Good morning execs,

last week was Internet World Magazine
Wireless East 2000 conference and Pocket
PC Expo. you really didn't miss much.
attendance was low, exhibitors didn't show,
and i don't think any real business got done.

1. MEDIA: Goldman Sachs consolidates mags
2. ADSALES: ad networks are dinosaurs
3. MEDIARESEARCH: stand up to Nielsen
4. SEARCH: Google auctions AdWords
5. THEWEEK: Rudy gets a movie, sleep kills...

::::: ::::: ::::: ::::: al berrios media ::::: ::::: ::::: :::::

1. MEDIA: you may have heard that Goldman
Sachs is in the midst of hiring a celeb exec
to run it's magazine portfolio earmarked at
$1B. what does this mean? except for Time
Inc, mag empires are run by families. the
industry is so fragmented and "old school",
that Goldman plans to buy and consolidate
with the goal of creating a mag powerhouse
to serve the needs of advertisers and consumers
alike. so why do you care?

BOTTOM LINE: one of the reasons online
content publishers can see opportunities with
advertisers and consumers is because magazines
don't really operate to serve the niche needs
that online serves. well, if one or two players
control all magazines, this can change as they
close and start magazines that make sense to
consumers and advertisers. if you've been
keeping up with this newsletter, then you
know that there's only way content is headed,
and that's niche. there will come a time when
people will no longer find it worth their money
to pay for access to something-for-everyone
content. they want their fave content, delivered
in their fave format, addressing their fave
topics, whether it be work or leisure related.
the internet is serving this need now, but imagine
if mags start serving this need, too?


::::: ::::: ::::: ::::: al berrios adsales ::::: ::::: ::::: :::::

2. ADSALES: the economy has really shaken
lots of players out of the scene. in fact, even
Doubleclick is trying to get out of their money
losing media sales business, claiming that there's
more money in measuring, serving, and research
than selling. do i agree? no. they lose money
because they're not doing it right. they've never
done it right, using adsales as a way of getting
publishers to pay them for their technology.

BOTTOM LINE: there is no better time in the
history of the internet to sell online advertising
inventory than now. with the death of big name
networks, publishers have had to resort to selling
their own ads. and if you don't have the resources
to sell your own ads, then you can count on
al berrios integrated sales to do it for you.


::::: ::::: ::::: ::::: al berrios mediaresearch ::::: ::::: ::::: :::::

3. MEDIARESEARCH: get your money out
of Nielsen. so what if they're like the only party
in town and you can't sell ads without their data?
this week they announced to customers that
"it would delay by one year a long-planned fix
to its national TV ratings panel
" in addition to
calling off their planned merger with internet
measuring and analysis firm, Jupiter Media

BOTTOM LINE: if you're in the research game,
now's the time to jump in and get some action
for yourself. it's obvious that Nielsen, although
the standard, has been caught with their pants
down on the future of media, consumers, and
advertiser needs. since there isn't any company
that can provide serious competition for them,
people still use them. however, let's take the
case of jetBlue. there is plenty of competition,
and cost of entry was supposed to be too big
for anyone to easily penetrate the market. what
jetBlue did was start from scratch (no union
workers, lower paid pilots, better financing
terms from banks, and a very radical idea
in air transportation at the time, good customer
service) and now they're kicking @$$ about
to offer an IPO. well, potential Nielsen com-
petitors take note: you don't need a multimillion
dollar metering system which only works when
you pay thousands of panelists to use it to get
measured to successfully compete in this industry.
using the multiple channels at your disposal,
better selection and incentive packages for
panelists, and up to date technology, you can
beat Nielsen on costs alone, then at their own game.


::::: ::::: ::::: ::::: al berrios search ::::: ::::: ::::: :::::

4. SEARCH: Google does an "Overture" last week
as they auction off the highest clicked on words
through their AdWords Select programs. but they
haven't sold out. only the first two to 5 listings above
real listings and marked sponsored will receive this
auctioning feel. and it's done to be fair to customers
that actually want to go to certain advertisers, not
just the highest payer.

BOTTOM LINE: i agree with Google's new approach,
but i'm worried how this may affect their brand online.
right now, they're one of the brightest starts out there,
with a clear brand positioning that they have carefully
cultivated in years of sticking to their one goal - present
objective and true search results. more focus on their
sponsored links may begin to change that view among
consumers. then again, this could simply be considered
a brand extension, where auctioning the words that get
clicked on the most is a natural extension of what they've
always been doing, presenting search results that get
clicked on the most first among all results. only customer
reaction can determine.


::::: ::::: ::::: ::::: al berrios theweek ::::: ::::: ::::: :::::

5. THEWEEK: "USA Network is mounting a two-hour
telepic about the man of the moment -- Rudolph Giuliani";
"Sleep hogs beware. A new study suggests that individuals
who sleep eight hours or more a night actually have an in-
creased death rate compared to those who average fewer
hours"; IBM, Intel, GE and others launch direct to consumer,
job board, bypassing monster and the rest; that $1-VOD
site, 88movies.com, got shut down by Hollywood. oh well.

::::: ::::: ::::: ::::: al berrios iMarketing ::::: ::::: ::::: :::::

Disclaimer: The recommendations, commentary and opinions published herein are based on public information sometimes referenced via hyperlinks. Any similarities or likeness to any ideas or commentary from any other sources not referenced is purely coincidental. al berrios & co. cannot control any results occurring from advice obtained from this publication nor any opinion(s) conveyed by any reader of this publication.

(c) 2001-2005. All Rights Reserved. al berrios & company, inc. Published by al berrios & co. This Report may not be reproduced or redistributed in any form without written permission from al berrios & co., subject to penalty.


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