Re: Ouch! - From 60% to 40%
As in anything in the real world you pay for what you
get. What is REALLY happening with banner prices can
be directly correlated to the value that they provide.
Many people throw around varying CPM without regard for
any of the other associated dynamics. i.e.. If click
thru is 0.34% as opposed to 3.4% then might not the
value of the latter be 10 times more? If your smart
enough to realize that click thrus are not the end all
and be all then you will also realize that branding is
effective. However, it is only effective if the ads
are reaching an appropriate target market. This is to
say, If your selling heavy equipment (Graders, Dozers
Loaders etc) will your branding effort be effective on
a teen site like www.amihotornot.com ? Obviously the
answer is no! If you look at our site - our visitors
are buyers and sellers of heavy equipment - all of our
advertisers ads reach a relevant audience. When you
have a highly targeted audience and you restrict
advertisers to relevant products or services two things
happen: 1) Click thrus are high and branding efforts
are rewarded. 2) Advertisers pay appropriately - in
our case between $70-$90 USD/1000 ad views. Guess
what. Everyone wins. Our advertisers are happy because
they are receiving value. We are happy because were
making money. Our site visitors are happy because
banner ads are no longer annoying but are, in fact,
useful to them. I don't see Lexus advertising in the
back of comic books, why the heck is this still
happening on web?
Just my two cents
Brendan King
Director of Marketing
Point2 Internet Systems
E-mail: Bking_at_point2.com
Phone: 306 955 1855
www.Point2.com
http://www.globetechnology.com/site/specials/e-25/
Received on Tue Jan 16 2001 - 14:11:26 CST
