Forecast
Needless
to say, many of the things that we thought we knew about the world in general
and Internet advertising in particular, have changed with the events
at the former World Trade Center.
Today
In the short term, there will be a global shakeout of companies. Many companies
so familiar to us today, will no longer be in business tomorrow.
Companies that have a solid foundation for future growth and a reserve treasure chest
to weather the storm, will grow and prosper like never before. HAIROL is
one such company.
Perhaps ironically, the very purpose that the
Internet was originally designed for, an attack on the United States, has actually
come to pass.
During the
early stages of the tragedy when most television networks dropped their
advertising portfolio, the Internet continued to deliver ads. When phone
lines were clogged and became dysfunctional, the Internet continued to
deliver email and other forms of interactive communications, albeit with
some local grid locking that was sorted out very quickly.
Print ads that
were suddenly inappropriate in content, were quickly changed on the Internet
to reflect the new mood.
In short, the Internet
proved itself in the most difficult of times when other media advertising
mediums were like deer caught in the headlights.
Tomorrow
When the dust
settles, most companies will reevaluate their ad dollar as commerce tightens
its belt. The likely result will be a discontinuation of 'shotgun' advertising
and a focusing of ad dollars into niche markets, allowing advertisers to
target their perceived client base with a much more effective return on
their ad dollar.
In concept
this is of course nothing new, in the new reality though, it will be more
pronounced than ever before and this is precisely the ad market that HAIROL
has been positioning itself for.
In other words,
sites that were designed to appeal to a wide range of consumers, will suffer
a tremendous ad revenue loss. Sites that were designed to capture a small
but refined market segment, will see substantial ad revenue growth.
Lastly, traditional advertisers
in the hair, fashion, beauty and style industry have to
date not generally looked to the Internet as a advertising or marketing
tool. In part because there were no real opportunities to
target their customer base, or industry sites that did exist lacked the reach
and technology to deliver an effective ad campaign befitting the
advertiser. HAIROL is in a position to do precisely that.
Also, traditional hair and beauty companies are run
by an aging CEO force that do not understand or embrace the
Internet. These companies will either have to make changes at the
top, or they will have to sell out to larger more Internet
savvy companies. It is not a question of IF, but rather
WHEN.
Sincerely:
HAIROL
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