Re: ONLINE-ADS>> Industry duck and cover?

David Scott Carlick (carlick_at_eyegive.com)
Thu, 24 Sep 1998 14:55:24 -0500 (CDT)

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Brad Byrd (Brad.Byrd) wrote:

>"So, what do you expect the price convergence to be? I've
>seen articles in DM discussions where the CPA is between
>$1-3, but that seems high -- I'm sure that's based on an
>order conversion model and not a branding model."

His topic was: If branding can't happen in a banner, but can
happen in a website, then what is the value of a banner that
brings someone to a website?

I am curious: What is the value of a brochure?

Well, we know the cost:

The brochure costs a few cents to a buck, and about a buck
to a few bucks by the time someone has called an 800# and
got it sent out.

So, all-in, a brochure is a several dollar effort per
consumer. At, say, a half dollar per visitor to a website,
the Internet offers a deal that, it seems to me, is the deal
of the century. (Act now, though, because this offer lasts
only 14 more months!).

As to the question of whether $1-$3 is a reasonable number,
as it comes from a 'direct marketing' model. To be sure, if
there are direct marketers out there writing orders at a
cost of $1-3, they are enjoying their returns from a large
yacht near Monte Carlo.

My anecdotal evidence (and vote) suggests that $1-3 to
'engage' a consumer is very cheap. The result of that
engagement is, well, up to you.

DSC

**********************************
David Scott Carlick
Director, eyegiveÆ
carlick_at_eyegive.com
www.eyegive.com
the power of technology to do good.

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• Maybe in reply to: Brad Byrd: "ONLINE-ADS>> Industry duck and cover?"
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