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CPM advertising, also known as banner advertising, can be extremely lucrative, even when using ad networks, which provide the lowest CPM rates. However, if an ad is misplaced, or the site is not built with advertising in mind, you will see that your earnings are not what they could be. This article will provide some fundamental steps and rules to provide you with the optimal banner advertising settings for your online advertising revenue.

The most important concept is that of positioning, in this case, what is called being “above the fold.” The term comes from the print media, specifically the newspaper industry, where the fold would be a newspaper folded in half; An advertisement visible in the top half of a folded newspaper would be considered above the fold. In the world of online advertising, crease refers to what is seen on the screen in most normal monitor resolutions when the ad is first loaded; a quick web search will give you some statistics on what the normal resolution is for most of the population. , but 1024×1256 is a good starting point.

Ads that are in the top half of the page perform the best, so when planning a site or creating wireframes for a site, be sure to leave space or IAB standard spaces for banner ads. Today’s popular and well-used IAB standard spaces are 728×90, 300×250, and 160×600. A popular banner configuration that sites use is the “hockey stick,” which consists of a 728×90 at the top of the site and a 160×600 at the left or right margin of the site. While it’s okay for 160×600 to go below the top half of the page, the more ad that is visible in the top half of the page, the better it is for your revenue.

The goal at the end of this process is to get more clicks on your ads and provide attractive ad space for which advertisers are willing to pay the maximum price. Advertisers measure the response to their online banner ads in terms of clicks on the ads themselves, which is called performance. Performance is clicks divided by impressions, expressed as a percentage. Example:

100 clicks / 1000 impressions = 10% performance.

The most typical returns would be below 1%; Anything over 1% for banner ads is considered extremely good. The exception to this is text ads, which tend to have higher click-through rates, but also tend to have different models of how the customer is charged (see my other articles on CPM and CPC advertising for examples of this. ).

Some studies have found that users are more likely to click on links and ad banners on the left side of their screen, as most people in Western countries read from left to right. Best practice is to experiment with positioning (left or right) and integration around content to discover the combination that generates the most revenue for your site design.

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