Archive for the 'Advertising India' Category



Does Indian Digital Media Industry need to be really scared of CPA Model??

Lately we have been seeing publishers and ad networks getting more worried with more and more traditional digital media advertisers like naukri.com, makemytrip.com etc moving towards CPA model forcing publishers and media agencies executing the plan to get paid when they provide returns on advertising revenue spend.

Lot of bloggers and publishers have talked against this model and especially in India where many publisher sales teams are still gunning for fixed slot and CPM deals not accepting even PPC campaigns makes it even harder to make learn the small publishers why they need to start taking risks to earn bigger revenues.

This lead to evolution of ad networks which are brokers which tend to hedge risk between advertising models preferred by advertisers and publishers.This is done by use of various technologies which slice and dice inventory offered by publishers identifying the best audience for advertisers where they can get conversions in return increasing value for both advertisers and publishers. In India apart  from DGM and Komli to just a small extent, none have been really successful on delivering effectively for industry to move towards CPA model.

I would not blame the publisher or ad networks but mainly the advertiser lot available. In india advertisers which are moving towards CPA model are the ones facing situation of extreme saturation. Why for CPA model to exist successfully publisher and there site audiences need lot of variety in terms of ad options etc. Lets look at category of advertisers pushing for CPA Model

* Real Estate sites – magicbricks, 99acres.com

* Matrimonial sites – bharatmatrimony.com, jeevansathi.com, shaadi.com

*  Job Boards –  naukri.com, monster.com, timesjob.com

* Travel Sites – Makemytrip.com, Yatra.com, TravelGuru.com

If you take any of the categories above mentioned there is no product differentiator or sheer difference in features which would also duplicates to their advertising campaigns. Second biggest problem being faced is most of these players have been in market for some time and casual surfers on internet where they are advertising is more likely to already know the brand and would have registered for their services(ex submitted resume on naukri or monster) further reducing chances of RoI. Though lot of people may argue that there are so many people coming online every month hence their is still scale which web advertising can provide to such advertisers. It is surely wrong to comment on the same. I believe conversion cost against the scale available to naukri or monster will be much higher on web display properties as compared to offline branding properties. For these kind of sites inventory created through other new avenues like cyber cafes or through university exam results site would yeild much higher return.  But again going back to the cause of publishers. For them to perform better in this category if they get advertiser like timesjob.com there is still chance of them getting lower conversion cost from display ad as compared to naukri or monster if they dont go for specific behavior targeting.

So how does the above statement help ??

For publishers to flourish and provide scale on CPA or CPL model for advertisers they need lot of advertisers with variety and availability of freshness. In india lot of agencies feel this is a newer model being tried out by advertisers but people are forgeting affiliate marketing has been a very old concept on internet with businesses like amazon, freebee  and commission junction have flourished.  But the main reason for them to flourish or for the model to flourish was availability of more than 500+ ecommerce ventures in US ready to fight out to grow the market and trying hard to reach out to audiences offering some thing different. Why is Google Ad words flourishing today is due to the fact small businesses are trying to reach out to the larger internet audience giving variety of option to users.

I think so digital media agencies need to teach their clients more about nuances also involved with the model rather than just talking pros of saving money. As in short term its returning them and their clients benefits but in long term its hurting the digital media industry overall.

I would also advice smaller publishers to become more about the CPA model and its advantages but they should carefully sit down and identify the right affiliate program they join otherwise they will end up loosing on precious money they could have just earned running low CPM campaigns from any ad network.

Internet Advertising in India finally getting its due recognition

2 days in a row Alootechie announced first WPP Digital acquiring major stake in Quasar Media and now Webchutney joining the TV18 camp. Though one thing is not clear both the entities are maintaining their independence with management’s of both firms claiming nothing much will change in terms of day to day operations and structure its pretty hard to believe with majority stakes in both firms being out how it would not effect them.

Overall this means internet advertising story will be going great and act as encouraging signsfor all those entrepreneurs looking forward to start content driven portals they can put advertising as key element in their business plan.

Will do a different post to discuss which digital agency is moving in which direction and what can we expect from them in future. Till then lets be merry and joyous on investment in web chutney and excited about being at right place at right time.

Disclaimer : I have working relationship with SITG group company Tyroo Media which also owns Quasar Media

Traditional Media dumping Paid Content sections on their portals

If you like reading magazines and newspapers online you always wonder why they tend to keep some articles behind paid content sections when similar news items or analysis could be available free of cost somewhere else on the internet. Going back to 1999-2000 when web 1.0 bubble burst happen and just surviving on net based advertising became non feasibility to run online portals.  Most of the portal managers came up with solution to ask users to pay keep reading content of their favourite newspaper or magazine.

With google changing the whole game with bringing in advertisers back into the picture and increasing value of ad inventory.Its becoming more sense for traditional media to dump paid content model and concentrate on sucessful integration of target advertisement. Wall street has been recently in news for considering dumping the model and so has lot of newspapers moved away from model. Looking in india Hindustan times was looking at charging their customers for accessing the epaper which is 100% copy of the offline paper being distributed. But some sense got to them and they decided to stay clear from the model but lot of magazines in india like business world are dependent on subscription based business model. Though if you are using these sites you may see lately they have started to release more content to free publishing domain but these publishing houses need to adopt to new advertising oriented model or user base generation model so that even if advertising bubble burst again with defined user base something new evolved could easily be incorporated.

