Increase or Decrease in CPM Rates?
There was much discussion closing out 2007 and into January regarding CPM rates. Would these rates continue to rise, would they fall, what about the state of the economy? The focus should not be about rates increasing or decreasing, rather the ability to convert the traffic that is being purchased.
There will always be certain sources that will naturally convert better than others. Tailoring your message to reach your specific target will give that much needed lift to be able to afford the higher CPM rates. I came across an advertisement on CNN.com yesterday from Overstock.com.
As you can see the creative is very tailored to CNN readers, going as far as offering them a free shipping coupon. This type of advertising not only gives users an incentive to shop, but also qualifies the initial click. I have no doubt after the sale that Overstock.com is able to track the lifetime value of the users they acquire from CNN.com, and specifically this Valentines Day campaign.
By creating a campaign tailored to a specific target audience, Overstock.com undoubtedly is able to afford rates that otherwise with the same broadly targeted campaign they would not. They have incorporated specific site targeting and are fully taking advantage of the seasonality factor of the offer.
It doesn’t matter what the rates are as so much as your focus on converting the traffic at hand.
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