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Longstanding investor in Looksmart (and a 70 yr old ex-tradesman), who has a passionate interest in the problems of newspapers along with their success in all their monetisation attempts made, on the web. For the "times are indeed, a changin", I feel. [17th of Aug, 2011 - Print media... More
  • Microsoft's Search Network And The Content Network - Fully Explained 13 comments
    Aug 13, 2012 10:39 PM

    From a previous post:

    ..Looksmart's CEO advised all (during the CC, immediately following the Q1 2011 Report), of this important news re; the Co's partners:

    "It has positioned us as quite an interesting partner for all the Yahoo Partners & the World [advertiser solutions?] Partners in helping them deliver to Yahoo & Google-and that is really part of how we're looking at our business going forward."

    So ...

    At this juncture I'll remind readers of an RTB Global OPEN Marketplace thats handling up to 100 Billion 'events' per day!-and ask the simple question as to why both Facebook & Twitter (with it's own ad network - in time), would not be wanting their own advertisers to become involved? [Or, have their own respective (combined) 1.5 billion or, so 'users'-also become 'targets' for advertisers?]

    ALL - In what I see and or, Looksmart has described as being, an/the integration (of) Search and Display and the global opportunities it can/will provide for all 'players'- besides what it can do for Looksmart's own independent integrated online advertising platform performance? (In terms of explosive revenues, resulting from it all?)

    http://seekingalpha.com/instablog/36191-...

    MICROSOFT

    To understand this that little more, Microsoft (themselves) explain their search network and 'search ads'.

    < Search Network

    The search network includes Bing.com (& sites owned and operated by Bing, such as Bing.de [Germany] and Bing.uk) and the Yahoo! Search network (including sites owned and operated by Yahoo!).

    The search network also includes websites owned and operated by our syndicated search partners, including PCWorld.com and NBC.com. Ads distributed on the search network are known as search ads.>

    http://advertising.microsoft.com/uk/smal...

    It is my humble opinion that (an extended) Looksmart's own 'integration (of) Search and Display and the global opportunities it can/will provide for all of Looksmart's search engine 'partners' and within their respective search networks-will finally give the kind of uninterrupted (and, friction free) global scale that many big brands and large agencies will embrace with substantial spending-as a result of this (exclusive to Looksmart), unique 'one stop shop' opportunity, roll-out. - And it's one that will very soon, get to be on offer. Is my opinion.

    LOOK: At 3:59PM EDT: 0.93 Up 0.05 (5.91%)

    LC

    ps; Why there's a need for the integration (of) Search and Display to occur in real time?

    "I was in the market for some new snow tires and did what most do. I asked 'The Google.' .. I was greeted with several good-looking choices on the best snow tires for my vehicle and the climate I live in here in Boulder, Colorado. I clicked on the (second) search result and landed on a great review. But something was strange the page I was reading tire reviews .....had been invaded with women's luxury shopping ads." - tiny.cc/2s9ziw

    Disclosure: Long LOOK and becoming so much more excited!

    .

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Comments (13)
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  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    And the new FACEBOOK ads are of the kind that can so easily be used for targeting Facebook members, based on 'search intent' shown by it's members, conducted on Looksmart partner search engines! (In "real time".) - Then, we can have Facebook itself, utilising the integration (of) Search & Display in real time?

     

    http://bit.ly/PnSkAJ

     

    LC
    .
    14 Aug 2012, 09:04 PM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    That was a quote from Q1 2011 - you do know that is since the CEO announced that they have ditched the current intermediary business model.

     

    So that quote is invalid.

     

    And you do know that this is "Yahoo PARTNERS" - i.e. the arbitragers not Yahoo themselves. And you do know they ditched the partners in Q4 2011.

     

    So you do know that they don't currently have a business model - as per what everyone has been saying to you and you are not listening.

     

    Do not quote the CEO in your response - everything he said prior to date is not the case, quote when he said in the latest call where he said that they are exploring new business models. All previous models are invalid.
    17 Aug 2012, 07:33 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » Hi swanson1...

     

    What quote are you referring to?

     

    < Looksmart ..... don't currently have a business model > ????

     

    And yes, Looksmart has indeed ditched the intermediary business model and have now (exclusively), settled on (as we're told), what is the only independent campaign management solution that can/will be able to integrate and cross pollinate search, display, video and mobile campaigns.

     

    You (and others) refuse to accept that LookSmart now (exclusively) has proprietary data that is all about the receiving and processing of, over 5 Billion search queries a day and all, in real time.

     

    My own interpretation of the coming 'intersection of search and display' is about Looksmart's AdCenter platform's management technology being able to have any/all advertisers (of their advertising solution partners), being able to target their chosen audiences across search, display, video and mobile.

     

    And, who are the audience that help to make up the Looksmart (global) marketplace?

     

    Marketers get to choose their audience from:

     

    Those that are suitably (as chosen) users who land on any page having available inventory (ad spots) across the total Looksmart marketplace. (Yes, and that does include each and all of the over 5 Billion real time search queries that are had each and every day), that all becomes a part of Looksmart's (both search and display) publisher base, in a one huge RT marketplace.

     

    http://linkd.in/P42ENJ

     

    swanson1 ......What is it that is too difficult to understand about what the company is clearly saying, above?

