|
|
So how does this system work ??Apr 21 '00 Write an essay on this topic.Two Questions We Hear All The Time 1) Where is all of this money coming from?? 2) Won't this system collapse? To answer the first question, the money is coming from advertisers. Advertisers have always spent money on advertisements and paying people directly to view ads is only a different way of them spending cash. Since ads have always been a big part in bringing us t.v. as well as radio for free isn't it about time that these ads help us subsidies our computer costs? These days you'll find some advertisers are going as far as buying people their own computer set up just to have people watch their permanent ads on the screen. Although this may look attractive, if you check out the math behind it you'll find AllAdvantage is a much better deal financially. Why anyone would ask for a computer instead of receiving pay cheques, that financially add up to more, is beyond me unless they don't have a computer to run the view bar to start with. In regards to the second question "won't this system collapse?" the answer is definitely not. It will keep growing and growing. Direct advertising on your computer screen will be here for a long time and if you don't believe me I'll prove it to you. Unlike the commercials and ads that you see on t.v. and radio, AllAdvantage can log the time that you are in front of your computer. The only reason they can do this is because surfing the net requires people to interact with their computer every once in a while. A slight movement of the mouse signals that you are still in front of your computer screen. This means that for the first time we have a multimedia device that knows when you are watching and for how long you watched it for. That's why, up to now, a similar plan of paying people directly has not been implemented for t.v. and radio. Instead this advertising money goes to the various stations that offer different viewing and listening entertainment. When the television was first invented people were saying the same thing. Where is all this money coming from to pay for these free shows? For many people, receiving cheques from advertisers is still hard to believe until they look at it from the advertisers point of view. AllAdvantage has to pay between $.50 and $.80 U.S. to place an ad on their view bar in front of one person. It's important to understand that sometimes these figures are less that $.80 if one of the people who helped refer the person, watching the ad, surf for smaller period of time. This is why sometimes the payable time and log time figures are differ. Here is the mathematical break down showing the maximum amount AllAdvantage has to pay to have one ad bar in front of one person in one hour of logged time: -$.50 U.S. to the person who is watching the ad. -$.10 U.S. referral fee to the person who referred the person who is watching the ad. -$.05 U.S. referral fee to the person who referred the person who referred the indirect person who is watching the ad. -$.05 U.S. referral fee to the person who referred the person above this line. -$.05 U.S. referral fee to the person who referred the person above this line. -And finally $.05 U.S. referral fee to the person at the top of this chain who started it off. ------------------------------------------- Total Amount $.80 U.S. Now, here is the mathematical break down showing the maximum amount AllAdvantage has to pay to have one ad bar in front of one person in just one minute of logged time as opposed to one hour which we showed above: -$.80 U.S.(Max. amount AllAdvantage must pay) ________________________________ = .01333 U.S. 60 minutes(Amount of minutes in an hour) That's it just a little over a cent a minute. Now, if you have your view bar on and are looking at it you'll also notice that it is broken down into two ads. One ad that is 15 cm in length and another that is around 5 cm. To place an ad in the 15cm slot it would cost AllAdvantage .01333 X .75(3/4 of ad space) = 1 U.S. cent/person/minute. To place an ad in the 5 cm slot it would cost AllAdvantage .01333 X .25(1/4 of ad space) = .003 U.S. cents/person/minute. Not as much as you thought? For the biggest ad slot on the left it costs AllAdvantage a maximum of 1 U.S. cent/person/minute. Now lets look at an alternative to advertising with the view bar. How much does it cost to send a color flyer to person? Probably the same amount if not more. Where do these flyers end up? Do they get viewed? Sometimes but more times they end up in the garbage. What a waste of paper. Cost and waste aside, if you were an advertiser what would you choose? An advertisement flyer or an advertisement placed on a view bar? Lets look at what both have to offer. With the AllAdvantage view bar all someone has to do is click on the ad and they are placed instantly inside of the advertisers virtual store. These ads are animated and are in front of people so that they can be viewed, as opposed to flyers that can go unnoticed. Sometimes advertisers can show their ads without even paying. One example of this is when the green light is red because a person decides to jump from the web to take a quick look at something off the internet. Another example is when a person does over 25 hours in a month and decides to leave their view bar on. This is time that the individual is are not getting paid for yet the advertisers still benefit. Another thing to keep in mind is that the AllAdvantage view bar ads are more accepted by people since they are getting paid for it. This is much different than flyers that most people call junk mail and would rather do without. Flyers have been around for years and advertisers have used them for years but when I looking at flyers I find it really hard to come up with the benefits for this type of advertising unless you use the argument that you can reach more people. People that don’t have computers. I'm not going to argue that this isn't true but I do think we all agree that as computers in homes are expanding, ultimately this new form of advertising will become the best way to reach people. It should be obvious that for the benefit of people over all direct computer advertising is here to stay. Hopefully we can both share in the profits of this technical revolution.  |
| Write the first comment on this review! |
by cr01
by nagels
