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Friday, March 18, 2005
David Jackson, based on solid research has some some insightful and interesting observations to share. The most striking theme that ran through the Q4 financial results of Internet companies, irrespective of size, was the impact of rising pay-per-click ad prices. The winners were the ad brokers - Google and Yahoo. The losers were companies that rely on advertising to attract traffic, as their marketing expenses grew faster than their revenues. To an extent, crooks/misusers seem to be several notches above genuine technology.For example – in the case of Amazon - marketing expense grew much faster than revenue (44% versus 31% An impressive assessment of data relates to a lot of interesting enterprises like eBay , Priceline eDiets etc.
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