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Subject: RE: UKNM: Mo' Banner Blues
From: Robin Edwards
Date: Wed, 10 Mar 1999 13:40:33 GMT

On Monday, March 01, 1999 4:19 PM, Sajid Mohammed [SMTP:g23atrocketmail [dot] com]
> Take this real
> world case study:

<Details snipped>

> Assume a CPM of ?20 and you're talking a whopping ?300,000 if my brain
> is working properly. Which is cheap compared to TV, I know...but even
> Tom Loosemore can't persuade his clients easily of the virtues of
> spending a few grand on banners.

It is true - the stats do add up like that. However, modify a few variables and
things may look a bit better (I'll come to an example in a minute). Remember
though, Mr. X may benefit considerably in the future from return sales, which
is a fairly common practice - anyone who remembers the slightly twisted Amazon
figures would know that it is probably cheaper for Amazon to send a free book
to everyone who hasn't bought through Amazon yet on the hope that a large
percent will go on to become regular customers. After marketing spend has been
accounted for, it is fairly common that a business will either make a loss or
just break even on the first sale from a new customer. Recruitment and loyalty
are joint kings!

Anyway, Mr. X needs to look at:

* How to improve his ratio of visitors to orders above 1% (we're seeing up to
10% on some of our sites)

* How to improve his CTR above 2% (the main gist of a lot of recent messages,
and I have another post coming up on this!)

* How to get a more favourable CPM!! If he is buying 150,000,000 impressions he
should drive a harder bargain!

> Also, better tracking would help i.e. you may see a banner, not
> clickthough and then two weeks later decide that you really do need an
> ethernet hub for your kitchen and go off to visit Inmac or similar.

Yep, we're also after the recall factor and hoping that our latest campaign
will make those who _have_ seen it, but not clicked on it, say "oh yeah -
companyX has a web site now, I can go buy the stuff there." We back this up
throughout the year with more, cohesive, banner campaigns to keep the visitors

> I'm off to buy some Sta-Prest clothes now - dontchajustlove Flat Eric?

Yes, personally I think it is the finest TV campaign in at least the last 6
months, and appeals perfectly to people like me, who are likely to go out and
buy their stuff. Now if someone could distil everything that is great about
those ads, and somehow squeeze it into 12k @ 468x60 then they'd be onto a

Robin Edwards
Clockworx Design Limited
T: +44 1543 252370 F: +44 1543 420761
E: robinatclockworx [dot] co [dot] uk W: http://www.clockworx.co.uk/
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