• CPM-Cost per mille or more commonly known as cost per 1000 impressions.

• CPC-Cost per Click. The number of impressions does not matter with this banner advertising model.

• CPA-Cost per Action, more commonly known as affiliate advertising.

• CPL-Cost per lead. Normally these banners have a form embedded into them that visitors may complete. Each completed form represents a lead and has a monetary value associated with it.

• Sponsored Banners-When an advertiser agrees to pay a flat fee to a publisher in return for displaying their ad for a specified time frame on a non-rotating basis this is known as sponsorship.

Note: Pamoja Media participates in the CPM, CPC, and sponsorsed banner models.

Jim Larrison writes an insightful post highlighting both the misconceptions that publishers have about Adsense, as well as the limitations of the Adsense model.

Here is an excerpt:

“Many bigger publishers or broad network entrepreneurs come into the planning around their network with one big mistaken assumption. This assumption has existed in the market now for many years, and when people are presented with the truth they are usually shocked. The problem with this ongoing myth is it is getting more and more off base from reality and has a real risk of having your business models for your networks far off of reality.

Over the past few years this misconception has had ripple effects on sites and on network operators and in many cases has had a dramatic impact on their business plans and financial models. What is the misconception you might say? Okay, enough of the drama!

The biggest misconception in the market today has to do with Google AdSense. Most people in big sites or with limited multi-category experience with AdSense have strong beliefs that the effective CPM paid by Google is extremely low and way below the market rate would be for the similar ad spaces on an open market.”