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How to Pay $8-16 CPM's on Direct Response Offers, without losing money to test

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  • How to Pay $8-16 CPM's on Direct Response Offers, without losing money to test

    Ever think you couldn't pay $3-8 CPM's and make it profitable on a display buy?

    Well maybe you already are and you don't even know it. If you're buying on Google Display Network (GDN) there's a good chance you know that you can look at publisher placements by site. This has been going on a long time. But often will throw you off when you go to buy.

    Here's why...

    It says that you're paying $0.30 or $1 or whatever for your CPM. This is true for ALL impressions...

    However there's a newer feature in GDN called "viewable inventory". So why is this useful?

    Basically you can run a report and look at what your CTR's, CPC's and CPM's are based off of viewable. This is the stuff people actually see.

    Viewable is defined as inventory in which at least 50% of the ad was in the screen area. What you'll find is you're paying a lot more then you think for those viewable impressions. Sometimes as much as $3-8 CPM on a good placement.

    Now you can go to a traffic source and say you want above the fold first impression on that inventory. This means that it's in the viewable window when the page loads the first time. Also it's the first ad shown and not deep in the user session where they're already becoming numb because they've seen so many ads.

    So how do we find that Viewable inventory?

    Once you go into your Google Adwords interface you'll want to click on the "display network" tab. Then the "placements" tab. Here's an example below.

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    Then you can go in and adjust what columns are viewable. The viewable CPM and CTR are not available by default. So click on the Performance (active view) blue text and then push the
    • Active View viewable impressions
    • Active View viewable CPM avg CPM
    Over to the columns viewable on the right. You just hit the little double grey arrow next to it.

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    To make it easier to see the comparison I ordered the CPM and CTR viewable and non-viewable next to each other. So below you can see ow big of a difference there is with viewable inventory. We're buying on CPC. So it effectively costs us the same. Because we're not paying CPM for that unviewable inventory. If you were you'd probably be in big trouble unless you were buying it very cheap.
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    Now depending on what that source is I'd approach them and say what is your CPM rates for
    • Above the fold
    • Home page
    • 1st impression
    • 1/24 display per user
    You: How much is the above the fold 300x250, above the fold on the home page on a 1/24?
    Publisher: $8 CPM
    You: Wow that's pretty expensive is that the best you can do?
    Publisher: well we could do $7 CPM with a volume buy

    Now you're just thinking to yourself...

    Wow what a great deal, I'm paying $16 on Google
    Jason Akatiff, CEO - A4D Performance | Follow Me on Twitter | Read my Blog
    >> A4D - CPA Network, 8 years in business, never missed a payment. Sign Up Here! | NEW Skype: live:jasona_33 <<<

  • #2
    Good guide Jason;

    I actually attempted to do what you recommended, and had my assistant contact 50 of our top converting pubs to see if we can buy direct. What we learned will shock you.

    Most of the pubs want insane fees. We're talking 5$ CPM via GDN; but when asked direct $50CPM for a direct buy IO!

    We encountered this on every single one of the pubs we contacted.

    Comment


    • jkutasi
      jkutasi commented
      Editing a comment
      What happened when you told them I can just buy the same placement through GDN?

      I had this experience with Zillow years ago. They wanted $4 CPM, and I said I could buy $2 through GDN. Rep said, &quot;I am aware, but the extra $2 covers our overhead.&quot;

      I held back from engaging in a dialogue about perfect, efficient markets : )

    • adbeat_mike
      adbeat_mike commented
      Editing a comment
      What did you write exactly when you asked to buy direct?

      Many sites will quote you a premium guaranteed inventory price when you just ask for pricing. Often these same sites will sell inventory at much lower CPMs that is not guaranteed. Try asking for pricing for remnant inventory - often this will get you transferred to a different contact and different terms.

  • #3
    Originally posted by iAmAttila View Post
    Good guide Jason;

    I actually attempted to do what you recommended, and had my assistant contact 50 of our top converting pubs to see if we can buy direct. What we learned will shock you.

    Most of the pubs want insane fees. We're talking 5$ CPM via GDN; but when asked direct $50CPM for a direct buy IO!

    We encountered this on every single one of the pubs we contacted.

    That seems really weird. I haven't had that experience in the U.S.

