Decline on online advertisement....

[Synergy]

A few years back, online advertisement was almost everything. Having one Banner Network generating all the ads can mean a great deal in click through rates. But now, we have too many Banner Networks in the competition, which caused the click through rate to be very low. Now some Advertising agencies show the same banner over and over! Have other advertisers backed out of the online advertising?
Average CPC is around $0.10... what a joke.

[Czar]

Synergy, several ad networks have fallen by the wayside during the past few months.

AdClub.net, SafeAds, CNET's Gamers Alliance, ClearBlueMedia, UGO, Snowball and several others have either shut up shop completely, or severely pruned their programs. Others, such as ClickAgents, Flycast and WebsiteSponsors have been merged or acquired by larger media companies in order to strengthen their position in the market, and to eliminate competition.

As you are most probably aware, the sharp drop-off in ad rates is directly related to the tech crash, which sent many big-spending online companies out of business. Of course, the slowing economy hasn't helped, either. Traditional advertisers have continued to state that they will increase their online ad budgets over the coming few years, though, so web publishers are forced to play the waiting game.

I don't think that banner ad rates will reach the heights that we saw during late 98-99, but they will certainly bounce back from their present lows by the second half of 2001.

[Synergy]

From what I have heard, the american economy is not in a good shape as well. I wonder what is the foreign economy's situation....

[syanet]

Originally posted by Synergy
From what I have heard, the american economy is not in a good shape as well. I wonder what is the foreign economy's situation....

Just 'not in good shape'? Were headed full a full pledged recession unless Bush can push the tax cut through and fast. Damn democrats have already cut it up and now the marriage penality and estate taxes won't make it into the proposal. I should quit wasting my money on the net and start stockpiling real life resources :).

[jw]

Greenspan doesn't think the economy is in a recession, although if the media starts calling it a recession, people will sell their stocks and we really will be in a recession. over the last week, the nasdaq has strengthened significantly, so maybe thats a sign. I think its almost bottomed out...hopefully...

[drunkmule]

I don't think that our economy has no major problems. The dow is still at over 10000, and is very stable. The only things that are over priced right now are gas and cds

[syanet]

Originally posted by jw
Greenspan doesn't think the economy is in a recession,

That's because life as we know it would cease if the publicly had doubts about the economy.

[Cheap Bastard]

i just hope we get far more advertisers again
and soon

besides, i think we can reach the outrageous rates of 98-99 again... given inflation and a couple of hundred of years

[Kaiosama]

Net advertising dead? What makes you suggest such a thing. Although I am aware of many websites dying and large companies with bad business models dying off too I totally disagree with that statement. More money is being spent for net advertising then ever before. That is a fact and cannot be argued with.

I am aware of many dead companies. I have been with three of them last year... I have been with UGO then IGN and now L90. They have all given me extremely low pay especially in the last two months. But thats okay... I just use them for show now... with the defaults we promote our own sites.

We don't depend on standard 468X60 banners for business anymore.

[Edited by Kaiosama on 02-16-2001 at 09:54 PM]

[Johnny]

I believe they call this the online advertisment depression.

The only way to end all this is to no support usless ad companys or cheating ad companys. So others can get more banenr instead of the same old banner. Now I guess we all have to go with CPA banners..

[RobertPeter]

How many sites are dead now ?

[Cheap Bastard]

... too many? or not enough?

[KNK]

Originally posted by RobertPeter
How many sites are dead now ?

Go check out http://www.f*ckedcompany.com[replace the * with a u] (a real website) it listed all the f*cked up companies that are laying off people or going bye bye ... it's a a good source for infomation on a lot of things.

[KapTinKiRk]

http://www.f---edcompany.com/ don't replace anything, just click ;)

[trunkz_santai]

DEar god,


Please let america go into a recession and the currency go way lower than the canadian currency so I can get way better stuff and my server can be cheaper. Also all american imported goods will be cheaps.


Thanks God
Amen.

[Cheap Bastard]

actually, if the american currency goes down, most likely the canadian will follow...

[Czar]

If you're profitable, you'd be wishing for the opposite.

Personally, I'm loving the strong Greenback. Right now, the Australian Dollar is at its lowest ever rate against the USD - under 50c, so all of my ad revenues are effectively doubled.

As long as your revenues exceed your expenses, you'll be set to prosper.

[trunkz_santai]

Lol... Im 12 years old and I pay for a $2000 server and only make $1900 or so a month... I suppose my revenue will go up... but im still paying for my server in the same currency so I dont care.

[}:8) Supermoo]

Originally posted by Czar
Personally, I'm loving the strong Greenback. Right now, the Australian Dollar is at its lowest ever rate against the USD - under 50c, so all of my ad revenues are effectively doubled.

Isn't wonderful being an 'export' business to the mighty United States! ;)

[trunkz_santai]

What do you mean by that?... I know its an insult to australia but I dont get it...

[Czar]

Supermoo wasn't insulting Australia...he's too smart to do that in my presence...right SM? ;)

He was merely pointing out the benefits that can be had by exporting products or services to the States right now. While the market is way off its high in the US, the Greenback has (for some reason) remained strong against most foreign currencies. The result of this is that foreigners who derive their income from US-based companies, working in US dollars, are laughing all the way to the bank.

BTW, Supermoo, which country are you from? US?

[}:8) Supermoo]

Originally posted by Czar
BTW, Supermoo, which country are you from? US?


I'll answer that with your own quote...


Originally posted by Czar @ SIC

lol. What a warm welcome. Hey Supermoo, aussieguy and everyone else. :)
Yes, Robert, you should be afraid...be very afraid. Nothing good can come from the Aussie invasion. ;)


Have a nice day! :)

[Czar]

Hmmm...so my little piece of self-deprecating humor has come back to haunt me.

Thanks for that. :)

[Czar]

Right. Why didn't I just do a whois search from the start?

Supermoo is from Victoria, from downunder Downunder. ;)

Lock up your valuables...it really is an Aussie invasion!

[}:8) Supermoo]

lol, sorry if I 'bashed' you... I didn't mean it.

Lucky, Gold Coaster you! :)

[Czar]

I didn't feel any bashing. I was doing some of my own, though. ;)

I'm truly amazed by the size and strength of the Aussie contingent of the web developer community. We mustn't be quite as far behind the tech 8-ball as our politicians like to suggest.

Given this, it's probably about time a truly Australian online ad network was founded. There's BMCMedia and Engage Australia, but nothing dedicated solely to local properties.

Do you guys think there's a market for this?

[}:8) Supermoo]

Yes, but still american based ads though. Where the money is! :)

[Toefur]

Supermoo is from victoria? We might be neighbours... ;-)

Where in Vic are ye?

[}:8) Supermoo]

Kewl, lots of SI people are here now! Welcome all! :)

I'm in *cough* Frankston *cough*. ;)

[SSacobie]

Competition among ad networks is not what's killing the industry. It's competition among sites. Basic supply and demand.

Worldwide economic slowdown is a problem. The reason we're seeing such a slowdown in the US is 1) the Feds were overly aggressive on the upswing, 2) lack of consumer confidence, 3) world markets, and 4) people deciding it's not a good idea to invest in companies that will never make a profit.

Kaiosama, L90 defaults aren't killing your earnings?