Inflated MySpace Page Views Explain 10-Cent CPMs

from the whip-page-view-inflation-now dept

Several months ago, we noted that something wasn't adding up when it came to MySpace. Ostensibly they are one of the most viewed sites on the internet, yet their ability to pull in revenues seems almost pitifully poor. This became the subject of much chatter this weekend, as The New York Times pondered the same question. According to one web designer, at issue is the MySpace's design, which produces a large number of extra page views each time a user accesses the site. With a superior interface, the user might get the same experience with a third (or less) page views. Advertisers understand that a lot of the page views are redundant, thus explaining why they're not will to pay too much for ad impressions -- giving MySpace a reported 10-cent average CPM. What isn't clear is whether the company would be better off improving the site's usability. Undoubtedly they'd improve their CPM, but it might be at the expense of their stature as a top-ten internet destination -- something that's helped fuel a lot of their hype. Some publishers have openly stated that they won't adopt more efficient design techniques, out of fear of reducing their ad impressions, and thus revenues. Ultimately, this seems like a bad strategy. Nobody likes a cab driver that takes the scenic route, just to drive up the fare. Eventually, people will gravitate to sites with superior usability. It's better to become one of those, than to foist bogus page views on the users and advertisers.

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  1. identicon
    NOTSODOTCALM, 24 Apr 2006 @ 11:46am

    MESPACE

    See my space was a good idea that got out of wack
    The way i see it is the people that over see my space have to be in class most of the day and home when the stree lights come on so with all that in mind,It was doomed from the start you can't run a co if your mom makes you turn your computer of at 8pm I don't understand how myspace is not a money cow for the CEO and his playmates .......With all the people around the world that buy into it it seems to me a 6 yearold could understand hjow to get rich with it ..

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