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  1. #1
    SitePoint Zealot JamesCross's Avatar
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    I'm sure most of you ahve seen this in one place or another, but for those of you that havent........


    DoubleClick Axes 10%

    By Adam Bernard
    DoubleClick, the digital marketing solutions company, will be reducing its global workforce by 10%. The majority of this reduction will affect its global media business, and DoubleClick says this is due to restructuring in the company.

    DoubleClick has been having a few troubles outside of the U.S. recently, closing offices in Brazil, and Australia, and this 10% layoff shows that even DoubleClick is starting to feel the effects of the slumping advertising market.

    That's the same slump that hit DoubleClick competitors Engage and 24/7 Media a few months earlier. In January, Engage laid off 550 people, or about 50% of its workforce, and in December 24/7 Media laid off several hundred people.

    "Given today's market conditions, we have determined that this strategy is the best way to service our web publishers as well as advertiser clients," said Barry Salzman, President of Global Media, DoubleClick. "Our goal in this realignment is to leverage our media sales force more efficiently as well as improve client service levels with a dedicated senior level team focused on key sites and advertisers."

    In the United States, DoubleClick Media will now offer two distinct Networks, one focusing on branded sites, and the other on audience reach and targeting.

    The "DoubleClick Brand Network" will have sites that are recognized media brands that have a significant amount of traffic and marketable inventory, while the "DoubleClick Audience Network" will offer content specific vertical categories combined with an emphasis on reach, targeting and optimization. DoubleClick will have one media sales force that will sell both of its Network offerings.

    Outside of the United States, DoubleClick's media structure will not change, and will continue to offer Networks of local content in each country.

    - Adam Bernard may be reached at AdamBernard@mediapost.com

    ----------------------------------------------

    Looks like the're getting ready to wheather the storm.

  2. #2
    Who, me? Czar's Avatar
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    Plus, like Engage, DoubleClick have announced that they will be shifting their focus towards their technology and data businesses.

    This may be a great move for the company's shareholders, but a smaller sales force isn't going to help their existing publishers.

    Still, survival is paramount.
    Czar - Former SitePoint Alumni

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  3. #3
    SitePoint Zealot JamesCross's Avatar
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    I think doubleclick are under a lot of preasure to remain profitable in 2001. They are seen as many as an indicator to the viability of online advertising. A lot of eyes will be on them during their next round of financial results.

  4. #4
    SitePoint Enthusiast
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    Good point Jim,
    I guess even they have to admit that advertising on the net is not as profitable as they would have liked us to believe. Still, larger companies are more interested in their data mining and statistical information. That's what I see as having some very high value.
    Thomas
    http://www.EZ2ba.com
    Making it "Easy To Be A Dot-Com"

  5. #5
    SitePoint Zealot JamesCross's Avatar
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    We have been using DoubleClick (DART) since August last year and been very impressed with the reporting facilities that the system provides.

  6. #6
    Who, me? Czar's Avatar
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    Feature and performance wise, DART is the premiere ad serving and tracking solution available, no doubt about it.

    Have you been able to justify its costs, though?

    From what I've seen, their CPM-based charges are cost-prohibitive for most. In fact, ad network BlueFishNetwork recently made the decision to switch from DART due to the high costs associated with its system.
    Czar - Former SitePoint Alumni

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  7. #7
    SitePoint Zealot JamesCross's Avatar
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    The system currently costs us on average 1800 - 2500 per month. (It costs around $1.20 CPM) We've got some fairly large advertising accounts and unless we were offering a DART level solution we wouldnt have got their business.

  8. #8
    SitePoint Co-founder Matt Mickiewicz's Avatar
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    I guess if you're in the market for an ad sales team for your own site, now is the time to start collecting resumes and doing interviews.
    Matt Mickiewicz - Co-Founder
    SitePoint.com - Empowering Web Developers Since 1997
    Follow me on Twitter.

  9. #9
    SitePoint Zealot JamesCross's Avatar
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    We're always looking for talented people :-)


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