Banner Ads Cost

How Much Do Banner Ads Cost?

Are You Quality or Cost-Conscious? Be Neither – Only Be Conscious About the Value for Money You Get against the Banner Ads Cost


DID YOU KNOW that the U.S. has one of the largest advertising markets across the Globe? Let’s put this into a better perspective: in 2015, the cost of spending on advertisement in the U.S. was above $180 billion, which is double the amount spent in China, which by the way, has the second largest advertising market in the world. As far as digital advertising is concerned, by the year 2020, it is estimated that digital advertising expenditure would reach an estimated $113.2 Billion in the U.S.


The reason for the rise in popularity of digital advertising, in comparison to TV and Magazines or Newspapers, is because today, your average customer spends more time online than watching TV or reading a magazine. Modern technology has brought everything within the easy reach of customers, including access to product/service information, carrying out purchases and making payments online.




The world of online advertising has some interesting statistics for the business community. According to a report, online advertising forms a whopping 95 percent of Google’s revenue!


Now within the category of digital advertising, you as a business have numerous advertising options to select from, including Search Engine Marketing (SEM), Email Marketing, Social Media Marketing and Display Advertisements. All of these options vary in popularity, based on their effectiveness and efficiency in reaching target customers and generating a response from the target market.


As far as the digital advertising trends are concerned, it may be of interest to you to know that display advertisements, which include banner ads, are the second popular digital advertising option in use, after SEM being the first most popular. No wonder Google earns 95% revenue from online advertising!


The thing about banner ads is that they call for an immediate action from the customers and provide an option to your customers for carrying out a transaction quickly. The ads can be designed to be highly creative and engaging. They can send your advertising message through animations, making the entire advert highly interesting and captivating. The best thing about them is that a single click on the banner ad will take your customers to your web page where they can make their purchase, without any further ado.


This is absolutely in-line with the observed behavior of customers against online advertisements. According to a survey, about 31 percent of customers respond to online advertisements by clicking on the ad; and what better option can you give them to execute this behavior than reach them through a banner ad?


Furthermore, 27 percent customers search for a product/service brand/company and
21 percent customers directly open a known company’s website, whenever they want to make an online purchase.


The above statistics clearly reflect the importance of including digital advertising as part of your overall marketing strategy, if you haven’t started already. In order to remain visible to your target market, you must place your ads where your customers are mostly found, that is, online. And since banner ads are quickly gaining popularity, we would suggest that you get some designed by us for yourself and get into the race by winning market for your products/services.




By now, hopefully, you have been hooked on the idea of using banner ads as part of your online marketing campaign. If yes, then the first thing you would want to know, as a smart business person, would obviously be more information concerning the cost of banner ads. Before you can engage a company like to design a highly effective banner ad campaign for you, you would want to know how much, exactly, would this move cost your pocket.


Placement of your Banner Ad – Website Ranking Affects Banner Ads Cost


Just like everything else, the cost of banner ads depends upon the quality you get in return. If you browse around, you can get rates as low as 50 cents per thousand impressions (CPM). ‘Impression’ is concerned with the number of times your banner ad gets displayed. So, for 50 cents, you can have your banner ad displayed 1,000 times. However, the banner ads cost is directly proportionate to the ranking of the website on which your ad gets displayed. When you choose to place your banner ad on websites which rank higher, the cost increases accordingly.


If you chose a popular search engine such as Yahoo!, for your banner ad placement, you can get charged somewhere between $20 to $50 per 1,000 impressions. However, with such companies, you have a restriction of purchasing a minimum number of impressions. For example, you may need to purchase a minimum of 100,000 impressions from Yahoo!. On the other hand, such companies also offer discounted packages and bulk package deals that you can avail and save up to a great deal, on the overall cost of banner ads.


A homepage banner ad costs about $450,000 per day on Yahoo! and a YouTube homepage banner ad, containing a video, would cost about $400,000 for a day. Placing your banner ad on Facebook logout page can cost you about $100,000.


Website Traffic VS Potential for Reaching Target Market


The cost of banner ads is also dependent upon the traffic a website receives and whether your selected target is a specific audience or not. Websites such as CNN can charge anywhere between $15 to $35 CPM for a non-targeted banner ad placement.


If you want to target a specific audience and choose to advertise on a website related to your product/service, you may need to pay anywhere between $35 to $85 CPM. For example, travel agencies normally prefer placing their banner ads on, in order to increase their chances of reaching their target audience.


Size of the Banner Ad Has an Impact on your Banner Ads Cost


The banner ads cost is directly proportional to the size of the advertisement. Typically, an experienced and professional company would charge between $20 CPM to $80 CPM for the different size ranges. A table for reference is mentioned below, to give you a better picture of the banner ads cost:



Cost Sizes Cost Sizes
$20 120 x 60 (Button) $33 728 x 90 (Leaderboard)
120 x 90 (Button) 300 x 250 (Medium Rectangle)
$25 120 x 120 (Button) 336 x 280 (Large Rectangle)
125 x 125 (Button) 120 x 600 (Skyscraper)
234 x 60 (Half Banner) 160 x 600 (Wide Skyscraper)
$28 200 x 200 (Small Square) $39 300 x 600 (Half Page)
250 x 250 (Medium Square) $49 851 x 315 (Facebook Cover)
468 x 60 (Full Banner) $79 1000 x 550 (Homepage sliders)





When you begin to estimate the cost of banner ads, make sure you take into account the click through rate (CTR). The CTR determines the percentage of users who click on your banner ad. The higher the CTR against your banner ad, the higher the chance of making a sale and the lower it would end up costing you. For example, a banner ad costing $200 and having a CTR of 10 costs you $20 per visitor as compared to a banner ad with a CTR of 5, which in its true sense, would actually be costing you $40 per visitor.


According to a study, large rectangle banner ads have the highest CTR; 6.22% of non-video banner ads and 4.25% of video banner ads. Next in line are half page ads, with a CTR of 4.2% of video banner ads and 3.8% of non-video banner ads.




Getting results from a banner ad campaign isn’t very easy. Users in the U.S. were exposed to more than 5 trillion display ads in the year 2015 (Yikes! how do you get yourself to stand out amongst such heavy traffic?). An astounding number of 45 million internet users in the U.S. were using an ad blocker in the year 2015, because they viewed online adverts as an intrusion to their browsing experience (how do you surpass the ad blocker and engage your customers long enough to convince them that your ad is useful and not intrusive?).


A study states that the average CTR concerning banner ads is as low as 0.06 percent and over 50 percent of users do not click on banner ads because they don’t trust them to be authentic (how do you establish yourself as an authentic business?). Another awe-striking statistic reveals that only 8 percent of users are responsible for 85 percent of clicks on display ads.


In the wake of such facts, leaving your banner ad campaign unattended by professionals would be a recipe for disaster. are experts at creating highly engaging and effective banner ad designs, all the while keeping the banner ads cost to the minimum, thereby giving you the best value for the money you spend on advertising. Our banner ad designs are super creative, containing fresh content and animations that grab your customer’s attention.


With, your banner ad campaign would be an investment which would bring in a huge return for you, in the shape of increased sales. We know how to design ads, at highly comparable rates, which generate an effective CTR for you. Our custom designs would get your message across to your target market effectively, in a short time and at a competitive cost, ultimately bringing in positive results for your business. We will make a digital strategy guide for you while providing top quality banner ad designs for your business.


So what are you waiting for? Gear up for an exciting and an adventurous digital marketing journey with, your leading banner ad designer.

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