PayPerPost has been working to add more value to its marketing campaign opportunities over the last few weeks. They have begun to apply segmentation to the blogs of bloggers.

This segmentation comes in the form of blog rank and blog category. The blog rank is determined via PageRank as provided by URL Trends and the category is self assigned by the bloggers and currently reviewed by PayPerPost.

This is an entirely new process for PayPerPost and they have had to work through a number of bugs in the first few days on the rank side that seem mostly solved at this point. The categorical review of blogs is proving a little trickier, but they are working on it.

The Goal

Ultimately they hope to be able to offer their advertisers to be more precise in the targeting of their campaigns to individual types of blogs. The obvious next step in categories is to find an objective technology capable of reviewing and indexing blogs by category up front.

I have found that technology and forwarded a summary of the capability to PayPerPost. The end result could allow PayPerPost to not only put blogs into categories, but it could enable PayPerPost to track in real time the metrics of the blogs performance and content characterization.

Selling Price Spike

PayPerPost has seen a spike in the upper selling price of ad reviews and placements taking the price from a previous high of around $20 up into three and four digit prices for a couple hundred words. The image on the right shows some current opportunity prices and their word counts.

Some Advertisers are willing to pay a premium for the laser precision option of hitting the right audience.

Still Lowest Commission rate in Industry

PayPerPost does charge a much lower service fee for blog marketing as opposed to competitors such as ReviewMe or Blogitive which can charge fees of 100 – 500% more than the amount that goes to the blogger. PayPerPost charges a rate of 35% for their portion allowing SEO and SEM specialists the pricing differential to come in and walk less experienced advertisers through a Buzz Marketing Campaign through the blogosphere. Even after an SEM markup the rates are still lower than their nearest competitor and the options that advertisers can require are infinitely more flexible and scalable to large and small campaigns.

PayPerPost’s biggest challenge will hinge largely on their ability to get solid metrics back to their customers as mentioned above, but providing the ability to launch campaigns of this nature will initially create something worth measuring.