Tagged 'direct response'

Can Email and Direct Mail Learn to Love Each Other?

Posted by Keith Trivitt on July 18th, 2012 at 10:19 am

New technology has created an evolution for direct mail marketing, allowing companies to seamlessly integrate it with email marketing. This delivers better leads for brands while ensuring their direct mail and email marketing campaigns are actually read by consumers.

Why Social is Part of a New Marketing Model

Posted by Lisa Flaiz on November 12th, 2010 at 5:12 pm

Traditionally, marketing is looked at through two lenses: the one-to-many approach and the one-to-one practice with the voice of brand playing heavily across both. We all know companies with brand teams that are literally organized around these two approaches. But where does social fit?

Reviewing the Current Online Advertising Economic Models

Posted by Michael Sprouse on April 29th, 2010 at 12:00 am

On the heels of the recent merger of Connexus Corporation (Traffic Marketplace) and Epic Advertising, I would like to discuss the merits of each of the current online advertising pricing models. Years ago, sales teams and media buyers used a simple model where ad inventory for print or broadcast television were normally sold on a Cost Per Thousand Impressions (CPM) basis, against a rate base and rate card. Once the rate was negotiated, the deal was culminated in the ad being placed. With the recent rapid growth in online advertising, we have entered an era where the "click" and "action" were introduced as an added means of payment and campaign measurement. Let's review how each pricing model is used and our predictions for the future of online advertising pricing models.
Cost Per Action (CPA): Initially, this pricing model was seen as the truest form of online direct response advertising. CPA was the also the closest comparison to direct mail, and therefore attractive to the large number of DR-focused advertisers on the web.  CPA provides little financial risk to advertisers as they only pay the publisher, network or exchange for a quantifiable action (usually in the form of a sale, subscription, download... Read more

The Hat Trick: How The Decline in CPMs Impact Advertisers, Publishers and Clients

Posted by John Nardone on February 5th, 2009 at 12:00 am

In my career, I’ve had the luck and the pain of working on the client, agency and now on the media-selling side.  This experience always makes me a little schizophrenic when I read about controversial issues in the online marketing world. Because I have worn all three hats, I can feel the pain unique to all the participants in our little ecosystem…so for me, thinking out loud becomes a conversation with three distinct voices.
Advertising Age recently reported that online CPMs have declined 20%, and sell-through rates are down, due largely to the poor macroeconomic picture and the ever-increasing levels of available inventory. Each affected party – publishers, clients and agencies – are sure to have different reactions.  
Publisher: This is all the fault of those darn ad networks!  They devalue our uniquely valuable premium inventory by selling it at such a ridiculous discount. If we could just stop selling to them, our prices would stabilize because clients would not be able to duplicate our value anywhere else.  Unfortunately, we lack self-discipline and can’t deal with the short-term hit to revenue. Agency: Um … there is an unlimited supply of inventory online.  We have a million... Read more

Lessons in Online Branding: Working the Full Funnel; Balancing Online Measurement With Offline Sales

Posted by Andy Atherton on January 15th, 2009 at 12:00 am

This month two of my recent byline articles were featured in the Online Media Daily section of MediaPost.  While I am sure there is significant overlap in readership between this forum and that one, I thought it was still worth a quick post for those that don’t regularly read MediaPost.  While each article stands on its own, they were originally composed together. 
The first article offers a different perspective to the steady stream of Direct Response focused press which seems to suggest that performance-based and/or online-only metrics are the only important ones to consider in managing online advertising spend.  I agree that measurement is important and that whenever possible we want to drive toward direct metrics (e.g., ROI).  However, here's our collective challenge: the vast majority of retail commerce--nearly 90% overall in 2008 and much higher for key Brand categories like CPG and Automotive--still takes place offline. Thus, for the majority of marketers evaluated based on their success in driving offline sales, online-only metrics are likely to be less useful than proven tools like brand awareness/favorability, purchase intent or even reach and frequency, for that matter. 
These metrics certainly are not perfect, but they are tested, well-understood and... Read more