CPM versus PPC
Adage has a piece on the highest online ad rates. The CPM model seems to be rapidly reaching its limits. With broadcast and the ensuing large campaigns, paying a set amount per thousand audience members still pay dividends and makes sense. For internet advertising this may not be the most cost efficient way of reaching audiences. The article does mention that niche sites can still command larger CPM rates but it seems to be the case that smaller sites are having to rely on Pay Per Click advertising and referral marketing.
I visit sites such as notcot, slashfilm, and dvxuser on a regular basis. Though I may be aware that certain brands (such as VW) support the communities I visit, it’s not often that I bother to click on advertisements. How do the sites I frequent pay their staff and continue providing me with content I value? I’d like to in the coming months get a bit more in depth into profit models for websites..