2001 and the Ad Scene
By Brian Alt
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A year ago, I offered my observations on the state of the email publishing industry at the close of 1999. If you missed that article, or to re-familiarize yourself with what things were like a year ago, check that article out here.
Probably the most significant change in 2000 was the noticeable cut-back in online ad spending, due to the market correction that took place in the Internet sector. More start-up companies went under than ever before, and those that survived learned to spend their marketing budgets much more frugally.
For many ezine publishers and others whose revenue depended on ad dollars, the tight purse strings and lack of the expected surplus of advertisers had a definite negative effect on their bottom line. Publishers often found it harder than ever to sell out their email publication's advertising space. And the beginning of 2001 finds us right in the middle of that pinch.
But if there is a recession in the online advertising space, it doesn't necessarily spell doom for email publishers. In fact, in the long run, those publishers who are persistent in their efforts and creative in their efforts to drive revenue will find their publications much improved by the experience. That which doesn't kill you makes you stronger, right? ;-)
If anything, the online ad spending cut-back might create a "shakeout" in the email publishing arena that separates the high-quality publications from their shoddy counterparts. Marketers will be much more careful about how they spend their money and with whom they spend it. Those email publishers who emphasize high-quality and relevant content, professional presentation, and excellent service to their sponsors will separate themselves from the pack and benefit from more sponsor attention than their competition.
Email publishers who are in it for the long haul are also advised to look at some of the alternatives to paid advertising to supplement their revenue model. Last Friday's article covered that topic in depth if you missed it. When paid advertising returns in force (and surely will...advertising is not dead), those ezine publishers who have weathered the storm will find themselves in an even better situation, as the combination of paid advertising and other revenue streams can create a much more significant and steady flow of profit than advertising could by itself.
Ezine-Tips for January 02, 2001
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