Thursday, February 28, 2008

Most Investors and Entrepreneurs Don't Understand Online Advertising

Before you take an investment to start your Web 2.0 company that relies on advertising for revenue make sure you hire and partner with the right investors. Here is some vernacular you or someone on your team should clearly understand: CPM, CPE, CPA, CPL, CPC, Intext, Run of Network, Fixed Rate, Affiliates, Contextual, Remnant, Display, Behavioral, Retargeting and Demographic. There are over 300+ advertising networks with very little differentiation in a very complicated online advertising world. It is critical that Web 2.0 entrepreneurs and investors (including most VC's) rely on qualified advertising executives with relevant domain expertise. Southern California has an enormous ecosystem of former executives from Overture, Yahoo, Google, PriceGrabber, LowerMyBills, Oversee.net, Shopzilla, ValueClick, Business.com, Vendare, Vantage Media, Shopping.com, Advertising.com and Nextag. We can help you validate business plans and find these individuals who can help add credibility and value to your team.

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