I recently got contacted by a company that wants us to become a publisher with them. They pay on a CPM basis, $0.20 to $0.60 per 1000 impressions. Need to sign a contract with them, and in order to break it, we have to give them a 60 day notice. I've asked them a lot of questions and haven't found any sort of payments we need to make, etc. I read through the contract and one thing I'm concerned about is this..
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As compensation for Services rendered, (---name of the company that approached us---) shall receive the below schedule of payments for advertising revenues collected related to the Services (“Commission”). a. 40% OF GROSS SALES ON APPROVED CPM SITE SPECIFIC SALES & (---their company name---) PERFORMANCE
They also mention that this clause will
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survive the termination or expiration of this Agreement for any reason.
My questions are, is that a good deal? Could it be a scam? Do CPM companies usually require a signed contract?
My friends and I are running our site for fun, and the last thing we'd need is to get trapped in some crappy contract and get scammed.. We would very much rather not sign a contract..
i have years of experiences with affiliate programs and cpm can you mention by post or by pm what is this cpm company?
btw once you say CPM you are not obliged to produce sales out of it, they pay you by impressions not by action (CPA) irregardless of whether the leads (visitors) you gave them buy from them or not.
is this really a cpm or a cpa (cost per action) site? that clause made me confuse
I have reviewed it for your benefit. my conclusion stay away from them.
1. they're just a newbie Created: 2006-08-24
2. anyone hiding from their advertisers/publishers by whois privacy protection is not interested in you earning, but them getting all the money, why would they hide?
see:
3. no reviews available for them obviously they only got some few publishers. i bet you will be promoting their own products not other merchants.
4. take a good look at their site, their competition is tough out there with the likes of adbrite.com, adtoll.com, kontera.com, adversal.com, they won't stand a chance, so they need to put a lot of information on their site available for all to see, but their site lacks that.
5. they have contacted you first, cpm/cpa companies i've mentioned on no. 4 will in no way contact you firsthand not unless you are first on search engine on their particular keyword but it's very rare, you contact them first and they get by promoted on seo/serp and also by the positive reviews of their merchants/publishers.
and my advise, don't GO with them don't touch with a 10-foot pole, run away from them as fast as you can.
Thanks man Don't know why I didn't think about checking that. I googled though and nothing bad came up for them. I also have their office number and address from the email they contacted me with, and it's also on their site (though it's a different address in both places?). Both are in the same state though.. hmm.
I heard back from them after I voiced my concern about the 60 day cancellation policy, and they removed it.
You're right, probably best to step away from them. What's the average payout from CPMs, by the way?
I appreciate the help, man As always, you've been awesome guidance.
Edit: I see you edited your post. Even more great advice Thanks man! Great points.
the more info you mentioned to me about them the more alarming suspicious i came
- they have different address on their email and on their site?
- they just canceled or remove one line from their tos after a prospect publisher mentioned it to them
nowadays they won't offer you higher cpm except you have the best keyword for their niche.
axill.com for example already paid me several times can only offer 20 cents per 1000 displays (cpm)
the highest i've seen so far is video displays (cpm) from thenewsroom.com which offers U.S.$7.00 per video asset display but it's tough to get there they need a web site to approve, and from what i heard from others they reject applications left and right, so good luck.