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I'm interested in hearing people's experiences in approaching advertisiers to run ads on their blogs. Specifically, how do you choose who to approach, what is the pitch like, and has the experience been positive overall?

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I usually pitch back to the companies and PR people who pitch me and ask them to run ads on my blogs. Sometimes it works, sometimes it doesn't. I've also had people approach me directly. But mostly I run ad network ads though the pay isn't as good as the direct advertisers.
Luckily all of my advertisers have come to me so far. I just had a space open up and I thought about soliciting folks. I am thinking I will contact stores that I see advertising 125s on other blogs. I haven't thought through what I will say yet. I will probably just try to sell my site and ask if they are interested, then I will email them my (yet to be created) media kit.

I would love to know other folks have encountered.

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