Making money from CPM advertising

Written by Mike

Topics: General

I never had much experience trying to make money from CPM until I worked on my site for the Beijing Olympics. Basically you just get paid a certain amount every 1000 times your ad is displayed on a website. Rates are pretty low and vary between industries. A quick search on the internet says the average rate might be around $5. Possibly higher for finance related sites and lower for social networks/celebrity sites.

I have been following Duncan Riley’s latest venture with interest – the Inquisitr and have even contributed a few posts. Duncan used to write for TechCrunch and his articles were often the most interesting and controversial.

The site’s traffic has grown where he will now be spending $750 a month on a managed server. It seems to me to be quite a bit of money, and hosting is typically one lower costs of a web business, with the exception of hosting videos.

I suppose most people would be envious of that level of traffic, but for an entertainment/news site I think it is not unusual. The problem is however, like what I found with the Beijing Olympic site, is that the traffic is not targetted and it is difficult to monetize.

Finance is probably the best paying industry. Travel, what I am trying to focus on, is also good. Entertainment/celebrity type sites are probably the worst industries to be in. Teaching people how to make money from the internet is probably also very lucrative.

If I had to rank the best ways to make money from the internet, they would be:

– selling your own info product
– direct advertising deals with companies
– affiliate programs
– PPC (Adsense)
– CPM (cost per impression)

I am sure that the Inquisitr now is starting to gain some interest in traditional media channels and I am sure there are some Australian companies following with interest. Duncan is able to get a lot of traffic and interest from his stories, something which many traditional news sites fail to do. One simple reason I believe is that most news sites don’t have comment sections, or comments need to be manually approved. People want to have their own say on a story.

So the Inquisitr might be struggling to make money now, if it continues to grow rapidly, I am sure an old media newspaper or magazine, might be quick to snap it up.

2 Comments Comments For This Post I'd Love to Hear Yours!

  1. Duncan Riley says:

    It is a lot of money, and more than I would otherwise have cared to spend until February (our rev payout is 60 days net) but it was an investment well spent. It is, to say the least Moet & Chandon Vintage hosting. We were previously on a DV at $150 a month which is more than you’d pay for a box at many places, but the service level has been brilliant…well until we started hitting 100k or more every day, but in MT’s defence, it never went down, just got v.slow most of the time 🙂

  2. One day I am going to take PPC seriously and dive head first into it because I know I rely too much on natural results, anyone know a good course?

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  1. Retire Young and Wealthy » Duncan Riley sells Inquistr for $330,000

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