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Re: CPM isn't dead

From: Phil Tanny <phil_at_philtanny.com>
Date: Tue 06 Nov 2001 15:47:07 -0500

JIM STERNE <jsterne_at_targeting.com> WROTE:

>If online advertisers insist on CPA, they will
>put under one Web site after the other.

The CPA payment model is _not_ responsible for the
current poor condition of the online ad market.
CPA is not related to low ad prices in any way,
nor is it responsible for the difficulties
publishers are experiencing in this down market.

CPA is simply an accounting system. That's all!

The payouts from a CPA deal could be really
profitable, or really lousy. There is nothing
about CPA as an accounting system that dictates
which the case would be in any particular deal.

Yes, there are many low paying CPA deals available
right now. This has nothing to do with CPA itself
and everything to do with the fact that, as we all
know, the online ad business is in the toilet and
it's a buyers market right now.

Publishers who continue to stubbornly insist on
blaming all their troubles on CPA reveal a lack of
understanding about the market they are trying to
make their living in and that raises the question
whether the real heart of their difficulties is in
how they are operating their own enterprises.

Rather than aim our disappointment and outrage at
the accounting system and/or our advertiser
customers we might be better advised to spend that
same energy analyzing our own operations.

PS. The web sites who go under will be replaced
by others capable of adapting to the current
environment. Thus it has always been in
business and nature.

Sincerely,
Phil

Phil Tanny, phil_at_philtanny.com
http://subscription-service.com











Received on Tue Nov 06 2001 - 14:47:07 CST


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