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NONE: Re: ONLINE-ADS>> Unsold Inventory
Re: ONLINE-ADS>> Unsold Inventory
Tom Lix (tlix_at_newmarket.net)
Mon, 03 Nov 1997 13:55:41 -0500
Jason Rapasky (from AdBot) wrote, in part:
<snip>
> I believe that
>the move to subscription fees is the result of high CPMs. Many sites,
>even those asking for CPM's in the $20 range, are pushing advertisers
>away. Advertisers simply want to get the most for their money. When
>average sites ask for an above average CPM, why blame the advertiser for
>not being interested? As a result the publishers have to become
>creative, and that's how we get the advent of subscription fees. Here
>is a simple formula: High CPM = Unsold Inventory = Publisher Panic =
>Subscription Fees
<snip>
I object. CPM's are set by the market. Some sites can easily charge $35,
$50, even $100 or more per thousand (for a focused audience.... see one of
our sites, CARTALK.COM) while others are "valued" by the market at only $10
or $20. Smart marketers sell what they can at high CPM and fill unsold
inventory at lower prices (which AdBot can help with). Magazines,
newspapers, television and radio have all adopted this model... it works for
them, and not suprisingly works for web publishers as well.
What I object to is the "pitch" I'm increasingly hearing from AdBot that
CPM's in general are too high, and that the "true market" price is what they
get in their "auction" format. IMHO, the statement is both untrue and
_very_ self serving. Unfortunately the message they're spouting (to groups
such as this as well as their advertising in mainstream trade publications)
is to the detriment of web publishers in general. AdBot is a fine system
for unsold avertising, but if you're using it to sell "all" your
inventory... or believe their pitch that the auction prices are the 'real"
market prices... well, then you're selling yourself for less than what
you're worth.
______________________________________
Tom Lix, President/CEO
NewMarket Network
201 South Street, Boston, MA 02111
voice: 617/423-4499 fax: 617/423-4498
http://newmarket.net
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