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what are the minimum and maximum cpm(cost per thousand views) advertisement rates for a website?

I am planning to launch a social networking website. In that I want to allow advertisements.For that i want to know Cost Per Thousand views advertisement rates?what are the minimum and maximum Cost Per Thousand Views ad rates for a website? Can i charge $20-30 if my website got famous?

Answer 7270

Even though the answer for CPM rates is almost always 'it depends', you can do a few things to make a decent estimate.

  1. Use Facebook Advertising to estimate CPM. You say you are creating a social network. Ask yourself, what will my demographic look like, and then plug those attributes into Facebook's advertising backend to get an idea of what it would cost to reach those same people on Facebook. For example...

Let's say I wanted to create a social network for Spanish speaking teens who live in the USA.

Create an ad on Facebook (click the arrow on the top right and select 'Create Ads' from the drop-down). Then select 'Clicks to my Website' as your objective.

When you get to step 2, enter in the demographics that match your target market. In our case, age: 13-18 years old, language: Spanish Screenshot of Facebook Ads Demographic Section

Then scroll down and select 'Impressions' under 'Optimize For'. You'll see that Facebook suggests a CPM amount based on what other advertisers are paying to reach this same target market. You can see that in this case, Spanish speaking teens are worth at max $1.96 per 1000 impressions according to Facebook.

Estimated CPM for Our 'Spanish Teen' Network

  1. See what other websites in your niche are selling ad space for and use that as an estimate using BuySellAds. For example...

Let's say I wanted to create a social network for people interested in fashion.

Visit buysellads[dot]com[slash]buy and click on the 'Beauty & Fashion' topic link. (sorry for the weird URL, I can't post links because I'm new.)

You can then click through to see the pricing for each of the different websites in that category. In our case, it looks like...

Once again, this isn't perfect, but it does help you make better estimates for potential CPM rates. Does that make sense?

Answer 7259

It completely depends on your audience, your channels (video, audio, display, text) and how you’re selling your ads.

You can try to do some direct sales if you can deal with the logistics and throw in a few RTBs (real-time bidding) for when your direct clients’ stock of ads run out. Or simply use RTBs directly (CPC, CPM, and/or CPA) so you’re not worrying about selling the ads yourself. The first earns more but takes time and resources.

In either case, the more select/valuable your audience, the better the CPM you can snatch. And note that advertisers won’t be interested in wasting their time on sites with a small audience. If your traffic is too small your only recourse are RTBs.

Being famous or popular is irrelevant. What counts is what your user base consists of and what it’s doing on your site. If you build a social network for 1% individuals, investment bankers and entrepreneurs will pay a lot more than $20-30 to put their ads in front of them. If you’re building a social network where teenagers are posting lol cat videos, there’s not a chance in hell you’ll be able to charge that much.

To get a rough idea of how much you can expect to make, look into similar websites and check their CPMs. Contact them if needed: pose as a potential advertiser and ask.

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