Re: Jupiter Sold for $250K to Internet.com parent INT
I check into this board from time to time just to read - but was compelled
to point something out in this instance...I am not surprised at the eventual
value Jupiter sold at - in my mind it is a simple conceptual formula on
these "knowns":
1. The internet failed to deliver revenue at the amounts and pace predicted
5 years ago - at least for the majority of industries & businesses
2. Companies in those industries have scaled back their investment across
the board as it relates to the internet due to the ROI (except for those
more visionary companies that have learned to embrace the internet as an
extension of their marketing efforts (first) and possible revenue generation
depending upon the category (second).
3. Jupiter's pricing for reports/services were beyond the pain threshold of
all but the largest interactive agencies that built and maintained web
products for companies (in a highly fragmented small mom&pop-style service
provider market I might add) coupled with...
4. The diminishing perceived value of such reports as internet ROI waned -
it was hard to justify spending the money for their research when the jury
is still out on the fundamental questions internet pundits were arguing
like, "the true value of a click"
Was their business model bad? I don't think so - just their pricing, overly
optimistic assumptions (in good company) & their luck
Karl Strauch
Coastal Marketing Group
912-355-5918
karl_at_coastalmarketinggroup.com
Received on Wed Jun 26 2002 - 22:45:52 CDT
