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Monetize Your Website Part 2 - All About CPM

In Monetizing Your Website Part 1, we briefly covered the basics of CPM and CPM networks. In this article we’ll delve much deeper into this form of website monetization and look more closely at some of the best CPM networks out there.

If you’re too lazy to go back and read part 1, or if you just need a refresher, CPM stands for “cost per thousand” and what that means is you get paid a certain amount for every 1,000 page impressions. The most common CPM ad format is the banner, but CPM campaigns are also available for popups, popunders and sliders.

As a publisher, the CPM banner is about the easiest form of monetization to deal with. You simply apply to a CPM network, and once approved they provide you with some code that you paste into your website. After that, the only thing that you need to do is check the payment reports. While it really is that simple, CPM is only effective for sites with pretty decent traffic levels. For example: If a CPM banner is only paying $0.40 for 1,000 impressions, and your site is getting 500 impressions per day, well it doesn’t take a rocket scientist to tell you that you wont be making squat. However, for sites getting 100k + impressions per day, it’s easy to see that the numbers add up nicely, especially when running multiple banners.

The majority of CPM networks will require you to place their banners “above the fold”. This means that you need to place their banners within the first 500 – 600 pixels from the top of the page. It isn’t much use for an advertiser to have their banner buried at the bottom of your page where no one will ever see it. If you are designing a site from scratch then some planning will be required to ensure that banners can be displayed above the fold. The most common combination is a horizontal top banner in the header of the page, and a vertical skyscraper in either the left or right column of the page. For each additional banner displayed, you are increasing the CPM payout. If both the horizontal and vertical banners are paying $0.50 CPM and you run both, your CPM will become $1.00.

CPM networks generally only have a set amount of inventory. So even if you are getting a $1 CPM and serve 100k impressions per day, the network might not be able to fill all of those impressions. For example: the network may only be able to fill 75% of your impressions, so for 100k impressions you would receive $75 and not $100 as you may have been expecting. This is why it is important to try and join 2-3 CPM networks. When you belong to multiple CPM networks, you are then able to chain the ads. So if network A runs out of inventory, you can set it to display ads from network B, and then B can show ads from network C and so on. All of the good CPM networks will provide the ability to set defaults for ads and it is usually just a matter of cutting and pasting a few links.

OK, its now time to look at some of the best CPM networks in the business. I’m not going to talk too much about these because they are all top notch and are highly recommended. The Tier 1 networks are the best of the best and you MUST apply to those. The Tier 2 networks are good, but pay less.

Tier 1 Networks

• Valueclick Media – These are one of my personal favorites. Easy to use, simple interface and good rates
• Tribal Fusion – These guys offer some of the best CPM rates around
• Casale Media – One of the newer networks but definitely worth joining
• Burst Media – Well established, great payouts.

Tier 2 Networks

• CPX Interactive – These guys offer 100% fill rate. Their CPM isn’t the best, but they are reliable and great for filling excess inventory.
• BannerConnect – Low CPM, but a good company.
• RealTechNetwork
• Mamma Media Solutions
• Rightmedia.com

There are plenty more, but there is enough there to get you started. Good Luck!

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Is cpm or cpa better?

Go with ValueClick, they are one of the best cpm payers I have used

Great resource, i'm just getting started in internet marketing and I need to find out all the info I can

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