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Re: CPA, CPM...

From: Jim Sterne <jsterne_at_targeting.com>
Date: Wed 14 Nov 2001 21:48:06 -0500

AMANDA VEGA <amanda_at_smithrenaud.com> WROTE:

>When looking at the $12 Million in interactive media
>placements I did over the last 12 months, I have
>found that my CPM deals DID work, quite successfully
>(over 706% ROI to be exact)

I am dying to know how that was calculated, Amanda.
Can you share your math with us?

>Maybe it's our target audience, or a difference in product

That's something that hasn't been discussed much recently
and may explain a *lot* of things - maybe even Rob Frankel.
Well, OK, I admit that's a stretch.

RON SHERIDAN <ron_at_ronsheridan.com> WROTE:

>They have built
>such a large base of low end and newbee consumers that
>they can pull off CPA deals and make money.

Let's talk about marketing vehicles and appropriate
products. If I were going to sell the amazing
Super Bass-o-Matic '76:
http://snltranscripts.jt.org/scripts/75qbass.phtml
I would probably make a whole bunch of promises to
pay out big bucks for CPA pop-under deals. Why?

Because I wouldn't be very worried about my brand or
creating long term relationships with the public or
my customers. The margin on a Super Bass-o-Matic '76
is high enough that I can afford big payouts and if
some ambitious sales/marketing/advertising person wants
to spam the planet then more power to them.

('Scuze me while I go wash my mouth out with soap.)

Fun's over, here's the point. Quick-sell, low cost,
impulse purchase items that can fly off the shelf
may mean that CPA is a good deal for everybody.

But take a quick look at Amanda's clients:
http://www.smithrenaud.com/clients.html
This is not your Ronco crowd. These are companies
with brands that are based on culture, sophistication,
heritage, and a whole slew of upscale attributes.

These are not the sort of firms one would expect
to see running Buy-Now! ads during the 1:30 am
re-runs of 3rd Rock From the Sun or printing
their offers on the back of those Have You Seen
This Child mailers.

Different products, different approaches.

What say?

---------------------------------------------------------
Jim Sterne Target Marketing of Santa Barbara
jsterne@targeting.com http://www.targeting.com
Author, Speaker, Consultant +1 805-965-3184
Web Marketing, Customer Service & E-Metrics Consulting
=========================================================
Subscribe today to the mostly monthly "Full Sterne Ahead"
=========================================================





Received on Wed Nov 14 2001 - 20:48:06 CST


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