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NONE: Re: ONLINE-ADS>> Controversy between Burst and IAB

Re: ONLINE-ADS>> Controversy between Burst and IAB

Sharon Tucci (CEO_at_ergodynamix.com)
Wed, 06 May 1998 17:23:03 -0400

I think some other people have made some great points
which I agree with (i.e. what SHOULD be included in
the revenue calculations?), but I want to add something
to the discussion...

I have a heck of a time believing any stats that are
published about *anything* on the Internet. Here are
just a few examples/reasons:

1. Numbers tossed around about Internet usage as a whole
cannot be verified. I've read some accounts of 25 million
users. I recently read the number 150 million users. Why
is there such a discrepancy? How are these numbers
calculated? How can it be truly known how many users there
are with individuals having multiple dial-up accounts,
others sharing accounts, etc?

2. Even the number of web sites on the Internet is
incredibly difficult to calculate. "Make up" a bunch of
domain names. Do a search on Internic to see if those
names are registered and then see how many of these
registered names actually have web sites up. Even if each
registered domain name was verified, it still doesn't mean
the number would be accurate. Many companies have multiple
domain names pointing to the same site. Many smaller and
mid-sized businesses don't even have their own domain name,
but have secondary domain names/subdomains/or simple
directories on hosting services.

3. As far as ad revenue goes, I have an even bigger problem.
Sure, we all know about the oodles of traffic and ad revenue
generated by big web sites such as Yahoo. But what about
the many, many small and medium sized web sites? I've never
had anyone contact me to survey our revenue, and since
most of our advertisers are small businesses, I doubt that
anyone has contacted them either. Yet, in our first year of
operations, we generated well over 6 figures in ad-related
revenue. On one of our web sites, we had over 100,000
visitors in it's first ten days because of publicity. No
one has contacted me about traffic numbers.

What proportion of Internet revenue comes from or is paid
to small and medium sized businesses that don't appear is
these numbers? Is it such a small number that these
surveys can ignore? I really doubt it.

Let's say that there are in total 1,000 web sites and
list publishers generating $100,000 or more per annum in
ad-related revenue. Do the math. Wouldn't this have an
effect on the numbers? What about the thousands of
web sites generating income in five figures?

Just my two cents.

Sharon Tucci

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