NONE: Re: ONLINE-ADS>> Banner bartering
Re: ONLINE-ADS>> Banner bartering
Kristine Loosley (kris_at_concentric.net)
Wed, 18 Mar 1998 08:12:28 -0800
Adam Boettiger wrote:
>This makes no sense at all. Why would they be worried about
>devaluing their sold inventory if the only people who are going to
>know that they are trading unsold inventory are those they trade with?
>No sites that I am aware of advertise on their rate cards that they trade
>unsold inventory. It is done on a private basis by phone or email between
>the two sites.
Adam, I thought more about this, and perhaps I didn't explain well the
first time.
For example, if I'm a regular purchaser of ads from eyescream.com, paying
$50 CPM for a bazillion hits/month and then I come to you and say "Hey,
would you mind trading me some unsold inventory for some of my unsold
inventory?" then you would probably say to yourself "Sheesh, if I do that,
I lose her $50 per thousand on all those bazillion hits. I'm going to tell
her NO!". In effect, by trading you start cannibalizing what would
otherwise have been sold.
Where this is NOT true is in cases like you mention, where neither party
would ever have purchased ads from each other in the first place. It's
interesting. Would you rather trade your unsold inventory or eat it? If I'm
not going to buy from you in ANY case, you'd be better off trading. If I
would buy it if you wouldn't trade it (i.e. if your site is hot enough for
my demographic needs), then you should hold steady and not trade or I'll
never buy again and will always expect you to TRADE me ads. You just have
to do the math on hits. Would my traded hits do you enough good to
compensate for the house ads you could have run on your own?
Kristine
Kristine Loosley Concentric Network
Director of Online Services
http://home.concentric.net
kris_at_concentric.net 408 342 2808
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