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TwitchTV Knowledge Bomb No. 1: Advertising - Page 2

Forum Index > SC2 General
Post a Reply
Prev 1 2 3 4 5 9 10 11 Next All
aderum
Profile Blog Joined January 2011
Sweden1459 Posts
January 05 2012 01:09 GMT
#21
Thx for the write up! Always nice to read it from the guys working with it in a good and easy way =)
Crazy people dont sit around and wonder if they are insane
itsjustatank
Profile Blog Joined November 2010
Hong Kong9179 Posts
January 05 2012 01:11 GMT
#22
great informative post, nice to see twitch continue to move in positive directions
Photographer"nosotros estamos backamos" - setsuko
imre
Profile Blog Joined November 2011
France9263 Posts
January 05 2012 01:12 GMT
#23
I think that FXOBoSs would beg to disagree that you want to provide the best for streamers.. and he shouldn't be the only one. Amazing too that you use a 50% fill rate as exemple while it was apparently at 15% for FXO.
Zest fanboy.
KingOfAmerica
Profile Joined April 2011
United States246 Posts
January 05 2012 01:13 GMT
#24
Big props for taking the time to come here and provide this information in a structured, and detailed way. I found it very interesting.
The nukes gonna land on his aarrrrmmmmyyy AHHHHH
zoLo
Profile Blog Joined June 2007
United States5896 Posts
January 05 2012 01:16 GMT
#25
Great post and information.
Canucklehead
Profile Joined March 2011
Canada5074 Posts
Last Edited: 2012-01-05 01:25:46
January 05 2012 01:21 GMT
#26
On January 05 2012 09:36 vinlin wrote:
- CPM - this is cost per 1000 Ad Impressions. So $3 CPM means you earn $3 per 1000 Ad Impressions viewed. It is important to note that it is not $3 per 1000 Ad Opportunities.

- eCPM (Effective CPM) - this is cost per 1000 Ad Opportunities, thus takes Fill-Rate into account. This is a much better measure of how a company is performing in terms of sales. Thus if someone tells you they offer $3 CPM, but has a Fill-rate of 50%, then your eCPM is $1.50. The way you calculate this is revenue divided by every 1000 Ad Opportunities. For example, if you have a $3CPM, 50% Fill-Rate and 1000 Ad Opportunities, this is 500 Ad Impressions. $3CPM x 500 Ad Impressions / 1000 = $1.50 eCPM.



Ok I'm confused about this CPM part. You say this rate is cost per ad impression and by definition an impression is a viewed ad, so is essentially a 100% fill rate. (Yes, I know it's incorrect to use the term fill rate here, but you know what I mean)

Using your math example, for eCPM, you get $1.50 because there were only 500 ad impressions. However, CPM says it's cost per 1000 ad impressions. Therefore, if you double the 500 ad impressions to 1000 ad impressions, you get $3 for 1000 ad impressions, which is the $3 cpm quoted.

What part am I missing because the CPM number seems to be right? Or do you mean that people are being mislead because companies quote $3 CPM to someone and tell them it's $3 per 1000 ad opportunities, instead of telling them CPM really means $3 per 1000 ad impression?

Top 10 favourite pros: MKP, MVP, MC, Nestea, DRG, Jaedong, Flash, Life, Creator, Leenock
tuho12345
Profile Blog Joined July 2011
4482 Posts
January 05 2012 01:25 GMT
#27
I love twicht, their video quality is truly much better than Own3d
ArtemisKnives
Profile Joined March 2010
United States210 Posts
January 05 2012 01:30 GMT
#28
[B]

- Ad blockers : Of course this is an issue and we are working on helping partners learn how many people are using ad blocker and educating people that using ad blocker is detrimental to folks who are trying to create great content and entertain people.



Derp. I vow that my existence will serve the purpose of denying ads as much as possible. If I want to watch starcraft, I want to watch starcraft - not garbage from company's that want me to buy their products.

Get off the internet with your ad revenue bull. It's just obnoxious is what it is.
Masters/GM S1/2/3/4/5/6/7/8 Macro Toss // twitch.tv/artemisknives [1080p stream]
Rannasha
Profile Blog Joined August 2010
Netherlands2398 Posts
January 05 2012 01:31 GMT
#29
On January 05 2012 10:21 Canucklehead wrote:
Show nested quote +
On January 05 2012 09:36 vinlin wrote:
- CPM - this is cost per 1000 Ad Impressions. So $3 CPM means you earn $3 per 1000 Ad Impressions viewed. It is important to note that it is not $3 per 1000 Ad Opportunities.

