Re: Determining Media Mix

From: Wayne Browning <info_at_homepagers.com>
Date: Tue 07 Dec 1999 22:46:43 +0500

SHARI (MILLER) MONNES WROTE:
> There has been a lot of hype recently about startups
> and dot coms spending huge portions of their budgets
> on branding and advertising (for example, see Forbes,
> Nov. 1, 1999, p. 60) using TRADITIONAL media,
> especially broadcast, including TV. I was wondering if
> anyone has any good advice or resources I could turn to
> in deciding how to allocate our year 2000 advertising
> budget effectively. We have been allocating between 30
> and 50% to online spending, but it seems that is not
> the norm. I am specifically looking for information in
> the small business arena. Any resources or information
> you have would be much appreciated. Thanks!

TO WHICH BRUCE KOREN REPLIED:
> Here's a simple example from the online world: Should
> you advertise with banners or Email? Well, if you want
> to do branding, it's a great way to get your image and
> messaging in front of an audience - animation, sound,
> streaming video, pull-down menus ... wow! the
> possibilities are endless. But banners don't work for
> response-style ads. After all, when's the last time
> you clicked on a banner? The commonly quoted response
> rate for banner advertising is 1%. But we're not
> looking for response; we're looking for image-building,
> branding, name recognition. We want unique page views.
>
> If we want response, we look at opt-in Email. Not
> spam. Mailings to those who've registered for, and
> have answered, "Yes," to the question, "Are you
> interested in special offers and information on subject
> X?" They asked for it, you give it to them, and
> depending on the list, the offer, and the copy (and art
> if it's an html Email), the response rates are quoted
> as 12 - 15%. And I've heard of mailings to a customer
> database garnering over 25% return.



I say this is a slight generalization. banner
adverstising does work, perhaps in some people's
experience it does not but that does not mean to does
not work. For example how would you drive people to
your opt-in list without some form of other than email
advertising. We all are ready to define all things but
use only our own experiences to do so. Objective minds
and approaches survive these pitfals. While I will tell
one client banner ads are not the way to go, I will
tell another it is. For branding when you are a small
buisness , it's not the time unless you have just went
public and have great oodles of money to throw at it.
But running banners ads to solicit sign-ups to your
opt-in newsletter is money well spent. Banners do what
you design them to do and work if placed in the correct
demographic. As a publisher, i have run hundreds of
banner campaigns for clients, and it's about 60/40. 60%
of the campaigns do well and do produce the desired
effect. The other 40% do not fare as well. It also is a
matter of definition as each client has a different
goal, some concentrate on ROI, others branding still
others on building a subscription base to a site or
newsletter. food for thought.
Wayne






Received on Tue Dec 07 1999 - 11:46:43 CST