CPM and Impressions (United States)

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NextRadio is a mobile application that works in conjunction with TagStation.  TagStation enables radio stations to sell enhancements for on-air spots and promos (NTR), including visuals and points of interaction that are delivered in sync with your over-the-air broadcast to FM-enabled wireless devices. We call these enhancements “Companion Ads.”

Companion Ads are trafficked as a campaign in TagStation and are distributed to the NextRadio app via NextRadio, LLC, which has entered into the agreement with Sprint to enable FM radio chips in at least 30 million wireless devices over a three year period.

Under the Sprint Agreement, NextRadio charges a CPM-based transaction fee (the “CPM Transaction Fee”) for distribution of Companion Ads to the NextRadio app.  NextRadio keeps a small portion of this fee and pays Sprint the remainder.

Your station is invoiced based on actual impressions served and keeps all of the revenue it receives from selling the Companion Ads that is in excess of the CPM Transaction Fee.

What does CPM stand for?

Cost per 1,000 impressions.

How are impressions counted?

An impression is counted if a radio station's Companion Ad is delivered to the NextRadio app at a time when the device screen is on and the NextRadio app is active.

What does "maximum number of impressions" mean?

TagStation enables you to specify the maximum number of impressions for each Companion Ad campaign. This feature enables you to determine the maximum amount you may be charged to run the campaign.

What happens when the maximum number of impressions defined in a campaign is reached?

When the maximum number of impressions defined for the campaign is reached, TagStation will no longer deliver the enhancements defined in the campaign.  If the over-the air spot with which the Companion Ad campaign is associated continues to play after the maximum impressions is reached, TagStation will deliver to NextRadio the default visual image defined on your station’s Settings page.

What is the CPM Transaction fee?

The CPM Transaction Fee is the amount your station will be charged for every 1,000 impressions of an Companion Ad that is served to NextRadio-enabled devices.  The fee is defined in the TagStation interface when creating a campaign.

So how do I make money?

Simple: you/your station sells Companion Ad packages and keep all amounts in excess of the CPM Transaction Fee.

Example

  • CPM Transaction fee = $1.25
    (So 1000 impressions costs you $1.25 or another way to look at it is 1 impression costs you $0.00125)
  • You run a campaign that garners 500 impressions.
  • 500 impressions X $0.00125 per impression = $ 0.625
  • The campaign cost you 62.5 cents to run.
  • You are invoiced 62.5 cents, and the amount you charge the advertiser above 62.5 cents is yours to keep.

How are Companion Ad campaigns billed?

After the campaign is fulfilled, NextRadio will calculate the amount owed by your station for the CPM Transaction Fee and send an invoice to your station for payment within 30 days. NextRadio will in turn pay Sprint for their contracted revenue share.

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