Hello Frank,

>From what I can gather... Federated Media business model is not
typical of most ad networks out there.  (Although other ad networks
tried to go after that market... Federated Media was the first to
really capture it.)

It's based "marketing houses".  The large firms that handle the
"advertising campaigns" and "marketing" for large companies.
(Specifically... Federated Media is dependent on business from these
"marketing houses".)

When "marketing houses" come up with a "plan" for companies... many of
them do 3 things.

#1: The create and develop a website specifically geared towards that
advertising campaign.

#2: The hand pick a number sites to get traffic from, specifically for
that advertising campaign.

#3: The go buy a bunch of traffic on various ad networks and bigger sites.

To the company (that the "marketing house" is doing the advertising
campaign for) #1 and #2 are a big waste of money... their ROI does NOT
come from those places.  Although... they end up paying ALOT of those
2 -- they end up paying ALOT for #1 and #2.

The ROI is made from #3.

However.. to the people dealing with all this (at the company) #1 and
#2 makes it all sound good.  It impresses them when the "market house"
shows them how they're going to handle their ad campaign.  (After
all... they can't just tell them they're going to go buy traffic on ad
networks.)

Federated Media is going after #2.  (Get over priced buys from these
"marketing houses".)

As long as the big companies (doing these ad campaigns with these
"market houses") don't become wise to this... Federated Media has a
business model.


