How to determine cost of Newsletter Sponsorships?
If you manage a Newsletter, figuring out the Payout, and negotiating deals with Businesses can be pretty hard. In this post we share how you can workout a deal CPC / CPA deal with Businesses while sponsoring your Newsletter!
The most common ways of charging for determing cost for a sponsorship of Newsletters is a function of CPM (cost per thousand subscribers), and a the CTR (Click through rate)
For example in a particular niche, a Newsletter may charge $20 for every thousand subscribers.
While these metrics are very relevant and great for Businesses, it can be tricky to negotiate the price, and to convince new Businesses to feature in your Newsletter.
In addition to this, there are also types of references. For ex. if you write something about the Business to make more users click on it, or if it’s a small Ad at the end.
Size, position and the way the sponsorship is mentioned, they all matter.
What if there was an easier way to determine the cost of the sponsorship? Similar to how Google Adwords charges businesses, what if you could charge Buisinesses Cost per Click?
Cost per Click
Most Businesses today are very well aware of CPC model, because all digital advertising relies on this.
It would be great if you as a Newsletter publisher could also charge it the same, wouldn’t it?
It would also be easier because there would be trust. Businesses only pay when they get users from your newsletter. For the niche of your newsletter, you can lookup the CPC of Ads and negotiate the right cost for every click!
That sounds great, but how do you do it? Use YRL.
CPC on YRL
With YRL, Businesses can create a Private Campaign for you in less than 60 seconds. All they have to do is put their landing page, and that’s it!
Most Businesses have a Budget for marketing spend, and in YRL, they can specify the Campaign budget for your newsletter, along with the CPC (Cost per Click) that they would pay for each unique Click that happens on their link.
Next they can share their Campaign page with you, and you can claim your Yrl Link.
That’s it. While writing the Newsletter, place this Yrl Link wherever the Sponsorship mention goes.
Every user who clicks on the link would be redirected to the Business instantly, and you would get paid for that click.
How about Conversions?
Another favorite payout mechanism for Businesses is Conversions, because that’s what they care for at the end of the day.
A conversion can be anything: from a Sale to a Sign up.
With YRL, Businesses get free Conversion setup and tracking. They can also set a payout to you based on Conversions (in addition to Cost per Click).
This is great because when the Businesses get users, sales, they can reward you for your efforts!
What would this look like?
When you reach out to Businesses (or they reach out to you), simply quote the CPC for your newsletter’s niche.
For example, if the niche of your newsletter gets $3 CPC on the web, you can charge somewhere around there.
Sample Case 1
If you have ~10K subscribers with 3% Click through rate, then you would earn
300 * 7
Sample Case 2
If you have ~10K subscribers with 1% Click through rate, then you would earn
100 * 7
For a subscriber base of 10K readers it may be hard to convince Businesses to pay you this much upfront, but if you use a CPC model with YRL, any and every Business would be incredibly happy to do it.
What more? You could start getting sponsors even when you have just 100 subs, because now you earn on CPC budgets!
What about metrics?
YRL provides a lot of metrics for every campaign you create.
- Unique organic clicks with time
- Device distribution of clicks
- Country distribution
- Conversions, if any, with just 4 lines of code
How much does YRL cost?
1 cent per click to Businesses.
Yes, YRL is free for Creators. There’s no way you can spend on YRL as a Creator.
For Private deals, YRL charges 1 cent per Click. That is, for the above deal, Business would be charged $21.
What if there were only 100 unique clicks? Then you would be paid $700, and YRL would cost only $7 to Business.
Conversion tracking, metrics, payouts, and app access are all available for free.
Learn more about Private Campaigns
You can refer to this post that explains how to setup Private campaigns, and Claim your Personal Yrl Links.
What are you waiting for? Let’s go!
If you have any questions, please reach out to us at: email@example.com
You can also set up time for a live demo with us below.