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BizReport : Advertising archives : June 17, 2010

News sites see highest display ad CPMs, lowest impressions

Display ads on news websites may not attract as many impressions as those on social networks but they do command the highest CPMs, according to new figures released by comScore.

by Helen Leggatt

comscore.gifThe April Ad Metrix shows that CPMs commanded by news websites are the highest. In fact, nearly three times higher than the average CPM in the U.S. The average newspaper website CPM in April this year was $6.99 followed by sports sites ($6.29), general news sites ($6.14) and entertainment sites ($4.75).

"As news evolves towards a more digital model, the issue is not attracting the eyeballs, but rather demonstrating the true value of those eyeballs to advertisers," said comScore SVP Jeff Hackett.

"As advertising rates for digital move closer into line with those of traditional media, the economics of the news business should begin to look a lot more promising."

That's great news for publishers whose print circulations are falling. A recent report from the Organisation for Economic Cooperation and Development found that 20 out of the 30 OECD countries faced declining newspaper circulations.

Circulation in the U.K fell by 25% between 2007 and 2009, second only to the U.S., where the decline was 30%.

At the other end of the CPM scale are social networks. According to comScore's figures the likes of Facebook are commanding CPMs of just $0.54, even less than email at $0.94.

Despite being top of the CPM pile, online newspapers didn't fare quite as well in terms of display ad impressions. The distribution of impressions was biased toward social networking sites with 27.7% of display ad impressions, followed by online portals (19.6%) and entertainment sites (10.7%). Newspapers only got 2.4% of display impressions in April.

Tags: ad impressions, comScore, cost per thousand, CPM, display ad

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