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NONE: Re: ONLINE-ADS>> Avertising from South America?

Re: ONLINE-ADS>> Avertising from South America?

Cliff Kurtzman (cliff_at_tenagra.com)
Thu, 16 Apr 1998 14:28:03 -0500 (CDT)

Giuseppe Farese <sysop_at_ssebbs.com> wrote:

>We've found that online advertising based on impression ($xx CPM) is not
>a good way to do business in our countries were telecom is still in the
>process of development (In Venezuela we don't have more than 200.000
>connected users) and marketing specialist are still afraid of the Web.
>The best way to sell online advertising is based on a flat fee per month,
>offering the customer 100% of the impressions on a selected page.
>
>Does anyone had been in this dilema?

This is a fairly common practice, particularly on sites that do not have
mega-traffic. But the bottom line is that when a media buyer buys an ad
from you, they are still going to assess how good the buy is from the point
of view of both CPM and the audience you attract. They will want to see
historical traffic levels on the page on which they will run the banner.
They also may ask for a minimum guarantee of the number of impressions that
they will receive over that month. Knowing the historical traffic levels
on the page, they can compute the CPM and compare it with other ad buys.

>From a media buyer's perspective, there are pros and cons of buying an ad
banner as you described. If the advertiser is not terribly interested in
branding and the page has a high repeat visitor ratio, then these buys may
not be very worthwhile unless they are really inexpensive. On the other
hand, if the advertiser is interested in branding or the page continually
draws a fresh audience, then they buys can be very productive.

You know you can find certain advertisers in some magazines when you are
ready to buy a related product (e.g. a tennis equipment seller in the back
of a tennis magazine). Similarly, some online advertisers have found it
very advantageous to buy 100% impressions over very long periods in some
online publications, so that the readers of the publication can easily find
them when they are ready to buy a related product. While click-through
rates may not be as high, from the point of view of long term sales it can
be much more productive than scattering your banner out at random in
rotations at different sites.

Best,

Cliff Kurtzman
The Tenagra Corporation
http://www.tenagra.com/
281/480-6300

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