Geofence advertising can be a game-changer for businesses looking to reach their target audience when and where it matters most. Among the many Geofence Advertising platforms available, Qujam stands out by giving users the freedom to set their daily ad spend without imposing any minimum requirements. In this post, we will explore how to choose your average daily spend on a Qujam Geofence Advertising campaign, putting you firmly in the driver’s seat of your marketing strategy.
Understanding CPM
CPM, or Cost Per Thousand impressions, is a fundamental metric to consider when determining your daily ad spend on Qujam. It represents the cost you’ll pay for every 1,000 impressions during your campaign. Qujam offers competitive CPM rates across various ad formats. To date (8/1/24), our CPMs normally range from:
$7-$9.25 for Display Ads
$49-$57.50 for OTT (Over-The-Top) Ads
$25-$29.25 for Video pre-roll Ads
CPM is a crucial factor because it helps you calculate the optimal daily spend for your campaign. Here’s a simple formula: Multiply the estimated population of the geofenced area by the CPM to get a starting point for your minimum daily spend. For example, if you want to target a small town with 2000 people using display ads, a good minimal starting point would be around $18 per day.
However, this is just the beginning. Other factors come into play, such as the number of devices per person. On average, people have approximately 2.5 devices, so it’s wise to adjust your budget accordingly. In our previous example, you’d multiply the $18 by 2.5, giving you a daily budget of $45. This amount ensures you have a better chance of reaching everyone within your geofence effectively.
CPMs provided based on Sept 2023 information and subject to change.
Tips for Budgeting
Now that you understand the basics let’s dive deeper into some tips to help you budget your Qujam Geofence Advertising campaign effectively. For further information on budgeting, and setting up your flight page, click here.
Reach and Frequency: Strive for a balanced approach between reach (the number of individuals) and frequency (how often an individual sees your ad). Estimate the number of people entering your geofence and how frequently you want to reach them. Adjust your daily budget and impression count accordingly. Many advertisers recommend targeting a potential client with 4 impressions, in order to achieve result, simply multiply your above budget by 4. Keep in mind this is just a recommendation, and effective campaigns can be run for less.
Consider Multiple Devices: Keep in mind that people often own multiple devices that can receive geofencing ads. When planning your budget, factor in the possibility of reaching users across their various devices.
Budget Flexibility: Qujam allows you to update your budget at any time, making it easy to scale your spending up or down based on your desired exposure and comfort level. If you want to adjust your daily ad spend, simply log into your Qujam dashboard and edit your running campaign.
Impressions Matter: Impressions are incredibly valuable, even if users don’t click on your ad. They contribute to brand awareness, drive search and foot traffic, and leave a lasting impression on your target audience. Focus on achieving a healthy balance between impressions and clicks.
Seek Expert Guidance: If you’re uncertain about budgeting for your campaign, don’t hesitate to reach out to Qujam’s geofencing experts. We can provide personalized budget recommendations based on your campaign’s specific details.
Qujam’s unique approach to geofence advertising empowers you to take control of your daily ad spend, tailoring it to your business objectives and audience. By understanding CPM rates and considering factors like population and device count, you can set an optimal budget for your Qujam Geofence Advertising campaign. Remember, budgeting is a blend of science and art, and Qujam is here to support you every step of the way. Get started today and unlock the full potential of geofence advertising for your business.
