NONE: Re: ONLINE-ADS>> Controversy between Burst and IAB
Re: ONLINE-ADS>> Controversy between Burst and IAB
Chris Anne Wheeler (cwheeler_at_activmedia.com)
Thu, 07 May 1998 15:17:59 -0700
I have three comments.
"Larry Walker - BlazePoint Communications" <lwalker_at_blazepoint.com> wrote:
>Burst Media has done its own estimation of online ad spending last year and
>says the IAB figures are way too high. Burst claims their research puts it
>at about $336 million, versus the IAB's $906 million.
Data from ActivMedia's annual "Real Numbers Behind 'Net Profits study," now
in its 5th wave of tracking, clearly shows that online ad revenues reached
$428 million during 1997. Only 2% of the $21.8 billion e-commerce revenues
generated last year.
Larry then wrote:
>I am of the opinion that if you put 5 analysts in a room,
>give them the same figures and then allow them to develop
>their own methodology for arriving at your desired results,
>you will always have this type misrepresentation. It's not
>necessarily fraudulent or intended, just a plain difference
>of opinion as to *how* things should be gauged.
Yes it is true that sampling methodology is the culprit. This is exactly
the reason why our numbers and Bursts are more justifiable. Now I can't
speak for Burst's methods, but ActivMedia polls the entire Web at
large--both large and small Web sites across all industry sectors. If you
would like to better understand our sampling methods and the level of
detail contained in our studies, please contact me at
cwheeler_at_activmedia.com (603-924-9100).
"Mark J. Welch" <markwelch_at_ca-probate.com> wrote:
>
>One of the problems in measuring a market like "internet
>advertising" is the issue of what to include in that term. Do
>we include development costs for microsites created in
>connection with an ad campaign? Do we include site
>sponsorships? Do we include commission revenues from
>Amazon and others? Do we include ClickTrade and deals
>that pay for links? Do we include LinkExchange and other
>banner exchanges that "buy wholesale and sell retail" with
>member sites? What exactly is internet advertising, or
>perhaps more important, what is not? If I hire someone to
>design a new "Grateful Dead" web site for me because I
>have a deal with a music publisher, for whom I hope to sell
>a lot of CD's, is the design of that site an advertising expense?
Well after grappling with the issue of definining advertising revenues for
5 consecutive waves, ActivMedia looks at:
WEB ADVERTISING & SPONSORSHIP REVENUES full year 1997
How much WEB-GENERATED REVENUE did your site earn in '97?
What are your expectations for '98?
And then we poll "[what was the] average for a recent month?" for a check.
Again, I'd be happy to discuss this further with anyone who as question
about our numbers and methodology. - Chris Anne Wheeler, Director of
Information Services, ActivMedia, cwheeler_at_activmedia.com.
********* Knowledge Means Business *********
Chris Anne Wheeler
Director of Information Services
ActivMedia (http://www.activmedia.com)
cwheeler_at_activmedia.com
800-639-9481 or 603-929-9100
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