- eCPM (Effective CPM) - this is cost per 1000 Ad Opportunities, thus takes Fill-Rate into account. This is a much better measure of how a company is performing in terms of sales. Thus if someone tells you they offer $3 CPM, but has a Fill-rate of 50%, then your eCPM is $1.50. The way you calculate this is revenue divided by every 1000 Ad Opportunities. For example, if you have a $3CPM, 50% Fill-Rate and 1000 Ad Opportunities, this is 500 Ad Impressions. $3CPM x 500 Ad Impressions / 1000 = $1.50 eCPM.




What part am I missing because the CPM number seems to be right? Or do you mean that people are being mislead because companies quote $3 CPM to someone and tell them it's $3 per 1000 ad opportunities, instead of telling them CPM really means $3 per 1000 ad impression?



Basically that. When someone quotes a CPM value, they often do not take into account what percentage of the viewers actually sees the ad. This can be significantly less due to various factors outlined in the OP.

The eCPM value is more interesting, as it basically says how much money is earned every time you run /commercial per 1000 viewers (on average, of course).
Such flammable little insects!
Michaels
Profile Joined August 2010
419 Posts
January 05 2012 01:32 GMT
#30
I love Own3d, their video quality is truly much better than twitch.
Tektos
Profile Joined November 2010
Australia1321 Posts
Last Edited: 2012-01-05 01:34:10
January 05 2012 01:32 GMT
#31
I wonder how youtube do things? I got offered partnership with only 15 subs, 13 videos and 116k video views over 5 years. I declined because I never plan on uploading more videos but they must have an INSANE advertising stream to be able to offer partnership to such low view count/subscribed/video uploader while not completely diluting eCPM.



On January 05 2012 10:30 Frozne wrote:
Show nested quote +
[B]

- Ad blockers : Of course this is an issue and we are working on helping partners learn how many people are using ad blocker and educating people that using ad blocker is detrimental to folks who are trying to create great content and entertain people.



Derp. I vow that my existence will serve the purpose of denying ads as much as possible. If I want to watch starcraft, I want to watch starcraft - not garbage from company's that want me to buy their products.

Get off the internet with your ad revenue bull. It's just obnoxious is what it is.

If everyone thought like you no streamer would make money and hence nobody would stream.
By not watching ads you're actually harming your opportunities to watch Starcraft all at the gain of getting to see someone queuing for another ladder game.
TotalBiscuit
Profile Blog Joined March 2010
United Kingdom5437 Posts
Last Edited: 2012-01-05 01:34:55
January 05 2012 01:33 GMT
#32
On January 05 2012 10:32 Michaels wrote:
I love Own3d, their video quality is truly much better than twitch.


I've seen no evidence of this being the case, they are extremely similar and streams vary on a case by case basis depending on how the streamer is setup


I wonder how youtube do things? I got offered partnership with only 15 subs, 13 videos and 116k video views over 5 years. I declined because I never plan on uploading more videos but they must have an INSANE advertising stream to be able to offer partnership to such low view count/subscribed/video uploader while not completely diluting eCPM.


They do dilute the CPM. That basic partnership you just got offered sucks (lots of people get offered this via an automated system). The people making reasonable money are doing it through companies that have ad teams who are able to negotiate for the premium CPM. Most other partners just get bottom of the barrel crap.

Derp. I vow that my existence will serve the purpose of denying ads as much as possible. If I want to watch starcraft, I want to watch starcraft - not garbage from company's that want me to buy their products.

Get off the internet with your ad revenue bull. It's just obnoxious is what it is.


I too remember being 11 years old and thinking I was clever.
CommentatorHost of SHOUTcraft Clan Wars- http://www.mlg.tv/shoutcraft
Dalguno
Profile Blog Joined January 2011
United States2446 Posts
January 05 2012 01:33 GMT
#33
On January 05 2012 10:30 Frozne wrote:
Show nested quote +
[B]

- Ad blockers : Of course this is an issue and we are working on helping partners learn how many people are using ad blocker and educating people that using ad blocker is detrimental to folks who are trying to create great content and entertain people.



