The dollars and Sense

What to pay for advertising on blogs is somewhat negotiable and relies on a combination of factors. Bloggers may sell the space on their sites for a flat rate, or it may be available to purchase on a cost per click basis. If the blogger offers a flat rate the price is determined by two factors, the specifications of the ad (where the ad will be placed on the web page, how big it is, and how long it will be there for) combined with how many page views the blogger brings in a month. Raymi offers standard format advertising space on her blog (4000+ hits per day) for $60 one week, $110 two weeks, $175 one month, $450 three months. The cost of advertising on personal blogs is determined by the blogger themselves, and for this reason, the price ranges from a few dollars to hundreds. Some of the factors that determine what the blogger will sell their space for depend on many different factors like site traffic, the bloggers niche, ad placement and visitor demographics. A 50% increase is common for ads that appear when the page is first loaded (similar theory to front page above the fold in newspaper advertising)(Agarwal, 2007). If a company is interested in blog advertising it is common practice to request statistics on the site.  Common statistics include; how many visitors the site gets per day, how many are returning visitors, and how long they stay at the site. These statistics determine the estimate for the advertising space and the company and blogger can negotiate from there. 

 Advertising on blogs can have exceptional results. GMD Studios CEO Brian Clark, whose agency does work for Audi, stated that 29 percent of traffic to a site created as part of a recent Audi A3 campaign was generated by advertising on the BlogAds network. This 29 percent was achieved with just one-half of one percent (0.5%) of the overall media budget. (Hall, 2005) The advertising on blogs delivered Audi 29 percent of all responding yet took just on half of one percent of the budget to do so. When thinking about advertising as a means to promote your product it is important to include blog advertising in the media mix. This method is highly profitable, effective and extremely inexpensive for the return on investment.