What's a Monetization Package?
Feathr's Monetization module enables you to offer your sponsors and other partners the same powerful retargeting tools you use to grow and convert your own audience.
Using Monetization, you can launch campaigns targeting your organization's digital audience on behalf of your partners. Do you have an exhibitor that is eager to show new products to your audience? Of course you do; that's why they buy booth space. Monetization brings that concept into the digital realm, where it can be fulfilled and tracked without any physical constraints.
A Monetization package is a choice of campaigns aimed at your digital audience, much like a sponsorship package, that you can offer your partners at a markup.
How to Create a Monetization Package
Monetization packages are typically sold as a group of impressions, or number of times that an ad is shown. When pitching the offer to your partners, you might offer packages of 10,000, 20,000, or 50,000 impressions, each priced accordingly.
To determine the number of impressions you can reliably serve to your unique audience and therefore sell to your partners, you must know the size of the audience to whom you're serving the campaign.
Let's say the audience you're targeting is your full website segment, which contains 10,000 reachable people. A quick way to estimate how many total impressions you can serve concurrently is to multiply that audience by 50. This formula is based on findings from our Implementation Team for successful reach. For this example, 10,000 x 50= 500,000 total impressions. Those could be split into five packages of 100,000 impressions, 20 packages of 25,000 impressions, or any other combination that aligns with your sponsorship strategy.
How to Price Packages
Display advertising is usually priced by a rate called CPM. CPM stands for "cost per mille," which is the cost to show an ad 1000 times. As a Feathr user, your CPM will average around $5 for retargeting campaigns. Our customers with large digital audiences often reduce the base bid for Monetization campaigns, while smaller organizations increase the base bid (you can adjust your bid settings for each campaign). You can then charge your partners whatever makes sense for your specific industry, audience, and partners.
We've seen companies in our industry charge in the range of $30 to $80 CPM, depending on the exclusivity and value of their segment. You know your audience and its value to your partners, so take those into account when choosing how to price your packages.
A markup of around 10x is common, which means the 100,000 impression package discussed above would cost you about $500 and be sold for about $5000, netting your organization $4500 for the minute effort of launching one simple retargeting campaign. Repeat for multiple partners and you can imagine the revenue potential.
How much should my organization budget to run the campaigns?
Check out our articles on Feathr's Billing Basics for more info on how you will be charged, and use the calculator below to estimate the cost to run Monetization campaigns based on the base bid selected:
We've seen our most successful customers create different packages that offer different sponsor benefits, each with their own impression counts and CPM prices. That way partners have a few different options to choose from.
There are three specific packages that tend to work well. They are:
- pre-event packages
- post-event packages
- year-round packages
A pre-event package shows your partners' ads one to two months before the event, and is great for helping a partner build brand awareness, drive traffic to their booth, or promote their workshop or special event, like a happy hour.
The post-event package shows the partners' ads in the weeks after the event wraps up and is a great opportunity for the partner to nurture or generate leads, reach the people that they didn't meet at the event, or give special offers to their targeted segment.
A year round package shows your partners' ads to your audience free from the context of your event. It offers your partners exposure to your audience to stay top-of-mind, or drive sales outside of the event cycle.
We've also seen successful customers limit the amount of each type of package they sell, creating a sense of exclusivity around each Sponsored Retargeting Package.
For more on offering different levels of packages and selling to your partners, read this article.
If I fulfill multiple Monetization packages at once, will I be competing against myself?
The most accurate answer is "yes, but..."
It is true that if you are running multiple simultaneous campaigns to the same audience, you run the risk of saturating that audience eventually. Key word being eventually. We have yet to see any customer reach a threshold where they have exhausted their audience or appreciably increased their own CPM.
Even with many campaigns running, you are not increasing the overall number of ads your audience will see, you are only increasing the probability that the ads they do see belong to your Feathr campaigns.
I set the package levels, now how do I sell my packages?
A well-designed media kit is a great way to pitch the value of Sponsored Retargeting of your audience. Use our template to get started, and check out our training course for additional resources, including a sales training hosted by Feathr's President, Aidan Augustine.