Banners Broker: how does it work?
While many people will find the explanations of Banners Broker itself quite confusing, we will try hereinafter to explain the business model of Banners Broker in a very simple way. Please note, that the system itself is very and way more complex than we outline it here, but for a basic understanding it will be enough. As the name “Bannersbroker” already indicates, Banners Broker serves as a broker between publishers (people who show ads on their website etc. and get paid for it) and advertisers (people who rent these ad spaces on websites and pay for it). Bannersbroker plays in other word the middleman between publishers and advertisers, gets them in contact and finally gets paid for doing so. An easy example (please note: these are fictional numbers): an advertiser wants to spend 10.000$ for advertising and looks for good ad spaces. He contacts Banners Broker and they use their inventory or portfolio of hundreds of thousands of publishers (and their websites) to find the right one. The publisher gets paid directly by Banners Broker, but they only pay him 8.000$ instead of the original 10.000$ they received from the advertisers. The difference between 10.000$ and 8.000$ is logically 2.000$ and this is the profit margin that Banners Broker keeps for itself. The advertiser and the publisher are both happy too, because without the brokerage service of BB they couldn’t have done business with each other. This business model is as old as the very first online advertising appeared and Google operates this way since its start, generating more than 30 billion dollars per year in revenue (Google calls it Adsense for the publishing and AdWords for the advertising side). So the basic idea behind Banners Brokers system is more than bullet-proof. Besides some nitty-gritty details and this big simplification we can state furthermore that this business model is extremely powerful and works for any country worldwide.
So far so good, but how are you supposed to earn money or even a residual income in the long run with Banners Broker now? The answer is easy: Banners Broker puts a small but innovative twist to the broker system, making it interesting and worth to review for us. Instead of collecting all the money (in our example 2.000$) like Google does, they share some of the profit. You could simply call it revenue sharing, with a huge revenue generated day by day. But why should they? Because this way they can grow faster (their overall Alexa and business rankings are showing a huge and steady increase over the last year), their name gets shared among the marketing world attracting more advertisers and therefore making them more money in the long run. It’s as simple as that and the way the marketing sphere worked since ages. Google makes billions of dollars from the same concept but they do not share their revenue with their customers. Banners Broker does share it. Instead, Google spends its revenue for instance on advertising, from TV to radio and so on. Two different legit business approaches, based on the same model in the same industry.
In a nutshell, Banners Broker even takes it one step further. They call it the ad-pub combo which combines the advertising and the publishing side into one package. This sounds really confusing and illogical at the first sight, but it’s in fact more than innovative and clever. What BB does is advertising your banners or business for you (the advertising side) while turning your advertising into an extra revenue stream (the publishing side). In other words they found a creative solution for two marketing problems: first of all they offer their members a way to earn publisher revenue and secondly, they offer a way to advertise your business on their global ad inventory. You advertise with this opportunity while receiving some of your money back (publishing revenue). To sum up, Banners Broker is a worldwide operating online advertising company that offers a way for its members or customers to buy banner impressions while returning up to 200% of your initial ad costs to its members (ad-pub combo). How can they do this you wonder? Analyzing their business model, Bannersbroker uses its enormous buying power by pooling all money together to buy and bid on advertising space worldwide in form of banner impressions – from a global inventory of high traffic quality websites. In other words: first they bid and then put the ad space in the market place again to receive bids on their own. As a member you have to buy packages that contain so called panels, while each of these panels represents an advertising space where you get a turn to make revenue (we will explain that in a few seconds). BB leaves you then with the choice to either re-buy more ad space or withdraw the money. The bottom line: as their membership grows so does the buying power of Banners Broker. Furthermore they make money off traffic packs and booster you can purchase, from monthly fees or from taking over your ad spaces if you receive enough traffic and therefore banner hits early.
In our eyes this can be stated as an innovative and even revolutionary concept in the online advertisement sphere.
In our eyes this can be stated as an innovative and even revolutionary concept in the online advertisement sphere.
Another important point to mention is that you don’t need to own a website to join the ad-pub combo membership, instead you will use Banners Broker’s huge ad inventory of worldwide websites if you prefer that. Nevertheless you are of course welcomed to submit your own website(s) for review and publishing. The banner impressions itself can be used for any advertisement, from promoting your BB business, other affiliate programs, CPA offers to charitable promotions. Clever people and marketers will the potential of another incoming stream here. We have done a lot of split testing with different offers and found the CTR (click-through rates) to be slightly below other advertisement opportunities (like Google). Though this can be attributed to variance.
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