Clueless in cyberspace

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are banner graphics and text ads, like sponsored links on content sites and search engines. Most advertisers go by the number of page views to check a site’s popularity before releasing banner or text ads. These ad banners are like hoardings that stare at commuters.

But a glance at a roadside signboard can’t be construed as a sale. Likewise, surfers are not surfing for ads. Typically, they’re headed somewhere, and don’t like barricades and interruptions (bandwidth hogs, least of all). This is why ad payment norms such as cost-per-click (CPC), cost-per-millennium (CPM for 1,000 clicks), cost-per-period (CPP) and even cost-per-lead (CPL) are fast losing their relevance.

For direct impact of online ads on sales, pricing models based on cost-per-order (CPO) and cost-per-sale (CPS) are fast gaining importance. However, most websites lack the sort of compelling content that can attract and retain eyeballs. This would mean a better interface between advertisers and content companies. Overseas, this has actually started happening. Google, for example, agreed to pay over $3 billion for the digital ad firm DoubleClick. Likewise, Microsoft took over online marketing player aQuantive Inc for $6 billion. And a few days back, the ad agency Publicis joined hands with Google to seek the latter’s Web analytic support for cyberspace marketing.

Strategic resilience is essential. Only then does an online property have a chance of emerging from obscurity to global fame.