Derp. I vow that my existence will serve the purpose of denying ads as much as possible. If I want to watch starcraft, I want to watch starcraft - not garbage from company's that want me to buy their products.

Get off the internet with your ad revenue bull. It's just obnoxious is what it is.


So you're saying that because you don't want to watch ads, you don't want twitch.tv or any other streaming service to be able to function? It's a business. It has to make money. Ads is how it goes about doing that.
"I'm gonna keep making drones cause I'm a baller, and ballers make drones." -Snute
Chronald
Profile Joined December 2009
United States619 Posts
January 05 2012 01:34 GMT
#34
Thank you for maintaining a level of transparency within the community.

The real question, is where are my winnings from the MIT Tournament??
Got that.
EntropyFails
Profile Blog Joined September 2010
81 Posts
January 05 2012 01:38 GMT
#35

What part am I missing because the CPM number seems to be right? Or do you mean that people are being mislead because companies quote $3 CPM to someone and tell them it's $3 per 1000 ad opportunities, instead of telling them CPM really means $3 per 1000 ad impression?


Yes, many people use CPM instead of eCPM during the sales process because it is a nicer sounding number. This gets out and then you see crazy forum posts talking about how much this or that streamer should be making not taking into account fill rate at all.

So since educating the market is important if we want to really grow esports (or starcraft content... either way) I think this post will go a long way of giving people something to link to if they start spouting off lies or misinformation.
CPTBadAss
Profile Blog Joined March 2011
United States594 Posts
January 05 2012 01:41 GMT
#36
Thanks for taking the time to explain it all out. I was always a little curious about how exactly the money was made. Love what you guys are doing and hope you guys pick up more teams as a sponsor!
I'll keep on struggling, 'cause that's the measure of a man | "That was the plan: To give him some hope, and then crush him" -Stephano
Spekulatius
Profile Joined January 2011
Germany2413 Posts
January 05 2012 01:44 GMT
#37
Thanks for clearing that up.
Always smile~
anonymitylol
Profile Joined March 2011
Canada4477 Posts
January 05 2012 01:55 GMT
#38
On January 05 2012 10:30 Frozne wrote:
Show nested quote +
[B]

- Ad blockers : Of course this is an issue and we are working on helping partners learn how many people are using ad blocker and educating people that using ad blocker is detrimental to folks who are trying to create great content and entertain people.



Derp. I vow that my existence will serve the purpose of denying ads as much as possible. If I want to watch starcraft, I want to watch starcraft - not garbage from company's that want me to buy their products.

Get off the internet with your ad revenue bull. It's just obnoxious is what it is.


So 15-30 seconds every 10 minutes is too much to support the streamers/players that you love to watch? You realize that without ad revenue that NOBODY would be streaming, as it wouldn't be worth the time invested, right?

Good job not supporting the eSports community. You're a real class act.
gold on my wrist phone in my pocket
Canucklehead
Profile Joined March 2011
Canada5074 Posts
January 05 2012 01:56 GMT
#39
On January 05 2012 10:38 EntropyFails wrote:
Show nested quote +

What part am I missing because the CPM number seems to be right? Or do you mean that people are being mislead because companies quote $3 CPM to someone and tell them it's $3 per 1000 ad opportunities, instead of telling them CPM really means $3 per 1000 ad impression?


Yes, many people use CPM instead of eCPM during the sales process because it is a nicer sounding number.


Well see that's the part I'm confused about. CPM = cost per 1000 ad impressions. That means 1000 people saw this ad. Therefore, the CPM number is not wrong or a lie and is basically the same thing as eCPM. The eCPM is just a ratio of the full CPM amount.

$3 CPM = 1000 ad impressions
$1.50 eCPM = 500 ad impressions

The $3 CPM number is not wrong because $1.50 eCPM means they only got 50% of the 1000 ad impressions needed to get the full amount. If you turn that 500 ad impressions from eCPM into 1000, then you get $3, which is the rate CPM is stated at.
Top 10 favourite pros: MKP, MVP, MC, Nestea, DRG, Jaedong, Flash, Life, Creator, Leenock
Torte de Lini
Profile Blog Joined September 2010
Germany38463 Posts
January 05 2012 01:57 GMT
#40
Great stuff, clears up a lot of particularities I wondered.
https://twitter.com/#!/TorteDeLini (@TorteDeLini)
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