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CPA

From: Eric J. Aafedt <eric_at_investmenthouse.com>
Date: Wed 07 Nov 2001 18:08:43 -0500

JIM STERNE <jsterne_at_targeting.com> WROTE:

>The problem in the long run is that Web sites
>cannot stay in business without the deep well
>of venture capital if they can only sell cost
>per action.

>We have a huge number of magazines, but business
>isn't clamoring for them to sell cost per action.
>If online advertisers insist on CPA, they will
>put under one Web site after the other.

AMEN. CPA is rarely a win/win model. In the rare cases
where both parties receive a fair value, then by all
means use it. It is but one tool in the advertising
arsenal. However, the bottom line is (in Rob Frankel's
words) well the bottom line. And the bottom line includes
that of the PUBLISHER's
bottom line as well.

We reject CPA requests everyday. If a product or service
can't support a reasonable CPM (or other hybrid model
that provides fair revenue to us), then maybe it's the
product or service that should get out of the online
business and not the publisher (how's that for turning
things around?!).

Again, AMEN Jim Sterne ... you are right on line with
your comments.

Eric J. Aafedt
_________________________________________________
Online Investment Services, LP
A 2001 Houston 100 Company
http://www.investmenthouse1.com/cntdir.asp?name=Houston100
Online Newsletter Circulation: 120,000 Investors
http://www.InvestmentHouse.com
eric_at_investmenthouse.com




Received on Wed Nov 07 2001 - 17:08:43 CST


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