Quote:
Originally Posted by Barefootsies
That's funny, since the facts say otherwise.
$5submissions posted that article with the stats just the other day. Long story short, more businesses are moving to online advertising where they get a better bang for their buck, and can better track the results and demographics.
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are you thinking short term or long term?
"they get a better bang for their buck, and can better track the results and demographics"
picture this, you just dropped 500k on youtube advertising, you got a report back that said you got 20,000,000 views and you got 1000 clicks (1:20,000 is about right what youll get off youtube if you have a banner there) in other words you can pat yourself on the back that you just spent $500 per click to your site that sells an item for 30 bucks.
You tell me what the renewal rate is, you tell me what ad you seen on youtube the same advertiser over a year now or on myspace, tell me the last time you clicked on a banner, name me 5 banners you have seen the past 2 weeks online and what they where selling?
My point in all this is that the business plan of relying on advertisers online to support your business may be valid now but as time goes on their rates will have to keep coming down non stop so the PPC makes sense.
See what you said about "can better track the results" is great for the advertiser but a nightmare for the website selling the ads.