Shopzilla Increasing Advertising Click Rates by 25%
October 21, 2008 by Pablo Palatnik
I just got an email from Shopzilla, also BizRate, that they are increasing paid clicks by 25% to advertisers because of the holiday season. The email states:
“Dear Valued Shopzilla Merchant,
In advance of the 2008 holiday season, we are writing to communicate a
seasonal adjustment to our cost-per-click rates. From November 20 through
December 31, 2008, we will increase the cost per lead by 25% in all categories.
This adjustment reflects the increased conversion to sale that occurs during the
holiday shopping season.
These changes will automatically take effect on November 20 and end
on December 31. You will not need to make changes to your account
before or after this period.
We are committed to helping you maximize your sales during the 2008
Holiday season. If you have any questions, please log in to the
Shopzilla Business Services website and click on Contact Us.
Thank you.”
For those who read my post, “Online Advertisers Tightening Budgets Due to Economy Climate,” its strange that in a time like this, they would make the decision to increase advertising rates by 25%! I mean, a rate increase during the holidays, as competition gets heavier is understandable, but a 25% increase is a hefty amount.
We’ll see rates increase across the board and that’ll be a whole new issue in itself.
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Comments (2)
Agreed. 25% is a big increase, especially when you consider how fast that can add up during the holiday shopping season. It certainly doesn’t inspire me to expand or increase anything already in place.
@ Elizabeth -
Thanks for your comment. I’m really surprised at the increase. Sure, in past years its ok, but how about some good PR with its advertisers for a change?
They must know that along with the economy, its small business owners (websites) that are the heart of comparisson shopping engines (aside from ebay, amazon advertising there) who are suffering as well to tightly manage online budgets.
Why not DECREASE the price by a little bit which will not only have a great impact on its advertisers, but maybe motivate to advertise more, probably also increase compeition that way and MAYBE even making MORE money from a slight decrease in price or LEAVE IT ALONE!