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               Online Advertising Discussion List
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List Moderator:                                        Supported by:
Kevin Fadden                                             InterEdge
kfad_at_interedge.com                        
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April 25, 1996                                           Digest#0025
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            Here's what the running total of votes are for:
                      DIGEST v. SINGLE MESSAGES
                        11             2
In this Digest...

NEW
-------
        "Capturing the Referring Page"
                ~ Brian Raub

        "visitors vs. hits"
                ~ Mary Going



CONTINUING
-------
        "Re: Yahoo and Proctor & Gamble"
                ~ Jarvis Coffin
                ~ Brian Massey

        "Off Come the Gloves (was re: Yahoo and Proctor & Gamble)"
                ~ Kevin Fadden



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From: Brian Raub 
Subject: Capturing the Referring Page

(Resending -- Sorry, I previously sent deirectly to Kevin Fadden!)

***Moderator: It probably went right by me -- coming into my personal 
box, I probably passed it off (judging by the subject line) as being a 
part of one of the many technical listservs to which I belong. Just had 
to illustrate the point.8-) -- KF***

My client is developing a fantasy sports product merchandising site (6/1
target date), and will be trading or buying banners (or simple links)
at related sites. We want to track the referring source of click-throughs
and link-throughs, but we don't know how to capture that data.

When someone visits my client's site, is there a variable we can capture
programmatically that identifies the site visited immediately prior to
arrival at my client's site?

Does the referring site have to take some programming action to pass
along this information?

Brian Raub
--
Raub's Internet for Business  -->  http://ifb.com (Phone: 610-896-5815)
- Web Marketing Strategies and Site Development for Smaller Companies -
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From: Mary Going 
Subject: visitors vs. hits

Hello everybody. This is my first post. I am doing major research for my 
site to offer advertising, so I will probably be asking lots of 
questions. Kevin, just shut me up if I over-extend my time on the 
"question-asking-floor."

By way of introduction, I run a site called FireGirl which concentrates 
solely on chile peppers. (Yes, some do like it hot.) 

I receive x hits per day, and I have a hit counter on 
my top page. If I divide the average number of hits per day by the 
average number of people who increment the counter per day (is this 
confusing?), the number of hits per person is about 35. 

However, I saw where a person was claiming x hits, then x/3 people per 
day. 

real numbers for an example:

My way:
1000 hits per day: 1000 / 35 = 30 people per day

The other way:
1000 hits per day: 1000 / 3 = 333 people per day

Now, frankly, if each person only looks at three things when they visit, 
then the site is probably pretty boring. Still, if I were only being told 
how many people per day visit the site, I would of course be more 
impressed by 333 than by 35.

So, my question is two-fold:

specific question - 

given that not everyone will enter a site from the top page (making 
counters inaccurate), and given that hits are so bogus anyway (14 
graphics on a page equals 15 hits), then how does one reconcile the 
differences between hits and actual visitors?

general question - 

what is the most accurate way of measuring traffic to a site?


Thanks!

- mary

--
Visit FireGirl's Hot Pepper Palace:
http://www.firegirl.com
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CONTINUING
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From: "Jarvis Coffin" 
Subject: Re: Yahoo and Proctor & Gamble

Kevin:

Re the Yahoo click-through debacle, two thoughts:

1) Yahoo has opened the Pandora's box for search engines which may be 
compelled now to offer click-through rates. Fine. The truth is, search 
engines are in the click-through business. One might hope, therefore, 
that the 
quality lines of distinction can start to be made between the Yahoo's - 
which 
have dominated the marketplace for this short time - and the 
thousands of editors, publishers and content providers who represent the 
real value and future of the Internet. A reminder for those people: 
you are not in the click-through business. You are in the audience 
capture business. You hold people's attention. Advertisers pay 
differently for that;

2) That said and done, Yahoo has made a mistake. Michael McCarthy of 
SunWorld Online had some excellent comments on the subject at the Ad 
Age site yesterday. To paraphrase: if publishers are going to be held 
to click-through rates, then maybe they should have control over the 
media plan, too. Input regarding product design might be helpful, as 
well, along with a veto on the advertising creative. More 
importantly, Michael raises the question of how to charge, 
differently for click-through rates, say for Coca Cola or the maker of 
Sparc Laptops. Clearly, response will be different, but, then, so is 
product value. Hmmm. If his article is still posted, I urge you to 
check it out.
> 
Best,

Jarvis
--------------------------------------------------------------------
From: Brian Massey 
Subject: Re: Yahoo and Proctor & Gamble

From Kevin Fadden's message:

>>Today's "Advertising Age" has a front-page article announcing that
>>Procter & Gamble have signed a deal with Yahoo to pay for their
>>advertising on a click-through basis rather than cpm.
>>
>>In my opinion, this may set a trend for the future.  P&G has been a
>>leading force in setting standards for advertising in the traditional
>>media since it spends about $3 billion a year on marketing.

