Gyaan Sutra On entrepreneurship and technology

I have been a late entrant in the internet scene. There is already so much talk about the bust of Web 2.0, and here I am trying to find my way in the internet jungle.

One of the biggest questions that every new entrepreneur wants answered is how much can a company really make through advertising.

So I decided to start with the website I visit most. Techcrunch.

Techcrunch gets close to 93,467 hits EVERY DAY. Now that is lot, but well that is the one of the best on the internet. (Here are their stats). Now if you look up their advertising page, which is here, you can see that there are not much details about the CPM ads which are handled by a third party company called FederatedMedia.

But the information about the 6 top advertisements on the techcrunch website is available. They charge $10,000 per month for each of the slots.

So the calculation goes $10,000 * 6 (number of spots) * 12 (one year), which is equal to $720,000 per year.

$10,000 * 6 * 12 = $ 720,000 per year or Rs 3.168 crore per year.

If we estimate the total number of users on the website (93467 * 365), it turns out to be 34115455 visits in one year.

So, they make atleast Rs 3,16,80,000 for 3,41,15,455 visits. So for every visit that you make to Techcrunch, Rs 0.929.

Conclusion: No matter how big you get, you can make a rough calculation, that for every pageview that you get, you can make Re 1.