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Web Advertising Strategies: choosing the wrong portal

October 2001

by Zsolt Kerekes, editor STORAGEsearch

Zsolt Kerekes - Publisher Dear Reader

We all make mistakes based on imperfect information. This article discusses why making a simple mistake in your web advertising strategy can have far more reaching consequences than a similar mistake in print media.

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See also:- Press Release FAQ's - How to write them, where to distribute them etc
article:- PR Strategies: Remember, the web has no memory!
article:- What's a Good Click Rate for a Banner Ad?
article:- Aspects of Web Advertising
article:- Are Sun Microsystems' Days Numbered?
news on MarketingViews, news on STORAGEsearch, news in the SPARC Product Directory,
In the early 1990's we did some brand awareness surveys in the Sun Microsystems server market which threw up some surprising results about magazine readership. People did read a lot of computer magazines (typically 5 to 10) but the so called #1 Sun title was not read by most readers. That's because the readership of each print publication was small relative to the size of the market it addressed. And cost factors led to "islands of publishing."

During the last 6 years, the web has changed computer publishing forever. But many marketers have not changed their thinking to reflect the new media model. In any given segment, like the Sun market or storage market, the number of "significant" publications has declined. That's because readers drift towards the top 2 or 3 best web sites. The others, as we've already seen in the Sun market (and are starting to see in storage now), eventually disappear. The successful portals will have much large readerships than any of the publications which preceded them in print. Think of it as "continents of publishing."

Readers have also changed their habits. Most of them only use 1 portal for any given subject.

For you as an advertiser, or PR person or just someone who wants to know how to promote your company better, here's what it means. If you focus your advertising and PR communications on just one publication, you have be very sure that it's the #1 in your vertical segment, and even that may not be enough. Because the #2 may also represents a lot of people.

Nowadays you'll typically find dozens of "vertical" portals covering a focused subject like computer storage, CRM or Linux. But the #1 site may have a readership which is larger than the next 10 sites added together. You're not going to find out about the other vertical sites in your target market without doing some research, and if you're getting good results from your promotion activity on a portal which may be the #2 or #3 in your industry, there's a whole mass of people out there who aren't seeing the effort you've invested into promoting your business.

If you're familiar with the concept of segmenting your market, into segments defined by how you market to them, such as end-users (by market, size and geography), resellers, new customers, lapsed customers, etc, then another new segment model you should think about is segmenting your market by the portals they use.

When you communicate to a user via a traditional marketing method like a mailshot or trade show, then readers of a portal who see a lot of advertising from your company are going to react differently to readers of another portal who rarely see anything about your company. If that 'invisible' segment represents 500,000 or more potential customers, then the consequence of ignoring them is a major hole in your potentially available market.

Fortunately, there is an easy cure:- invest in more advertising. But you'll have to start with some market research and create your own database of vertical portals in your market and rank them according to readership size.

see also:- Storage Portals Directory

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