    We've done a lot of direct site buys.
    Jason Akatiff, CEO - A4D Performance | Follow Me on Twitter | Read my Blog
    >> A4D - CPA Network, 8 years in business, never missed a payment. Sign Up Here! | NEW Skype: live:jasona_33 <<<

    Comment


    • #4
      I've encountered really high CPM's ($25-50 ranges), especially with very niche-specific websites or very high authority websites. However, these tend to be the exception in my experience. Most high volume websites usually have internal sales people that will offer competitive rates. Sometimes it takes a fair degree of negotiation, and a sales rep that understands direct response campaigns.

      Comment


      • #5
        Like I wrote on FB, a lot of sites only use Adsense for their remnant; whilst their premium inventory is sold to brands at double-digit CPMs.
        My experience pretty much mirrors what Attilla wrote above.
        Me: hey, I buy your traffic in Adwords display, can I buy direct?
        Brazilian website: sure, amigo, $25CPM
        Me: you loco? I pay $0.50 on Google...
        Them: ok, just for you - super special deal: $17CPM

        Comment


        • #6
          I've had the same experience as Atila for non-usa * websites. For example in Bulgaria you can buy clicks from GDN or from the local ppc company called Adwise or Easyads.bg for like 0.03-0.08$ per click, but when you want to buy directly they want insane CPMs 15$ and more. I guess it really depends on the sales team of the website, I could definitively see this working for larger websites that have a million or more views per day.

          Comment


          • #7
            We have primarily focused on the top 100-150 sites on Alexa. Most of the time top 50. Is this the kind of sites you're going after? Most of the ones we deal with have a monetization sales team and are always negotiable.

            When negotiations make the IO big and just keep pushing to get what you want.


            Sent from my iPhone using Tapatalk
            Jason Akatiff, CEO - A4D Performance | Follow Me on Twitter | Read my Blog
            >> A4D - CPA Network, 8 years in business, never missed a payment. Sign Up Here! | NEW Skype: live:jasona_33 <<<

            Comment


            • #8
              that nice can i use the same with interests instead of placements?

              Comment


              • #9
                Jason,
                Do you always have 1 ad size per campaign/adgroup? I guess the advantage is you can see ad size->placement performance but is it worth extra set up and tracking work?

                Also, did you try running on GDN on cpm basis?
                Last edited by ericnyc; 03-20-2016, 06:38 AM.

                Comment


                • #10
                  Originally posted by ericnyc View Post
                  Jason,
                  Do you always have 1 ad size per campaign/adgroup? I guess the advantage is you can see ad size->placement performance but is it worth extra set up and tracking work?

                  Also, did you try running on GDN on cpm basis?

                  Another great way to get reporting break down is using their labels. We label each ad with it's ad size, and then further break it down if it's animated/not animated and then you can get a breakdown of your performance by these labels. It'll be able to show you all your animated ads vs not animated at a glance or all your ad size breakdowns at a glance on whatever level you'd like to break it down. It doesn't let you break down by placement and labels however.

                  Comment


                  • #11
                    What do you guys use for tracking impressions so you know you're getting what you pay for? We looked at adzerk even though it's generally used for display on your own site. We thought about doing something in-house but then got concerned about bot traffic and potential fraud.

                    Comment


                    • exosus
                      exosus commented
                      Editing a comment
                      Found out it's Sitescout Adserver for those interested.

                  • #12
                    can i use the same with interests ( instead )of placements?

                    Comment


                    • #13
                      If you're talking about GDN interests you end up getting placements regardless. Your goal from what I believe the above guys are saying is find placements that work well for you using GDN whether it be thru interest based targeting, keyword targeting, or the more obvious placement targeting. Regardless your ads end up being placed on various related sites based on your targeting which you can find in your stats. Find the profitable ones then try and get direct deals.


                      The CPM problem you guys state above where site owners want too much money has to do with them looking at their adsense cpms and saying I make $50 RPMs from adsense why would I show you at a lower CPM. They don't realize they shouldn't be looking at their average rpms as a minimum price to buy their traffic they should be adding both your units and adsense to something like doubeclick for pubs and showing the highest bidder. A lot of site owners dont understand some traffic is worth more than others and that some people are paying 50 cent cpms while others might be paying $100 cpms. Your $1 CPM for their 50 cent cpm traffic is a great deal but adsense is doing $50RPMs so they assume the deal you're offering is terrible.

                      One way around this.. Convince them to show your unit alongside adsense.
                      Last edited by exosus; 03-27-2016, 01:44 PM.

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