CMO: Adobe swaps out CPM pricing in favour of cross-channel marketing metrics

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Published in CMO, by Nadia Cameron, 29 November 2013

Adobe's decision to move away from CPM (cost per thousand emails sent) campaign pricing to one based on customer profiles is indicative of the rising importance of value-based metrics in marketing, according to one industry group.

Adobe will introduce a new pricing structure for its Campaign email management platform from January that see costs based on customer profiles instead of the more traditionally dominant CPM model. Adobe MD for Australia and New Zealand, Paul Robson, claimed the new model will enable marketers to better rollout cross-channel campaigns with a single solution to support all of their needs.

"Marketers are being held back by CPM. It places the email vendor, rather than the marketer and their customers, at the centre of campaign operations," he said. "Adobe's pricing structure for Adobe Campaign sets a new precedent in the industry and helps marketers to experiment and engage with their customers across all channels. It provides full transparency for marketers and ultimately a better, more relevant experience for the consumers they reach."

Adobe Campaign was launched in September following the acquisition and integration of Neolane.

Interactive Advertising Bureau (IAB) CEO, Alice Manners, welcomed the new cost model and said it reflected the ongoing trend towards value-based marketing metrics.

"Email marketing is in decline and from a revenue point of view, has been declining for some time," she said. "We do need to look at it, and Adobe is taking the next step by reassessing the CPM model."

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