner revenue through
adtegrity.com, advertising.com, etc means getting the
sales (station web people) side used to CPM/CPP type
models to realize buyers are looking for CPC/CPA models.
This process takes time! However, I believe some type of
arrangement can be put together to net our sites revenue
and advertisers customers.

Our "local" platform may work for you. Come up with a
special program that might includes a full page display
ad, inclusion in a house promo ad, editorial and link
on the newspaper's site for a fun (maybe a community
awareness, charity program). Figure out what it would
take to make a little $$ for you. Sell it and use the
results as case study.

I apologize for the length of this post. Feel free to
email me directly as we may be facing similar
challenges. Hope this helps!

Jim Reilly
jreilly_at_suscom.com
DD: 713.260.4485
Fax: 713.954.2343
Cell: 713.825.1041

Group Manager,
SRC Integrated Solutions
9801 Westheimer Suite 700
Houston, TX 77042





Received on Fri Jan 18 2002 - 13:19:35 CST