Adgitize changes…Prices Up
Adgitize a few days ago announced that as of next month the prices of all ads will be going up. First of all I was really quite upset about this and it did make me doubt whether I would continue placing ads on the Adgitize network. However once I fully read the press release I understand both that it is benificial for the future of Adgitize but also that I will benifit also. Anyway please read their press release :
It is with great concern I make this annoucement. I know many of you will be sad, mad, upset and angry. But, to continue our growth and with expectations that in 2010 we will quadruple in size this is very necessary.
We are raising the standard Ad price to $24 a month starting on November 1, 2009. This is necessary as we continue to grow at Adgitize. We started the advertising company in November of 2008 and we have been running the operation as lean as possible so we can keep ad prices very reasonable for all bloggers. I understand this will potentially hurt many bloggers who are struggling with low income or no income in these troubling economically challenged times.
As many of you know I wear many hats at Adgitize. I will not be able to do as many tasks myself as I once was as we continue to grow exponentially. Over the last year I have farmed out some work as necessary, but last week it was brought to my attention that we need to bring people into our organization on a more permanent basis. Plus, I am constantly reminded that more growth means a need for more servers.
Publishers Will Earn More Each Day
It is not all bad as many publishers will earn more money each day. If you were producing enough points to earn the money necessary for an ad each month then nothing will change for you. You will still earn enough to pay for an ad. Many of you in this category will actually have more left over than you did before the change.
If you were scoring between 200 and 300 points each day then you will earn more than you are earning now. Less than 200 a points a day and you won’t see any change in your earnings.
Breakdown of Potential Earnings
Here is a breakdown based on what the earning numbers were for 9/28/2009 and what our expectations are after the price increase. This is not a guarantee that you will earn this amount as all earnings are a function of revenue, total points and points earned.
Points Old Daily Earnings New Daily Earnings Less Than 200 points a day No Change No Change 200 points a day 15 cents a day 24 cents a day 290 points a day 22 cents a day 35 cents a day 300 points a day 44 cents a day 72 cents a day 360 points a day 53 cents a day 86 cents a day 430 Points a day 63 cents a day $1.03 a day 500 Points a day 74 cents a day $1.20 a day
As Little as a Penny a Click
I want to reiterate that what has occurred in the past is no guarantee of future earnings. If all our advertisers leave us because of this decision then there will be no payouts at all. It is still very much to your advantage to continue advertising and being a part of the Adgitize Community. For my 125 px By 125 px ads I am still receiving 50 to 70 clicks a day, which works out to as little as 1 cent per click for advertising with the new ad prices.
I would love to sugar coat this change and make you all be happy. But, change is scary and many times hard. I don’t blame you for being angry. Many of you will leave because of this decision and I respect your decision. You have to do what is right for you and your blog. This decision to raise prices has been difficult but I know long term it is the right decision for Adgitize and the Adgitize Community.
Thank You for Your Participation in Adgitize
Any new ads starting on or after November 1, 2009 will be priced at $24 a month. Any renewals with an expiration date after October 31st will be priced at $24 a month. Thank you all for being a part of Adgitize and working with us to make the best Advertiser / Publisher community on the web.
I do hope that I benefit from the raise in prices and that overall each and everyday i earn more and more money. I currently earn roughly $18 per month but should be earning $29 roughly each month. Meaning before I had a profit of $4 and with the new prices I will hopefully get a profit of $5.
What are your thoughts on this increase in price ?
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October 10th, 2009 - 13:48
Hi Lee,
there won’t be that big profit for all of us in November
It’s simple and it was written directly from Ken Brown as answer to my comment.
In the first weeks in November the earnings are still calculated with the previous ad prices of 7$(1week)/10$(two weeks)/14$ (one month) (13$/12$ for 3rd/4th ads).
Slowly when everyone has to renew their ads in November the higher earnings will appear with perhaps one or two cents raising each day from mid November on.
As with all price hikes, there will be many members who stop advertising in November, so no new and higher priced ads are flowing into the earning calculation.
In my opinion you can deduct 25% of the estimated earnings for November to these effects.
I only can give this ADVICE to everyone:
Preserve the 14$ ad price for November by buying a SECOND AD at the 31st October, then you can let your other ad expire in November and buy the next ad when your SECOND expires on 1st December.
Until this time you will know how many “new” advertisers are on board and how many left the advertiser ship and went back to be simple publisher.
And you can see the expected earnings for the next month of December much better.
With this method you score already 50 points more each day (until your first AD will expire).
Hope this will help everybody!
Regards,
Martin