Gawker Media Revenue: New Est. $10-$15 Million

Nickdenton

In yesterday’s post debating Nick Denton’s dynastic wealth, we floated a revenue estimate for Gawker Media we’ve heard a few times: $6 million a year.  Since then, we’ve heard from those who say that’s a shade high, because Gawker only gets a $2.50 CPM (vs. $30 rate card).  And we’ve heard from those who say that’s quite low, because Gawker gets at least $7.00 per thousand pages.

Who to believe?  Given that 1) some crappy remnant inventory sells for $2 CPMs, 2) Gawker Media inserts more than 1 ad per page (including classifieds, etc.), and 3) the two data points aren’t mutually exclusive, we’re more persuaded by the higher revenue argument.  So we hereby revise our estimate for Gawker Media revenue:

150 million pageviews a month
    X
12 months
    X
$7.00 revenue-per-thousand pageviews (multiple ads per page)
    =
$12.5 million a year

Conclusion: Nick’s richer than we thought!

Update: Greg Allen and New York magazine (staffed by at least two of Denton’s former employees) take stabs at his costs. Conclusion: Nick’s still rich.

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