>Great! The Big Boys (Jocks) have crashed the party. What's next -- will
>they steal all our booze and women?

A Web Site selling advertising signs a click-through deal with an 
advertiser.  They are saying "we'll only bill you for the people that 
respond to your ad."  Good marketing/advertising consists of a targeted 
offer and a targeted "list".  The Web Site provides the targeted list.  
The advertiser provides the offer.  If the offer (or the creative) are 
poor, there is no downfall for the advertiser.  The web site is 
incentivizing the advertiser to throw offal against the wall and see what 
sticks -- and the Web site will foot the bill for the stuff that doesn't.

It seems that the way to make a click-through model work is to provide 
services for advertisers that will help them create a good offer (and 
creative).  This way, the click-through charge is maximized, the value of 
the site is kept high in the eyes of it's users, and charges for the 
service can be profitable.  This means that a Web site must get into the 
marketing/advertising business.  

Is it easier for a Web business to become an ad agency, or for an ad 
agency to become a Web business? If in fact the move to Click-through is 
a trend, then ultimately the ad agencies will rule the Web from an 
advertising revenue standpoint.  To Web businesses selling advertising:  
find an ad agency partner.

Brian Massey
Soft Reality, Inc.
brian_at_softreality.com
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From: Kevin Fadden 
Subject: Off Come the Gloves (was re: Yahoo and Proctor & Gamble)

OK, I've had it. There is absolutely *NO JUSTIFICATION* for a click-
through only rate. There I said it. Yeah, having to be a nice guy and not 
offend anybody, I've had to bite my tongue everytime I read about some 
advertiser wanting to pay only for click-throughs. Well, no more Mr. Nice 
Guy. You all have pissed off the wrong person. Not only am I gonna fill 
your next five minutes with this flame (make no mistake -- that's exactly 
what it is, and I'm not ashamed one bit, nor will I be tomorrow), but I'm 
going to make this my personal mission at Spring Internet World next week 
-- to make a big stink out of all of this, get the trade-media to cover 
it, and make it so that in two months, anybody who brings up a click-
through only rate will be laughed at publicly. It's preposterous to think 
that publishers should have to carry the costs of branding a company and 
a product, while the advertiser pays only for people who find whatever-
the-hell-it-is they are selling remotely interesting.

This post was on the Internet-Marketing list (Glenn Fleishman's list) 
circa 4/24. I am reposting this entire response to bothe Glenn's list and 
my list, Online-Ads. Both groups are seeing this. I am going to offend a 
lot of people I am sure. I don't care about them at this point. Those of 
you who are with me, and especially those of you who will be at Internet 
World next week (San Jose), let's get together and conspire (do not take 
me lightly when I use that word) to nip this little click-through only 
movement in the bud and kill it like the weed that it is. 

Oh, and one more thing -- you can bet your *bottom dollar* that any posts 
to Online-Ads on this thread or on the Yahoo-P&G mess will be published 
in one or more other formats by one or more other sources than InterEdge. 
I'll let everyone know more as it develops. I will not take any more 
posts from Glenn's list (or any other list), but I would encourage those 
of you on Glenn's list to join Online-Ads and direct any related posts 
there. This is, after all an advertising issue.
        
<<>>

>As a direct-response web (DR-Web) marketer I am most happy
>about the re-newed focus on the click-thru advertising model.
>
>The Braintainment Center has been testing its banners for
>3 months now. In spite of an amazing 30% click-thru rate
>there have been some problems.
>
>Here are a few things to consider.
>
>1- The COUNT
>
>*What & where* is the best way to gain an accurate count?
>At the banner host site? What happens when someone
>double clicks, as they often do? What about a busy server?
>It still costs you a click or two... or three.

No. "double-clicks" do not get counted by a server's logs -- they don't 
even make it that far. What happens when you double click on a banner? 
The same thing that happens when you only click once. That's the way the 
server reads it as well.

>Perhaps it's better to grab the click-thru coming in.
>Maybe Netscape's referer log is the answer. First of all,
>non-netscape browsers alude it. So what's a good ratio -
>75%?

And let the advertiser tell *us* how much he owes us? I do not think so.