See ya

On 7/27/07, Frank Sinton <[EMAIL PROTECTED]> wrote:
>
> Thanks for the feedback.
>
>  I was really hoping to hear from videobloggers if anyone has tried
>  using this. Most of what we have been hearing about is the sponsorship
>  model (Rocketboom, Podtech, and others).
>
>  My guess is that these ad platforms need a ton of traffic to scale.
>  For targeted audiences, the sponsorship model or Federated Media model
>  seems to work better.
>
>  Regards,
>  -Frank
>
>  Frank Sinton
>  CEO
>  [EMAIL PROTECTED]
>  http://mefeedia.com/user/franks/
>
>  http://mefeedia.com - Discover, Collect, and Share video blogs
>
>  --- In [email protected], "Charles Iliya Krempeaux"
>  <[EMAIL PROTECTED]> wrote:
>  >
>  > Hello Wil,
>
>  >
>  > On 7/27/07, Wil Harris <[EMAIL PROTECTED]> wrote:
>  > >
>  > > OK, to speak to the first point...
>  > >
>  > >  Self-serve - you're right, it doesn't have that.  But seriously,
>  > >  unless you're Google or someone else with an absolutely massive
>  > >  potential base of advertisers, who on earth is going to want to self-
>  > >  serve ads?  Federated Media offers self service, and I would almost
>  > >  guarantee that 99% of their business is done in the way traditional
>  > >  media sales have always been done - on the phone and in meetings.
>  > >  For the most part, anyone who has dealt with ad buyers will tell you
>  > >  that self-service is a non-starter, not least because most of these
>  > >  buyers are almost completely clueless.  But that's just my take.
>  >
>  > My experience has been that medium sized businesses and up want it.
>  >
>  > It's true that sales usually happen over the phone or in person.
>  >
>  > But I've found that you really don't want to manage their day-to-day
>  > activities for them.  It's not scalable (from a business and HR point
>  > of view)... and you end up needing alot of staff to do alot of "hand
>  > holding".
>  >
>  > >  Server config:
>  > >
>  > >  We were very clever about the way we ran things, I think.  We ran
>  > >  both our website and the OpenAds server off the same group of boxes.
>  > >  We had three relatively medium spec boxes: dual Xeons with a couple
>  > >  of gigs of RAM, one of which handled database and two of which were
>  > >  webservers.  We used memcache to avoid having to poll the server for
>  > >  every request, and ran the servers on a superfast switch and opened
>  > >  up plenty of ports.  The DBs were lean and mean, and our CSS was
>  > >  neat.  We used a javascript implementation of OpenAds, and managed
>  > >  everything directly from the OpenAds backend, integrating it into our
>  > >  own custom CMS.
>  > >
>  > >  Using this kind of mid-range set up (cost less than $500 a month to
>  > >  rent from The Planet.com), running Apache/MySQL/Red Hat, we served 5m
>  > >  web pages a month, each with 5 dynamically rotating / frequently
>  > >  updating ad slots, making for 20m ads a month served with accurate
>  > >  metrics.  On days when we hit Digg, we could easily serve half a
>  > >  million pages in a day without noticing any slowdown.
>  > >
>  > >  With some clever coding and architecture, OpenAds scales well.  I
>  > >  know of at least one other site a friend of mine has that serves 50+
>  > >  ads a month off it with a relatively  modest server config.
>  >
>  > What was your average number of hits per second you were doing?... And
>  > your maximum number of hits per second you got?  (I.e., what were you
>  > traffic spikes like?)
>  >
>  > Also... (if you tested it...) do you know how many hits per second it
>  > took before you started getting error messages?
>  >
>  >
>  > >  Of course, none of this applies directly to video advertising, but is
>  > >  a great implementation for videobloggers looking to put banners on
>  > >  their sites - free, and relatively easy to set up, especially if
>  > >  you're not doing humungous numbers.
>  >
>  > I've actually been thinking of doing an (opensource) video advertising
>  > component to the VideoPress series of Wordpress plugins... (given my
>  > experience... it would be pretty easy to write...)  although I'm not
>  > sure that would jive with the "Show in a Box"... it's geared towards a
>  > sponsorship model.
>  >
>  >
>  > Thanks for taking the time to write about those stats!
>  >
>  >
>  > See ya
>  >
>  > >  Wil.
>  > >
>  > >
>  > >  On 27 Jul 2007, at 18:06, Charles Iliya Krempeaux wrote:
>  > >
>  > >  > Hello Wil,
>  > >  >
>
>  > >  > On 7/27/07, Wil Harris <[EMAIL PROTECTED]> wrote:
>  > >  > >
>  > >  > > OpenAds is absolutely stonking - I used it in a former life
>  when I
>  > >  > > was a website guy and OpenAds was phpAds. It does absolutely
>  > >  > > everything you want in an ads system, and then some.
>  > >  >
>  > >  > I don't know if everyone would agree with that.
>  > >  >
>  > >  > AFAIK... it doesn't have a self-serve component... where
>  advertisers
>  > >  > can come and signup... pay money... and buy advertisers without you
>  > >  > (the publisher) having to anything.
>  > >  >
>  > >  > (Disclaimer... I've created a number of ad networks for various
>  > >  > companies. Sorry to everyone who hates online advertising :-) )
>  > >  >
>  > >  > > Also check out
>  > >  > > MaxMediaManager, which is a code fork of the same thing and
>  has some
>  > >  > > interesting differentiators. OpenAds needs some love to set up to
>  > >  > > scale, but is perfectly capable of running ads for just about any
>  > >  > > website on the planet.
>  > >  > >
>  > >  > > Happy to provide any more details on or offlist.
>  > >  > >
>  > >  > > Wil.
>  > >  >
>  > >  > BTW... if you don't mind sharing information....
>  > >  >
>  > >  > I'm curious to see some statistics on it from someone who's
>  actually
>  > >  > used it in production.
>  > >  >
>  > >  > What kind of server configuration did you have it running
>  in?... and
>  > >  > how much traffic could it handle?
>  > >  >
>  > >  > See ya
>  > >  >
>  > >  > --
>  > >  > Charles Iliya Krempeaux, B.Sc. <http://ChangeLog.ca/>
>  > >  >
>  > >  > Vlog Razor... Vlogging News
>  > >  > http://vlograzor.com/
>  > >  >
>  > >  >
>  > >
>  > >  [Non-text portions of this message have been removed]
>  > >
>  > >
>  > >
>  > >
>  >
>  >
>  >
>  > --
>  >     Charles Iliya Krempeaux, B.Sc. <http://ChangeLog.ca/>
>  >
>  >
>  >                  Vlog Razor... Vlogging News
>  >                     http://vlograzor.com/
>  >
>
>
>
>                   



-- 
    Charles Iliya Krempeaux, B.Sc. <http://ChangeLog.ca/>


                 Vlog Razor... Vlogging News
                    http://vlograzor.com/

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