Re: short vs long term

Steve Roth (72260.3100_at_CompuServe.COM)
06 Sep 96 11:58:54 EDT

• Messages sorted by: [ date ][ thread ][ subject ][ author ]
• Archive Home Page
• Search
• Next message: Chris Sherman: "banner management software question"
• Previous message: Tom Cunniff: "Re: Banner Banter"

>Part of the problem of
>advertising on the Web at the moment is that is very difficult to quantify
>the value of any promotion.

I find this statement confusing and surprising. Compared to any other
medium except direct mail, our web ad campaigns are the most quantifiable
marketing vehicles we use. There's scads of data, but very little that
matters:

o How much did the campaign cost?
o How many visitors arrived at our site as a result?
o What percentage of visitors become customers?
o What's the lifetime (present) value of a customer?

If you have these four pieces of information, the rest is trivial
arithmetic.

It's true that there are many aspects of web ad campaigns that are hard
to quantify--brand recognition, long-term sales potential, etc. But for
us, that's all just gravy.

>It is alright for the AT&Ts and Netscapes of
>this world, it really doesn't matter too much if they spend a few hundred
>thousand dollars and then cannot accurately quantify the benefit.

No matter the size of the advertister, quantifying counts. The only
difference is goals--branding/visibility versus sales. A branding
campaign is inherently much more difficult--arguably impossible--to
quantify. And large advertisers tend more toward branding as a campaign
goal.

I think all the talk about the imminent demise of banner advertising is
pretty amusing, given that it's hardly even started, and that it's a
targeted, inexpensive, effective, measurable, and flexible medium....

Steve

======================================================================
Steve Roth sroth_at_thunderlizard.com
President Direct voice: 206/285-0307
Thunder Lizard Productions TLP main number: 206/285-0305
1619 8th Avenue North Fax: 206/285-0308
Seattle, WA 98109 www.thunderlizard.com
======================================================================

• Archive Home Page
• Search
• Next message: Chris Sherman: "banner management software question"
• Previous message: Tom Cunniff: "Re: Banner Banter"

With an archive of more than 14,000 postings, since 1996 the Online Advertising Discussion List has been the Internet's leading forum focused on professional discussion of online advertising and online media buying and selling strategies, results, studies, tools, and media coverage. If you wish to join the discussion list, please use this link to sign up on the home page of the Online Advertising Discussion List.