>Ah, the sacrosanct Access log stats you say! Well now,
>what about click-thrus that go back to Home? Or, browsers
>who, having bookmarked the special designator URL, return
>again & again. Are you gonna pay every time?

What are you talking about? You're making stuff up. Televison, print and 
radio advertising statistics are only so accurate. Same with the Web, and 
quit trying to make it harder than it needs to be.

>And,  forbid if someone posts your url (with the Yahoo,
>or whomever, designator) to their newsgroup, or to a
>bulletin board.  Should you pay Yahoo for all those visitors.

Again, what are you talking about?

>2- FRAMES
>
>Maybe here's real rationale for frames- you don't lose the
>click-thru. This obviously makes it's more attractive for the
>ad host site.

Frames cause crashes, and not everybody even likes them, much less can 
access them. At best, framed versions of sites should be optional at this 
point.

>3- COST
>
>What's fair? Suppose my click-thru rate is 5 times the average
>(1-3%)? Can I demand to be charged 5 times less?

No way. You need to pay for what you get. Period.

>This might overcome one of the major concerns about *who* should
>be responsible for poor (pulling) banner copy (& graphics). With a 
scaled-to-
>performance rate the onus is on the advertiser to generate a great ad!
>
>Feedback?

 This line of thinking is so one-sided, so narrow 
minded that it pisses me off so much, I want to adopt a similarly one-
sided point of view -- just to be in opposition -- only from my 
perspective as a publisher.  Anyone who shares these opinions on how ad 
banner rates should be structured, are off your rockers. No, No, I 
implore you to see the most-obvious-to-everyone-but-you flaws in this 
rationale. 

The advertiser should and will pay for everytime your name or your 
product is seen by a consumer. This is how TV works, this is how radio 
works, this is how TV works. The Web is going to work the same way, Yahoo 
aside. They are pussies and I for one intend to bend the ear of every 
magazine writer in this country, bad-mouthing Yahoo's decision. The only 
way to get them to reverse their decision, or even to mininmize its 
impact on the industry is to get a lot of bad press generated surrounding 
the issue, and to get the rest of us publishers on the Web to rally 
around the principle of not giving you guys anything -- nothing -- for 
free. Screw that. 

Location, Location, Location. We have them, we control them, and you will 
ultimately pay what we want you to pay if you want ads on our sites. We 
are the landlords. We set the rent. Yahoo cracked under pressure, and 
they ignored their responsibility to the Web publishing community in that 
the ramification of that single contract they just signed is that it's 
giving all you guys woodies, because you think you will be able to 
enforce your will on us. That will not be the case.

If I have to be the only publisher who stands up to fight this, so be it. 
Newspaper and magazine writers, I will be at the Spring Internet World 
next week, and I do want to talk to you all. I'll give you a great 
interview on the topic of why Yahoo "pussed out". The crusade is on, and 
I am now on a mission. (email me if you want to set something up, if not, 
be sure that I will find you in the press room).

I've had it with this. It's hard enough to make money in this business 
without you buzzards trying to get everything you can for free and 
nickel-and-diming us all to death. The day will come when you'll be 
wishing you hadn't been so objective to our pricing structures -- cause 
we'll be in a position to charge you whatever we want. Bold words, I 
know, but I intend to uphold them. 


Y'all gonna get up?


Folks, I am frustrated. I am not normally so angry, or at least cool down 
before replying, but I have tried being nice to many of you, including 
Josh Reynolds, about explaining why your much-desired click-through-only 
rates are a sham and will never work for anybody except you. You're not 
being fair, and you're not listening or paying attention to the other 
side. Now that I *do* have your attention, will you just stop and think 
for a second, "If I were the publisher, how would I feel about this?" You 
would think it sucks. Why can't we at least compromise?

But, I have intentionally opened a can of worms here. I invite you to 
flame me. Go for it, give me your best shot(s). But, be warned, I may end 
up publishing them in some form, and I will certainly flame back. I'll 
debate this till I'm blue in the face, because I am tired of your 
collective B/S.

Some of you will certainly be offended by my remarks. Others of you, I 
hope, will appreciate that I am just a passionate young man who senses a 
struggle coming to a head, and who is going to do everything in his power 
to make it turn out right. Other publishers who share my views should do 
the same. We need to get together, so if any of you will be at Internet 
World, maybe we should schedule a little meeting where we can get some 
solidarity built up. Yahoo will not be invited. (email me if interested)

Fed up,

Kevin Fadden 
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Kevin Fadden, Chairman & CEO                      kfad_at_interedge.com
InterEdge, Inc                              http://www.interedge.com
          
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