Dynamic CPM for dummies

Dynamic CPM- What is it?

Written by Darya Ram

This Model actually combines 2 other models and solves issues that advertisers bump into on a regular basis.

Buying media on a CPA basis is seemingly genius, since there is no expenditure before revenue. However the issues that advertisers normally bump into are lack of volume and being dependant on other publishers. This also means that you will not be able buy media on the premium websites since they only work on CPM and therefore are losing huge amounts of traffic as well.

However buying Media on CPM does not guarantee results.

So the question is what to do?

The dCPM solution that has been working with most ad-networks already for a long time integrates these 2 previous models we discussed- CPA and CPM and solves the issues we had with each one of them. This is how it works:

They buy Media on a dCPM (dynamic CPM) basis- this means that the price changes and is not constant. So they can buy media for 2c and for $1.50 depending on the website, placements, day and time.

During the Campaign they know what their client’s CPA goal is. They optimize the campaign and find out where the acquisitions are coming from. Websites which are not giving the results are removed and websites which are converting correctly of course will have more spend. This way the client lands up paying the same price for the CPA but actually has paid for the media in CPM rates.

What is important to know though, is that since this is dynamic a client expecting 1000 acquisitions might get in the first campaign 997 acquisitions or 1005 acquisitions

However it will be as close to the goal as possible. On the second campaign since they know already where the acquisitions are coming from it is simply a matter of putting the budget in and getting the results. However they do continue to optimize and lower the CPA as well. In the beginning of the campaign the traffic is slow but once the Initial optimization phase (10-14 days) has been completed the process picks up speed and starts generating the acquisitions in volume.

Since the Client Retention for these ad-networks is extremely important ,it is very important to have open communication with the client during the campaign. The lines of communication need to be open. So if there are any issues or ideas while the campaign is running both parties work it out together.

Passive Marketing vs. Active Marketing

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Affiliate Marketing vs. Ad Network Marketing

Written by Darya Ram

Every performance client on the internet today is looking to get results and increase their revenue.

There are various options available but Affiliate Marketing and Network Marketing are the most popular.

E-mail marketing and Search Engine marketing are a must for all performance based companies, but when looking for volume is definitely not enough.

So let’s discuss the Pro’s and Con’s of Affiliate Marketing and Ad Network Marketing.

Affiliate Marketing

Affiliate marketing is Seemingly Genius since there is no expenditure before revenue. And every performance client should be doing affiliate marketing.

However the issues that advertisers normally bump into are lack of volume and being dependent on the publishers.

The publishers are in control of your campaign. They will decide for you How much to advertise, Where to advertise and When to advertise. This means that you have no control of the volume you want to achieve or advertising at times and places that you know work for your product or service.

This also means that your banners will not appear on the premium websites since they only work on CPM and therefore you are losing huge amounts of traffic as well, which will directly affect the amount of volume you can achieve.

The only way for you to increase your volume on Affiliate marketing is making sure that your CPA Payouts are always going to be higher than your competitors, so that the publishers will have an added value in choosing your product or service to market.

Since you have no control over the campaigns this kind of advertising from an advertiser’s point of view is PASSIVE.

Ad Network Marketing

Ad Network Marketing is an ACTIVE form of marketing since the Ad Network actually goes and finds out where your clients are surfing. By optimizing through thousands of websites it is actually sifting through the internet to find out exactly where your results are coming from. Since the media is bought on CPM rates and optimized towards your CPL or CPA goal, there is access to all types of media including Premium traffic which opens up maximum options to maximize results. This of course will generate maximum volume for performance companies while getting their desired ROI and of course opening up many more opportunities to increase revenue.

This means that you will be an ACTIVE partner and an effective influence on your campaign.

Take control of your Advertising Budget!

Take control of your campaigns. Invest your budget ACTIVELY.

Be an Active Advertiser and have an influence on your results.