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Re: New Pricing Model

From: Brian Shepherd <Brian.Shepherd_at_TechnologyReview.com>
Date: Mon 10 Dec 2001 08:39:26 -0500

Regarding session based pricing, Jim Sterne
<jsterne_at_targeting.com> wrote:

"You're right, and the New York Times has set their
"Surround Sessions" to bill you only for a session
that looks at 5 pages or more. Less than that, it's
free."

I guess it just troubles me that NYT is placing no
value on those that view less than five pages. I
know NYT probably did some study that shows only X%
(some small number) of their audience views less
than five pages. However, I know of some sites
with good content, a great audience that may
average less than five page views. For instance, I
hear about a company ready to go public. I go to
CNNfn or CNBC to quickly find out when the IPO is
scheduled. Then I leave, maybe generating 2 or 3
page views. Am I any less attractive to an advertiser
as someone who then decides to check the latest NASDAQ
numbers and read a story about Greenspan generating 5
or 6 page views?

And killing two birds with one stone, Andy Bourland
<andybourland_at_yahoo.com> wrote:

"I think the key for the publisher would be to set their
pricing based on average number of impressions per session.
If you start doing the tiered pricing thing, you go right
back to an impression model. The thinking behind this is
that in the CPS <cost per session> the advertiser is buying
a 1000 unique users as opposed to 1000 impressions spread
over however many people."

Agreed, however, I still think to throw out the window a
session that lasts less than the "average" is a waste for
the publisher and suggests that that session is less
valuable than a longer one. I'm not trying to be hard-
headed here, just want to understand if some study was
done that says "less sessions is perceived as less valuable."

Thanks all for the great responses.

Best,

********************************************

Brian K. Shepherd
Technology Review, Inc.
Director, Online Sales and Marketing
EMAIL: brian.shepherd_at_technologyreview.com
PHONE: 617-475-8030
http://www.technologyreview.com





Received on Mon Dec 10 2001 - 07:39:26 CST


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