Question

Topic: Advertising/PR

Making Money With Ad Impressions

Posted by web765 on 9/26/2012 at 4:49 PM ET 25 Points
I am a Flash designer/developer and interested in developing internet ads for companies. Do creative agencies that design/develop ads for companies just "sell" these ads, and/or do they get paid from impressions (CPM) as well? Thank you.
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RESPONSES

  • Posted by web765 on 9/26/2012 at 4:56 PM Author
    Thx.
  • Posted by mgoodman on 9/26/2012 at 5:06 PM Moderator
    Creative services almost always get paid by the job/project, not based on results or impressions.

    There's a good reason for this: There are many factors beyond the creative product that will impact results. For example, what if the client doesn't spend much money placing the ad? What if they can't convert a lead into a sale? What if their pricing scares off prospective customers? What if they have a lousy product, and people return it? Etc. Etc.

    Charge a fair price for your creative work and be happy to have satisfied clients. They'll come back for more, and they'll recommend you to others.
  • Posted by Peter (henna gaijin) on 9/26/2012 at 6:57 PM Member
    I second - paid by the project normally.

    But, if you were willing to accept a paid per click or pay per impression, I am sure that would be of interest to some potential customers. Do be aware that as mggodman said, the ad design is only one part of what makes an ad effective.
  • Posted by web765 on 9/26/2012 at 8:31 PM Author
    Thx for the quick and informative responses mgoodmand, Peter! Both responses are good to go by! Still, being new with NO exisiting accts/clients, I think I will go the route of just charging for the project and not the CPM. Then take it from there with the ad responses or lack of. Thx again.
  • Posted by Gary Bloomer on 9/27/2012 at 4:34 PM Member
    Hello again,

    It's rare that designers share in a portion of CPM revenue. It can happen IF the designer has a close relationship with the product or company begin advertised but on the whole designers are contracted to design an ad for an hourly or a negotiated fee. I hope this helps. Good luck to you.
  • Posted by mgoodman on 9/27/2012 at 6:06 PM Accepted
    Just a quick note: Don't get sucked into charging by the hour. It's unfair to you and the client. And it's a fast way to turn an otherwise good client relationship sour.

    Unfair to the client because you are motivated to work slowly and inefficiently (to rack up more billable hours), and projects all seem to take longer than they should.

    Unfair to you because you don't get any benefit from working efficiently and/or finishing the job quickly. And the client avoids spending the time necessary to give you all the information because it will cost him/her more, so you are operating with something less than a full deck as you try to deliver a good job.

    Most importantly, it leads to sloppy preparation and a basis for disagreement over your deliverable. Better to require that the client provide you with a clear Creative Brief and then give him/her a firm fixed-price proposal for delivery.

    Experienced consultants and creative service providers have all been through this and know that project pricing is best, but somehow new consultants always seem to think that hourly charges are more convenient (and therefore "better").
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