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Wednesday, January 10, 2007

PPP supply & demand

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I have read and heard a lot of comments of frustration from my fellow posties. One good friend made a very astute remark about how this is simply supply and demand. Oh, so true! When I began with PPP in early July, there were almost 1000 posties who were allowed 3 posts per day --- a demand of 3000 posts. Today, there is almost 20000 posties, allowed 2 posts PER BLOG per day --- a minimum demand of 40,000 posts, perhaps an average demand of 80,000. On the supply side, I saw about 50 opps in July and today there are 30. (At one time the opps had soared to over 100.) Each opp can allow 1 or more postie to blog about it.

So there has been a 20 to 30 fold increase on the demand side and not much change on the supply. We'll see what happens when 'segmentation' --- where advertisers will restrict their opps to specific posties --- is implemented. Some advertisers already practice some degree of segmentation (by type of blog, by page ranking, if a postie has already written about a specific). If I get the time, I would love to compose an economic model of the mathematics at work here.

2 comments:

thedawnster said...

you brainiac, you! cool post - i'm going to post this on the forum...

Karen said...

Yep, I think you've got it figured out!