Thursday, March 20, 2008

Recession Proof?

Recently we've been seeing a lot of chatter in the media about a pending recession. Some may argue that the recession has already hit, and that it's only going to get worse. Pending events like the US Presidential Election, coupled with the Bejing Olympics are top of mind as well.

I feel that performance based online marketing/affiliate marketing is recession proof.
Let's think about this; if you're currently spending money online for your company you certainly understand that there are numerous ways in which you can aggregate new users/viewers etc. You can purchase media on a CPM, CPC, or CPA. If you're currently working in a CPM scenario and you have a budget that can handle that, great. But what happens if that budget is directly effected by a recession. You'd be forced to modify your offering to performance based only. This would entail your only paying for a paid conversion, or a user (depends on how you'd prefer to define an aquisition).

In this manner of advertising you're still spending ad dollars, but only if you're making money yourself. If you've done your homework, understand your allowable aquisition rate, and can back into the appropriate metrix....then you're recession proof!

Monday, March 17, 2008

zanox Awards

This is pretty cool...we've compiled quite a list of awards over the years...take a look:

Awards
- 2007: International Business Award
- 2007: Innovation award for zanox-Fundraising@
- 2007: European Seal of Excellence in Multimedia – Platinum
- 2006: Deloitte Fast 500 EMEA
- 2006: Deloitte Fast 50
- 2006: European Seal of Excellence in Multimedia – Platinum
- 2005: Deloitte Rising Stars
- 2005: Founder Champion
- 2004: European Seal of Excellence - Gold
- 2004: German Entrepreneur’s Award
- 2003: Online Star
- 2002: Internet World Award

Wednesday, March 12, 2008

New York Office

zanox Continues Global Expansion With New York Office
Leading online marketing company sets up shop in Manhattan, extending affiliate advertising in North America.

New York, NY (PRWEB) March 12, 2008 -- zanox, the global market leader in online performance-based multichannel commerce, today announced the opening of its U.S. office in New York, further strengthening the company's global leadership position. The office will be lead by Christopher Dessi, formerly of AzoogleAds, Inc, who was recently appointed vice president of advertiser sales, North America for zanox.

Headquartered in Berlin, zanox offers advertisers access to its global affiliate network with more than one million sales partners worldwide and offices in the United States, UK, Netherlands, Italy, Spain, France, Poland, the Nordics and China. Recently ranked 3rd in the Deloitte Technology Fast 50, zanox was applauded for their innovation, leadership, forward-thinking strategy and annual growth of more than 100 percent, year over year.

"The addition of an office in New York was the next logical step for us in order to be closer to U.S. advertisers and publishers, as well as the opportunity to tap into the area's highly competitive talent pool. We're excited to be establishing ground presence in New York City, one of the world's leading hubs for the marketing industry, and feel that the move will be a great benefit to new and existing customers looking expand internationally with our performance-based network," said Christopher Dessi, vice president of advertiser sales for North America.

The online marketing industry has experienced rapid growth and evolution within the U.S. market as well as across the globe. It was recently reported that Internet usage in North America has more than doubled in the past seven years, growing 120.2 percent from 2000 to 2007. In addition, one analyst firm recently forecasted dollars spent on interactive marketing to reach $61 billion by 2012.

"zanox continues to be at the forefront of the online marketing revolution with the combination of best of breed technology designed to optimize scalable marketing programs and an international footprint spanning more than 200 countries worldwide. We believe that all online marketing should be performance-based and are the only multichannel commerce provider to offer a true one-stop global solution. As zanox continues to expand internationally, we feel the addition of a U.S. office in New York signals significant strides for the company's growth here in the North American market as well," added Dessi.

zanox' business model is based on the CPA (cost per action) model, where advertisers only pay for success, such as sales or registrations and their proprietary best in class tracking system ensures totally transparency for advertisers and publishers. zanox currently provides online marketing solutions in the U.S. for many of the world's leading organizations across the financial services, retail, telecoms and travel sectors.

About zanox
zanox is the global market leader for performance-based multichannel commerce and the zanox XS solution provides a global platform for efficiently marketing products and services on the Internet. Award winning affiliate marketing and search engine management, zanox's online marketing services include e-mail marketing, online shopping and customer loyalty programs. More than 2,000 prestigious international companies across diverse business sectors from telecoms to travel and retail to finance with household names such as Deutsche Telekom, Vodafone, Orange, Jamster, DADAmobile and Celldorado utilising the zanox network. In the travel sector, business such as KLM, Air Berlin, Opodo, lastminute.com employ zanox's strategic distribution channel. Retail customers include Amazon, Otto, Neckermann, La Redoute and within the financial service sector Citibank and Royal Bank of Scotland are valued customers.

zanox currently works with more than one million sales partners in over 190 countries worldwide. zanox partners earn solid revenues by advertising on websites, search engines, as well as in e-mails and software. zanox was founded in 2000 by CEOs Thomas Hessler, Heiko Rauch and Jens Hewald and employs more than 300 people. Since 2007 zanox is part of the Axel Springer and PubliGroupe. Axel Springer is Germany's biggest newspaper publishing house and third-largest magazine publisher. PubliGroupe is an internationally active marketer and service provider for cross-media commercial communication.

The zanox difference

Zanox offers a unique perspective due to the wide array of advertisers on our client roster. Networks do that don’t have that depth and breadth of experience of servicing multi-national advertisers are going to fall short in the long run. When Axel Springer (German media conglomerate that acquired zanox in 2007) (think Time, Inc in the US), has a meeting with Universal Mccann and they can introduce zanox to the digital directors of major brands, you’re officially on a different playing field. This gap between a multi-national like zanox and the rest will only widen over time.

If you’re new to affiliate marketing, I want to offer you a free consultation. Contact me to schedule an appointment. If my line is busy, or goes to voicemail please call again. I will respond to all serious inquires.

646 695 0774

Tuesday, March 11, 2008

All Advertising Online Should Be Performance Based

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.

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