Good morning,
I looked at this about a year ago and the conclusions that I came to were;
1) There is no such thing as a "Rate Card"
2) The price is changing very fast as advertising purchasers get a better grip on how advertising is working.
There are quite a few media purchasers and if you have the patience to contact enough of them you may and only may get some useful information.
One issue seems to be that it is not just the volume of traffic that determines price, but the mindset of the visitor; The willingness of the user to even look at adverts, their spending power, the price of the item, if the site is specialised would they be advertising mainly to existing customers, is this an advertising campaign (they want to sell product) or is it a marketing campaign (awareness not sales are important), the degree of relevance of your site, the time of the year.
What I am really saying is that there isn't a set answer but a couple of examples from well established sites;
http://www.camra.org.uk/media/pdf/CAMRA-MediaPack.pdf
The Publican
You then have to decide if you are going to dedicate the space on your page to one advert, rotate a number of adverts or show an advert a fixed number of times. If you decide to rotate or limit the exposure of your ads, you not only decrease the value to the advertiser you incur upon yourself the obligation to ensure that this is done in accordance with your agreement with your advertiser.
If you try and offer pay per click you would need to implement some quite complex systems to avoid these clicks being misused by the advertiser's competitors, this is a well known issue. There are a number of tools that a nasty person can download that will "click on adverts" to incur costs on rivals.
Alternatively you can look at click thru and conversion rates, work out the value of one sale for the advertiser, multiply by the number of sales that you would expect to create and make your advertising rate say 5% of these sales.
There are no useful stats on how many sales you are likely to generate, those that are published tend to be averages but as a starting point a 1% -2% click through followed by 1%-2% of those who click through buying would seem to be a good starting point. This is 0.01% of your visitors and whilst it sounds really low think about how many sites you have visited with advertising and how many purchases you made as a result of these adverts and it makes more sense.
So 60,000 visits = 600-1200 click through and 6-12 sales, for a £50 item this would be £300 - £600 in sales which would justify around £15-£30 in advertising.
It's very tempting to get out the spreadsheet and tweak the click through and conversion rates to get a better outcome and experience may show that you achieve better rates than this.
If you just want to get a bit of extra revenue from your site all this may be too much of a hassle, which is why many site owners sign up to the affliate marketing agencies.
In general affiliate marketing schemes pay commission at 2%-10% to the affliate, whilst thr managing agency takes a couple of % and charges a fee from a few hundred quid a month upwards for managing the campaign. If you do decide to go down this route you need to look at the absolute amount that you receive per sale and the number of sales that you are likely to make, rather than the commission rate.
Its all very well a scheme offering 20% of a £1,000 sale and there are some schemes that do this, but the reality is that you would make the introduction and by the time that the customer decides to purchase, the commission period has expired so the supplier gets the sale and you get zilch.
Bye
Ian
How much to charge for advertising
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