Re: CPM isn't dead, it's just sick

From: Rob Frankel <Rob_at_RobFrankel.com>
Date: Tue 27 Nov 2001 19:23:15 -0500

ANDY BOURLAND <andybourland_at_yahoo.com> WROTE:

>BRAD JENSEN <brad_at_elstore.com> WROTE:
>
>> The more responsibility you take, the more money you will
>> make.
>
>Clearly, you've never worked as a publisher, Brad... nor
>have you ever seen many CPA deals float across your desk.
>They aren't moneymakers, I assure you.

Andy, I'd be careful there. First, your post reeks of
bitterness and begs for a similar response along the lines
of "you've never worked as a businessman." You can do
better than that.

>I dare you to put your money where your mouth is, Brad...if
>you have the guts! Develop a quality content site, grow the
>readership and maintain profitability soley on CPA deals.
>Let's see how smart you really are.

Hey, what's with the challenge? CPA can be done if you
build the site for that purpose. I don't understand where
all that anger is coming from. Just because YOU haven't
built a profitable CPA site doesn't mean others can't. You
prefer a different model. Brad doesn't.

Personally, I think CPA -- defined more along the lines of
CPC hybrid -- is where I think the industry is heading in
any case. You can rant all you like, but he who pays the
piper calls the tune. If I advertise, I want to see a
return on that investment. But every site should prepare
their advertising clients for proper expectations. As
I wrote in this week's FrankelTips, the "action" owed to
advertisers is delivering prospects to the site. Anything
above and beyond that is the advertiser's responsibility
-- as it should be.

>I can't WAIT to see bradjensen.com to see how you develop
>a quality content site based totally on CPA advertising.
>
>You can't and you won't.

Comments like this don't exactly enhance the Andy Bourland
brand, if you get my drift.

>> I sell a product that costs $10,000 to $50,000. I'd gladly
>> pay anybody who brings me a sale 8%. I'd rejoice!
>
><clue phone ringing> Hello Brad? Ring! Ring! People don't
>buy $10K or $50K products on the basis of clicking a banner
>on line, dude. They THINK before they buy, which means that
>they will most likely do a lot of research, comparisons, etc
>before they go back to the site and buy. Meaning that the
>advertiser won't be paying the 8% commission -- another
>reason why CPA sucks for the publisher and is wonderful for
>the advertiser.

This is not exclusively true. While it may seem that way
intuitively, you're ruling out the tracking ability of that
banner to record the prospect's initial click even to
perform said research. If that "research click" results in a
sale, you would, conceivably, have your CPA. I don't think
anyone here ever said that a CPA rate would be a 1:1. It
may well be 20:1, but if it results in bottom line sales,
that's still acceptable.

>Clicks are also easily manufactured and are rapidly going
>out of vogue.

First part true, second part not true. In fact, I'd venture
to say that while generic "clicks" are easy to fake,
tracking sales renders this statement irrelevant. If you're
basing payment on a click, you can control those easily as
we do with PillowMail. If you're basing payment based on
sales, the cash register rings -- who cares how many
clicks go through?

>
>Again, I challenge you to launch a quality content
>site, build a good audience, and maintain it over
>the long run -- profitably -- based soley on CPA deals.
>I dare you!

Well, that's certainly dramatic. Not necessarily helpful,
but dramatic nonetheless.
--

Rob Frankel, "Yes, I really do turn users into evangelists
for your brand."
Big Time Branding (TM) http://www.RobFrankel.com
FrankelTips Weekly at: http://www.FrankelTips.com
The Book/Tapes: http://www.RevengeOfBrandX.com
FrankelBiz for FREE at: http://www.FrankelBiz.com
818-990-8623 - 888-ROBFRANKEL - AIM ROBFRANKEL





Received on Tue Nov 27 2001 - 18:23:15 CST