Welcome to The Blog Report

I'm so glad you stopped by and hope you find this blog an interesting read. I've been blogging since April of 2006, currently the author of six public and two private blogs. In the beginning I knew absolutely nothing about blogging. Over the years through trial and error, frustration and elation, and a few tears I've learned a lot. However, the learning process when it comes to blogging continues to evolve. Here you will find a hodge podge of my blogging experiences, useful codes and how-tos, sprinkled liberally with my opinions. Enjoy!

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Monday, October 3, 2011

A Few Problems Blog Advertising Networks Face

Last month it came as a surprise to many when Ben announced that CMF Ads would be closing effective October 30.  I think CMF Ads is three years old or close to it.  The reality is anyone starting a blog advertising network has a lot of long hours and hard work ahead of them.  Most who start a blog advertising network were are are bloggers themselves which does not always equate into having good business sense.  There is a large initial outlay of expenses to get a blog ad network up and running.  Even with the generous help of volunteers, friends, and relatives working for free the cost may still be prohibitive and there's guarantee of any kind of payback.  Many bloggers will not pay for advertising or if they do it is a pittance of what is necessary to run an advertising network.  They are quick to complain if the widget or site doesn't work properly and fickle about their loyalty.  At the first sign of problems many bloggers will simply move on to another ad network resulting in a further decline of the network they left behind.

It would be extremely hard for one person to run a blog ad network given that it needs to be up and functioning properly.  They need to approve new members, check for TOS violations, and in short keep a good working relationship with their publishers and advertisers.  They need to deal with any problems swiftly while listening to their clients wants and needs, adapting and updating as necessary.  They need to be available 24/7 or at least have someone who can deal with problems as they arise if they are not available.  In this poor economy, unless one is working home it would be quite difficult to run a blog ad network.  Even if they are working at home they aren't getting paid much for the work they have to put in.  The bottom line is a blog advertising network is a business and the only way to stay in business is to make money!  Many bloggers are trying to make money not spend it so paying for advertising is at the bottom of their list of priorities.  That ultimately means any blog ad network is in for a long struggle just to make ends meet as well as justify the time spent.  At some point, the network has no choice but to close.


John said...

I think the biggest problem blog advertising networks have is bloggers! They tend to think they can ask ridiculously high prices for advertising even though the ad spot is hidden in an obscure location and surrounded by about 20 other ad spots.

One blog on CMF has a price that works out at £70 per 1000 ad views. Who's going to pay that? Another has the ad spot hidden 13 pages down in a sidebar full of clutter. Who would notice the ad?

Sometimes bloggers are their own worst enemy. Yet when they fail to make money, they blame the ad network.

I will only advertise on blogs which offer better value than Google Adwords. If they don't, I might as well invest my ad budget in more Adwords!

Too many bloggers want to take money out of the ad networks. I wish more would reinvest their earnings :-(

Garden Gnome said...

You are so right John. I'm not sure how to figure out the worth of advertising on my blogs but I do know one of my blogs that gets higher traffic and has a larger number of subscribers is worth more than some of mine that aren't quite so popular. Bloggers are indeed their own worst enemy but in fairness anyone can blog and it does take awhile to learn what you can and can't do.

My personal feeling is money earned by participating in the blog advertising network is it should be a credit system paid back towards advertising rather than a monetary payout. Use the credits to help reduce the cost of advertising but no cash payout.

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