Chris Dessi - Vice President zanox, Inc

There, I said it. All online advertising should be performance based, period. For years I have been working with clients, and agencies alike all trying to make sense of their ROI online. At first we had the CPM model. During my time at Mediaplex, before it was a Valueclick company, and before the Ad Agencies saw them as a threat to their own in house media planning and buying teams, CPM was king. There were a few (to state mildly) issues with buying ads in a CPM scenario back then. Each third party ad server thought they were tracking impressions appropriately. Why was this a problem? Because if you're an advertiser in 1999 and your using (for example) both Mediaplex, and Doubleclick to serve your ads, you may be paying $.33CPM for one and a $.44CPM to another. This may seem like pennies, but when you're dealing with billions of impressions, the dollars start to ad up.

Back then this was OK....well sort of...that is until guys like Adam Gerber at The Digital Edge (Y&R) would start to ask questions about the impressions that he was purchasing on behalf of his very large, very demanding clients. I can recall Adam stopping me in the halls of the Digital Edge shoving a finger in my face, and saying "I want answers"....well the reality was that I had none for him. We didn't really know if an impression was served or not. We could only assume based on certain variables. We could provide reports, but we could track that back to a sale. Some of the campaigns were strictly branding campaigns, which is great, but branding for who, how were they measured? Obviously this was a very qualitative not quantitative approach.

Then came CPC, and all was good in the world. Or so we thought. That is until fraud started to pop up.

Now we have CPA, or CPL, and this is the only manner in which an advertiser can actually track conversions. Why are you advertising online? To generate a conversion, whether it be a lead, or a sale...performance is the next step in the evolution in online marketing. Even in a branding exercises you need to track the conversions. If a click on a banner lands a user on a landing page, you want them to take action, not just view your landing page. If they view your banner, really how much "branding" is occurring? How can you quantify that? You can protect your brand by demanding you work with a transparent network, or you can protect yourself from fraud by demanding that you will only pay for a conversion after you've been able to confirm the pixel that's fired, but you really can never quantify online advertising unless it's performance based.

Ok, so I have to confess...I had a very embarrassing, yet funny experience the last time I went on the road for business. I've put up a few posts about the Internet Retailer show, and I've been debating if I should blog about this particular experience for a few reasons (you'll realize why if you keep reading)....so there I was....all sorts of excited for the Internet Retailer show in San Jose.

For a few different reasons while on business we all bunk with a co-worker. Now, at first blush this may seen like a nightmare scenario for some people. What most people don't realise is that at Azoogleads, we're like a family...seriously. We've all grown very close over the past two years that I've been here (for a few reasons). Not the least of which are: Explosive growth, phenomenal success, and lots of really bright, high energy people that are respectful to eachother at all costs. One major factor that has helped keep this company so glued together has been the shared loss of a co-worker and friend (Jai). We've learned from that loss, and grown together.

So this time around, I was all set to bunk with Tom Barbaro. Tom is an all star at Azoogleads. Tom happens to be a great friend of mine, so I was looking forward to handing out with Tom at the show. Our first night in California, two other members of the team had flown in from New York Chantelle White, and Karen Aquilino. We all met for a nice dinner, then off to bed to rest up for the busy days ahead (Internet Retailer show starts at 7am!!) so factoring jet lag into that equation made me head straight to bed.

When I got back to the room, Tom had already settled into the room, and was getting ready for bed (he had a later flight in from NY). We set our alarms, and off to bed (I told Tom I would get up a bit earlier so we could stagger our shower taking). I woke up (after hitting snooze a few times)...and hit the showers. I shaved, and started my morning routine. I was ready to go, this was going to be a great show. I had a great team along with me, and had set a big meeting with Netflix to dovetail into my time at the conference. As I was thinking of all these great things, a little thought kept creeping into my head "man, I am so tired...that jetlag is killing me!" as I turned the corner coming out of the shower (shaved, hair combed etc.), I gently said to Tom...hey buddy, time to get up, we're running a little late...(my clock said 6:30am, and we had to meet the girls in the lobby). Tom sat up, looked at me like I had nine heads and said "It's only 3:30am!" I stood there in the dark, towel on, shaved, hair combed, clean as a whistle....at 3:30am.....PST.....oh.....my.....GOD.....I forgot to change the time on my Blackberry.

So...red-faced...I crawled back into bed for 2 hours. Much to my relief I was able to get off to sleep quickly, and didn't really feel that horrible during the show. The only issue was that (since I'm VERY Italian, my normal 5 o'clock shadow would be showing up at an un-godly 2pm that day....oh well...live and learn....

If you can't laugh at yourself....right?
:-)

Recently I've been tasked with working with more Branded advertisers, and we've had tremendous success. As a company we define "branded" as follows:

Any company the Executive team deems recognizable with critical mass of positive sentiment. The Executive team’s judgment should be in accord with our Board of Directors, Staff, Current and Prospective Clients.

Our current branded advertiser relationships are very strong, and growing daily.

Agencies (or Parent Companies)

Initiative Media
Bausch & Lomb

IAC
Bagsbuy.com
Shoebuy.com
LendingTree
Cursors
Zwinkys
Webfetti
Fun Cards
Smileys

Tranzact
Sirius
New York Times
Prudential

ZenithOptiMedia
HP Snapfish

Direct Relationships:
VistaprintBlockbusterFTD FlowersStamps.comScholastic – Disney and Dr. SeussColumbia House BMGKraft – GevaliaMonster.comSunRocketGE Money
Earthlink - PeoplePCOmaha SteaksWeb.comNetflixNutrisystemDoubleDay Entertainment –ITT

Recently we've singed contracts to be Blockbuster's Search Agency of Record for their search endeavors!