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A noob about to go direct with an advertiser. Help! (9)

09-08-2015 01:00 PM #1 xwobzx (AMC Alumnus)
A noob about to go direct with an advertiser. Help!

Hey guys,

So I have potentially scored one of those elusive "direct" deals with an advertiser that I hear and read so much about.

It came about like this: I do some consulting work for and digital marketing company that specialises in display advertising. This offer is CPI mobile - which is my game and is why the digital marketing company pushed it on to me.

The app developer is relatively new. Est 2013 based in India. This is their 2nd app and it was released a few months ago and it doesn't seem to be getting much love.

Here's a brief outline of what they want:

Android and iOS Utility app

-A CPI campaign

- Target- Australia and Malaysia

- Target minimum 200 daily installs

- Budget of $500

- Tracking is MAT (Mobile app tracking) - Measurement url


Here are my questions;

1. Does anyone have any experience dealing with advertisers directly? If so, are there anythings that I should be weary of?

2. The advertiser wants to know my per install rate and my bid details. Any ideas on that based on the brief above?

3. Am I punching above my weight? Is it worth pursuing?


Any and all advice much appreciated.

Cheers

09-08-2015 01:29 PM #2 tomsko (Member)

Be aware that most of the advertisers will only pay you monthly, so check if you have enough cash flow to do 200 installs per day for 45 days.
Also there is a bit bigger risk of not getting paid/scammed, while reputable aff networks wont ever do that unless you are breaking the rules. These are the only downsides I can think of.

09-08-2015 01:33 PM #3 xwobzx (AMC Alumnus)

Quote Originally Posted by tomsko View Post
Be aware that most of the advertisers will only pay you monthly, so check if you have enough cash flow to do 200 installs per day for 45 days.
Also there is a bit bigger risk of not getting paid/scammed, while reputable aff networks wont ever do that unless you are breaking the rules. These are the only downsides I can think of.
Thanks for the advice Tomsko. Yes, they were some of the things I was a bit weary of as well. I'll dig a bit deeper and confirm payment details etc.

09-09-2015 01:43 PM #4 xwobzx (AMC Alumnus)

Any ideas on how I should go about working out the CPI rate?

200 DLs with about $500

Its for a security app on Android and iOS

09-09-2015 01:48 PM #5 m1nt (Member)

Even though it's a small amount get an IO(Insertion Order) in place that clearly define terms.
90% of Mobile App Install clients pay on Net 30 basis meaning at most it'll take you 2 months to get paid.

For question 2 you need to do some calculations on how much your traffic would cost and if it would back out for you. Your advertiser is ultimately looking for retention rate.

09-09-2015 01:48 PM #6 m1nt (Member)

Forgot to mention if there not prepaying collect and reach out to there credit references to ensure they pay there bills.

09-10-2015 09:52 AM #7 xwobzx (AMC Alumnus)

Thanks for the heads up

To work out the right CPI price, I'm basing it off similar apps on ad networks and obviously the geo.

My next question is, does anyone know how much of a cut the networks take of a CPI offer. On the ad networks for similar offers and the same geo they go for about $1 per install.

How much do the networks get from that?

09-10-2015 10:28 AM #8 cbrughmans (Member)

Regarding pricing I would say 2.5 - 3$ CPI for Australia and 1$ for Malaysia (those are non-incent rates). That would be considered very good pay outs.

Incent rates will obviously be substantially lower.

09-10-2015 11:40 AM #9 cmdeal (Veteran Member)

For a small time startup app developer based in India, the payment collection risk will be high.

On the other hand, we are only talking about $500 so your downside will be limited.

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