$1 CPM: Radical Idea or Wave of the Future

He has experience at Leo Burdett and J Walter Thompson

[cyril kearney]

Tig Tillinghast writes articles that appear on www.clickz.com. This one seems pretty far out but . . .

[clickz.com...]

If you are running a high volume site, you might have 60 to 70% of your page ads unsold. Could this approach ($1 per CPM) increase your revenue?

A huge portion of your budget is spent attacking visitors. Could you attract more visitors if you had this low cost advertising available to you?

$ 1000 for a million impressions -- Such a Deal!

[rcjordan]

Hi cyril.

A buyer that worked at it could find 20¢ CPM, maybe less if they weren't too picky.

From what I've seen among other publishers over the past year, that argument hasn't held up in practice... the price never stabilizes and unsold inventory eventually climbs back to their old levels.

[cyril kearney]

TV networks and cable channels sell low priced commercial space. If some else buys the space at the rate-card price, the low price commercial doesn't run.

They sell commercials on two tiers. The content in the prime time is watch attracks viewers. The demographics about the viewers is what drives the advertisers to pay the higher price.

For this kind of advertising model to work on the Internet, sites need content and they must be able to define the demographics of their visitors.