This was supposed to be the year when ad networks would cease to exist, and when publishers would cut their ties. But, not only have we survived, we have also prospered.  In an article on MediaWeek.com, Mike Shields explains that although the poor economy has lessened demand for traditional use of display ads (branding), it has also caused a shift toward performance advertising and audience targeting, which gives ad networks a leg up in the industry.

Some larger, top tier publishers have made claims against the use of ad networks. However,  Shields explains that due largely to what he calls  “a growing bifurcation” in the online ad market between low-end and high-end inventory, “sites that are ranked below the top five or ten in a particular category simply can’t ditch ad networks.” Furthermore, a recent survey of online media’s major players showed that ad network use is on the rise.

Although the predicted “ad network shakeout” hasn’t happened, ad networks are still taking the opportunity to reevaluate and ensure continued success for the rest of 2009 and beyond. CPX COO & President, Rob Rasko, addressed what conscientious ad networks can do to accomplish this goal.

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Mike Seiman is the CEO and Co-Founder of CPX Interactive, a progressive online ad network and global marketing company recently named by Inc. Magazine as the 6th fastest growing privately held advertising and marketing company in the US.

While a student at Hofstra University, Seiman teamed up with his business partner, now CTO of CPX Interactive, to begin monetizing a handful of entertainment websites they had created together. The ad server they built in 1999 set new standards for the industry and developed into a global company that now employs more than 90 people and serves more than 30 billion online ad impressions, in more than 60 countries, every month.

Seiman prides himself on his drive to ‘give back’ and he has leveraged CPX’s huge distribution power to do just that. Through its philanthropic division, CPXample, CPX has contributed millions of ad impressions across its vast network to causes including Save Darfur, Live Earth, American Diabetes Association and Children International. In 2008, Seiman decided to step up CPXample’s ‘skin in the game’ by creating and promoting its own ‘Get Out the Vote’ video and campaign called Vote For It! ’08 (www.voteforit08.org) which boasted a litany of  hip-hop royalty. CPX produced the video and drove more than 1.3 million views to it on YouTube.

Seiman is also extremely active on a personal level with these causes and with others, including the Hebrew Educational Society and the alumni association of his alma mater, Hofstra University.

Outside of his role in CPX Interactive, Seiman is also a principal of an indie movie production house, Chaos2, which has recently completed its first feature length project, the retro-style ‘slasher flick,’ Bloodnight: The Legend of Mary Hatchet.

Mike Seiman has always had extremely high standards for himself in both his personal and business lives. This commitment to excellence stems from a belief that the best way to engage a challenge is to “… see it as an opportunity to discover the best possible version of one’s self, and to help those around you do the same.”

As I was browsing through the articles in the Social Media section of iMedia Connection, I came across a title that made me stop and think: “Why Twitter will soon become obsolete.” The author of this article, Jason Clark, is quick to point out that he is not a Twitter hater, and actually happens to be a Twitter user himself (@clarkster). Nonetheless, he explains his theory of Twitter’s eventual demise by putting it into context with the history of social networking sites from past to present.

Clark explains that, although the term “social networks” is a popular buzzword these days, the concept is not new.  Online bulletin boards, forums, and e-mail paved the way for social media as we know it today. Social media marketing has also been around for a lot longer than we realize. In fact, those annoying e-mails that we now refer to as spam were one of the earliest incarnations.  Speaking of, has anyone noticed the spam-like accounts and messages that have begun to infiltrate the Twitter space? I’m talking about the Auto DMs that promise thousands of followers and plans guaranteed to get you rich quick. Clark asks what I think is a very important question: “How long will it take to wear people down dealing with these kinds of requests?”

Combine the increasing prevalence of Twitter spam with the site’s low retention rate, “limited and obscure nomenclature,” simple functionality, and the upcoming release of Google Wave, and Clark predicts that Twitter won’t stay on top for long.

While I agree with a lot of these points, I also think that Twitter will fare better than some of its predecessors.  I’m definitely not an expert in social media history, but I’ve lived through most of it. I was in middle school at the time when message boards were all the rage and AOL Instant Messenger came into existence, high school when MySpace entered the scene, and a college freshman when Facebook took campuses countrywide by storm. As a self-proclaimed technology nerd, I have to admit that it’s been pretty exciting to watch the Internet develop.

I’ve never seen anything like Twitter, and although I’m pretty sure it can’t keep growing at the rate it has been, I think it will retain popularity for a long time.  Just look at the ages I was when each of these sites came to be, which are coincidentally quite fitting, and you’ll see the difference between Twitter and all of the rest.  Twitter has staying power because it reaches the greatest variety of users: people of different ages, professions, education levels, locations, political parties, and religious beliefs…I could go on and on.

What do you think? Will Twitter soon become obsolete?  What have you witnessed as social media has developed over the years?

Should companies use social media as part of their marketing strategy? This is a question that has been debated and discussed endlessly, from boardrooms to blogs to industry conferences. There’s no easy answer because there are just too many factors to consider. For example:

• What industry are you in?
• Are your clients and/or customers using social media?
• What will social media help you to accomplish that you wouldn’t otherwise be able to do?
• Are your competitors using social media?
• Do you have someone on your staff who is already capable of managing a social media strategy? Or would you have to train people or hire someone new?

These are only some of the considerations, and the answers will be different for every company. Another question you may be asking is, what’s the point? Again, the answer may vary, but unlike the other questions, this one isn’t all subjective.  According to eMarketer, there will be approximately 88.1 million online social network users in the US this year, and the breakdown of unique visitors to Facebook, MySpace and Twitter is as follows:

That’s a lot of eyeballs. So, if you go by the numbers, social media seems pretty enticing. Once you decide that you want to employ a social media strategy, there are even more questions to answer. Which sites should we use, how many, and why? In a recent poll, LinkedIn asked their users, “What is the most important new platform for brands to master? 30% of respondents said Twitter, followed closely by Facebook at 26%, and LinkedIn itself at 22%.  Blogging has also increased in popularity among companies, and the number of people reading blogs has also increased.

I am the resident social media “expert” at CPX Interactive, and I spend a lot of my time working with our various social media pages.  In addition to company profiles, there are a number of CPXers on Twitter, and our CEO has built up an impressive social media arsenal that includes Twitter, YouTube, and blog posts. I think there will always be differing opinions on the value of social media marketing, but if the numbers are any indication, it won’t be disappearing any time soon.

Does your company incorporate social media into your marketing strategy? What sites do you use? Have you found social media beneficial?  What will be the future of social media marketing?

Samantha Karol
Marketing Assistant, CPX Interactive

Professional networking site, LinkedIn, recently asked its users to choose which new platform is the most important for brands to master among: Digg, Facebook, iPhone, LinkedIn, and Twitter. Of the nearly 4,000 respondents, 30% chose Twitter as the most important, followed closely by Facebook at 26%, and LinkedIn at 22%. These results are just further evidence of the important role social media is playing in marketing campaigns.

Check out CPX Interactive on Facebook, LinkedIn, Twitter, and our other Web 2.0 pages.

Samantha Karol
Marketing Assistant, CPX Interactive

The Internet is bringing Wall Street to Madison Avenue, as advertisers are discovering the benefits of real-time data that can only be gathered from online campaigns. As the New York Times reported recently, major media companies and advertising agencies are adopting data-based strategies for their campaigns, many with the help of ad exchanges.

CPX Interactive was an early adopter of the exchange model, as one of the first and largest players in the Right Media Exchange. In fact, we still represent approximately 30% of the exchange’s inventory. To learn more about CPX’s relationship with exchanges, read CEO Mike Seiman’s interview with AdExchanger.com.