NONE: Re: ONLINE-ADS>> Benefits and Risks of Commission-Based Advertising
Re: ONLINE-ADS>> Benefits and Risks of Commission-Based Advertising
Mark J. Welch, Esq. (markwelch_at_ca-probate.com)
Fri, 19 Sep 1997 15:56:15 -0700
At 03:00 PM 9/17/97 -0700, Kristine Loosley wrote: * * *
>My company is interested in exploring the "pay per sale" model. In other
>words, a web site places ads, copy, emails its subscribers -- whatever --
>to acquire customers for my services and I track signups and pay out a
>commission on each sale. * * * What about this model appeals and does
>not appeal to you? * * *
>Theoretically, then, I'd be willing to pay between $50 and $150 all day
>long to sites that would generate a sell-through on their own -- by using
>whatever means possible. * * *
>Would I find takers for this kind of model? I'm thinking high-traffic
>sites with loads of unsold inventory would be my best bet. Any other great
>ideas?
First, take a look at SAFE Audit, a banner network that can serve ads and
track them for sites based on the model you suggest. You can also do this
directly, and I believe some vendors have software to do this kind of
tracking and reporting. (Tom Gerace of Be Free, Inc., http://www.befree.com,
posted a message to this list a week or two ago about BFAST which "lets
on-line retailers create and manage affiliate networks. (tgerace_at_befree.com)
SAFE Audit even maintains statistics so that web sites can determine the
performance of each advertisement, computed on a CPM basis, with most
commission-based ads generating revenues of less than 50 cents per
1,000 banners served. (But some of SAFE Audit's advertisers are selling
'questionable' products with relatively low commission payments; I suspect
you may already have received email from Leo Scheiner once you mentioned
the $50 to $100 commission idea.
DeLorme has a commission-based ad program that promises a $25
commission on sales of its GPS locator peripheral for PCs. There are
a number of other commission-based "direct" ad campaigns or
affiliate programs listed on my web page at
http://www.markwelch.com/bannerad.htm
Second, be extremely careful when you use phrases like "whatever means
possible" when encouraging affiliates to market your product for you. You
will find that some affiliates will abuse this, by distributing false or
misleading
materials, and possibly by broadcasting unsolicited commercial email (spam)
promoting your product. Those actions will, in turn, create headaches for you
that will cost you more (in staff time) than the profits they generate.
-- Mark J. Welch, Esq. (510) 462-8483 http://www.ca-probate.com/
-- This message is NOT legal advice, and is NOT confidential.
-- Web Site Banner Ads and Web Counters: http://www.markwelch.com/
-- Small Office / Home Office Consumer: http://www.sohoconsumer.com/
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