Indian Internet Advertising requires Publishers not Ad Networks

With Launch of many ad networks recently we have seen debate in blog sphere talking about how innovative models are being developed by advertisement networks to attract potential ad spend. We have heard about the famous Ad to SMS model where advertiser advertisement is linked to a query form where query is sent to advertiser by an SMS. This is to increase reach to SMB segment where they dont large investments in e-commerce as delivery channel and routing customer to their website does not turn into sale.

Though i surely appreciate the innovation happening but i m seriously concerned with most of these advertisement revenues are being cornered by fewer publishers( website owners). Now ad networks will surely jump to prove me wrong but reality is that its not their fault but lack of website owners which could benefit from this huge advertisement money spend coming in India.

This is the right time for content strong low on transaction model to appear in the market and take advantage by concentrating on building viewership. The models being generated should not be INDIA region specific but could be more INDIAN GROUP SPECIFIC to engage foreign markets. So if you were waiting for the time to start a niche content specific site and didnt know how you would manage the cost associated in running such sites wait no more as ” the time is right the time is bright

Want to do press releases for Indian Online Media – Times medianet is the answer

This is what  came in an promotional email.

Dear User,

 

I’m writing to you on behalf of Timesmedianet.com to bring you online PR services from The Times of India group, India’s largest media conglomerate.

 

I’m happy to inform you that the new Medianet website is now available at www.timesmedianet.com and is fully functional. You can now send us your press releases regularly for free uploading at medianetweb@timesgroup.com

 

Below each release, please do mention your company name, your name, job title and Press contact details.

 

Yours truly,

 

B Basu

 

Medianet Customer Care Team”

for all small companies and dot com’s who wish they get highlighted in the news without spending much this sounds like the answer. Using medianet services if they find it right not only you can get highlighted but at a subscription payment you may even make it to economictimes.com. Will be testing medianet over the weekend and will add on its effectiveness to get  you attention from the big giant (Times Media Group)

Custom T-Shirt Printing/Corporate Gifting Business India

Abroad it might be common for small businesses to use corporate gifting service for small 10-15 orders. Its yet to pickup in india. The reasons are plenty first of all the indian corporate mindset. Till few years back companies were king and we use to live in a socialist world. As companies knew their were no alternative to them where will customers go.

As the india is rising so is the customer awarness and his ability to switch sides with a blink of the eye. Companies have realized importance of brand building and customer retention. Though this maybe true custom corporate gifting business has not evolved leap and bound as compare to its counterpart in the western countries. We still stick to traditional t-shirt mugs and calendars. Secondly you cant get away with small numbers hence this leaves out the masses of small companies which have realized the potential of branding and opportunities it can create.

Going forward  idea behind this post was to review site called smilenprint.com , Recently recieved their note pad via post.

Though the site is not designed too bad and comes with full locker to upload images and select t-shirt color etc. The problem is lack of creativity,flexibility and use of software right. They could have create a flash 3d shirt with ability to place users image anywhere on shirt. Why not give company option to put logo on the collar instead of traditional pocket. Though the concept is good they have to use technology right to reach out to mass and software has to be innovative and suggestive in nature. Example show them samples of exhibitors etc. Another important thing missing on the site is pricing. India is a price sensitive market hence display of pricing on homepage to attract customer to know how many orders they goto configure to get pricing right is essential.  Second problem with the concept is not identification of a clear niche they are trying to provide photo printing service and corporate gifting services. Problem is they need to understand they are 2 clearly different genre..though business process might be quiet same!!!

Cyberica needs to design some t-shirt and will be conducting full excercise via an online vendor. If you guys come across some online vendors do reffer their url’s by leaving a comment.

Website design firms merging with Advertising Agencies

Today while reading economic times. I saw an ad from an IT web design firm looking to buy an established advertisement agency, the first thing it made me think was how advertising agencies have started to give web design firms run for their money by wining most of the big online initatives. The problem with web design firms has been when most of them started they had only way to evolve further, which was to become an IT consulting firm. But now with internet being established as an effective medium for reaching to consumers it was more easier for advertising agencies to take their creative skills to the newer medium.

With advertising agencies proving their effectiveness in creating quality web design projects the web design firms have found new paths to grow. They are looking to reposition themselves either as internet marketing firms hence need to acquire advertising/brand building skills from offline counter part ad agencies. We have earlier also covered in this blog about IT firms starting advertising agencies example Smile Interactive’s initative Qusar Media etc. This is the only way forward for plain simple web design firms to either reposition themselves as Internet marketing firms or alternatively move higher up in the value chain to become an IT Consultant or Staffing agencies like other firms in business.

Prediction : valuation of advertising agencies will increase with cash chasing IT firms being made available for acquisation of such firms for growth of IT firms.


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January 2020
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