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Sarah Worsham / Aug 15, 2008

Pricing Online Ads

Futuristic Play @Andrew Chen has an interesting read: Internet Advertising Bureau and Bain on pricing in online ad markets.  One point for publishers stood out:

Need to better support the value of premium inventory – through more innovative offerings and/or reducing units available

Too often websites get greedy about making money and put ad placements all over their pages (what I like to call the “porn effect”).  Putting too many ads on a page is detrimental to all the advertisers because they have to fight for share of voice (SOV) or attention.  Visitors are more likely to ignore ads entirely if they are lumped together (they subconsciously know that area of the page is just “ads”).  It may seem a bit non-intuitive but creating an ad inventory – or set amount of ads and ad spots can help you increase their value.  As your traffic grows, more advertisers will be interested in advertising on your site.  If you sell out of spots, you’ll be able to raise the prices of your ad spots.  Selling out of spots also entices advertisers because it infers that your site is a valuable advertising placement.

If you have ads on your blog or website, what has been your experience with creating an ad inventory?  What about on other websites that you visit – what are your thoughts about their advertising?

Technorati Tags: advertising, internet marketing, internet consulting

Filed Under: Internet Advertising Tagged With: ads, Internet Advertising, internet business consulting, internet consulting, internet marketing, internet strategy

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About Sazbean


Sarah Worsham (Sazbean) is a Webgrrl = Solution Architect + Product Management (Computer Engineer * Geek * Digital Strategist)^MBA. All views are her own.

Business + Technical Product Management

My sweet spot is at the intersection between technology and business. I love to manage and develop products, market them, and deep dive into technical issues when needed. Leveraging strategic and creative thinking to problem solving is when I thrive. I have developed and marketed products for a variety of industries and companies, including manufacturing, eCommerce, retail, software, publishing, media, law, accounting, medical, construction, & marketing.

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