     

    And ........ that Looksmart (as we are often told), is the only independent campaign management solution that integrates and cross pollinates search, display, video and mobile campaigns?

     

    Do you think that it's all, just a Lie? You need to spend some time and carefully read (that includes, any/all linked supporting articles in), my most recent instapost here, to grasp exactly what I am alluding to.

     

    http://bit.ly/KycZDk

     

    LC
    17 Aug 2012, 08:27 PM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    You are the only one refusing to listen. Why else would every single quote include "You (and others) refuse to accept".

     

    PEEK will get control - the existing management are allowing the business to lose 2.5k million per quarter. Looksmart has had only a few profitable months in the past 10 years.

     

    That is fact. PEEK are one of those "refusing to accept". Otherwise quite clearly they wouldn't be doing what they are.

     

    There is an endgame for Looksmart - it is approaching, that is also a fact.
    19 Aug 2012, 07:00 PM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    You can argue for ever and ever that Looksmart has a "global marketplace" - but it has to be a "profitable marketplace".

     

    Is Looksmart making 2.5k million losses? Has it made massive losses over the past 3 years? Are the losses eating into cash? Are they bigger or smaller than last year?

     

    You can go bust with the best product - you only win if you make profits. Are Looksmart making profits or huge losses?
    19 Aug 2012, 07:04 PM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    When are the losses too much for you? In Q3 if they are 2.5k million - are you still happy with that, or is the fact they have 1 year before they are out of business.

     

    Or if they make 2 million losses - is that ok, 18 months before death.

     

    Or 1 million - is that ok?

     

    When are the losses over 10 years - and increasing losses over the past year - when are they a good bet?

     

    Call me crazy, but I invest in companies that make profits.

     

    To be honest it's not hard to make profits in the PPC area - Looksmart are managing to buck the trend.
    19 Aug 2012, 07:08 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    Your emphasis is on how Looksmart has performed over the past five years.

     

    Whilst mine is on how I feel they'll be performing over the next five years. One of us is looking into a rear view mirror and one of us is about the potential, going forward. You are completely dismissing the clear evidence (as has been presented), and that you are more than likely not understanding fully, the changes that lie ahead. And in regards to the past five years - all I can say is ...Rome wasn't built in a day!

     

    LC
    .
    20 Aug 2012, 04:18 AM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    Over the past 5 years prior to the last 4 quarters Looksmart was making minor losses.

     

    Over the past 4 quarters losses have accelerated heavily.

     

    Q3 - 2011 - 224k Loss
    Q4 - 2011 - 1.843 million Loss
    Q1 - 2012 - 2.150 million Loss
    Q2 - 2012 - 2.359 million Loss

     

    Just what about those figures are historical. Those are a massive current trend that should scare everyone invested in it.

     

    Just how is that going to turn to profit quick enough before the cash in the bank runs out?
    20 Aug 2012, 06:18 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    That Looksmart have now (finally) shifted to it's completely NEW model doesn't appear to resonate with you? Have you any idea of just how much cash that a DSP like AppNexus (besides the many others) have 'burned up' whilst establishing it's own business? (My understanding is that, to date...AppNexus - that appears to be still, not profitable - has had some $75M in funding)

     

    Stop looking into that rear-view mirror, is my message to you.

     

    You commented previously, that PEEK will get control. - Why would people sell to this unsolicited offer (for $1.00pps - if they are wanting to sell), when they are likely to (as is shown today) do much better in the near/longer term - in their selling into the market?

     

    15:26:14 $ 1.10 5,000
    15:26:14 $ 1.10 1,400

     

    http://bit.ly/Sev37s

     

    LC
    .
    20 Aug 2012, 06:40 PM Reply Like
  • swanson1
    , contributor
    Comments (91) | Send Message
     
    Looksmart haven't shifted to a new model - only you believe that to be the case.

     

    The last quarter Looksmart reported the amount of paid clicks - 52 million (down from 100 million the last quarter) and an average CPC of 0.06.

     

    That is not a new model - in CPA you can't report the amount of paid clicks.

     

    You also can't have traffic acquisition costs in CPA - only CPC models. This is because you can't pay publishers properly in a CPA model on a CPC basis - hence why shopping engines always work on CPC.

     

    If it was CPA they would have reported EPC not RPC.

     

    From the highlights

     

    "Total paid clicks for the second quarter of 2012 were 52 million, compared to 146 million for the second quarter of 2011 and 101 million for the first quarter of 2012"

     

    Please note "total PAID CLICKS".

     

    How do you have paid clicks in a CPA model?

     

    And:

     

    "Average Advertising Network RPC for the second quarter of 2012 was $0.063 compared to $0.043 in the second quarter of 2011 and $0.036 in the first quarter of 2012."

     

    "RPC" - revenue per click NOT "EPC".

     

    Therefore you are in dreamland if you think Looksmart are a CPA network.

     

    Those are facts, reported by Looksmart - so I know Looksmart are a massively shrinking CPC network.

     

    You are operating on heresay from 1 year old statements - I am using facts.
    20 Aug 2012, 07:06 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    You are (very much) sounding to me like someone who has sold the remaining shares you may have had - or, that you have fallen to the PEEK 'sucker-bait'.

     

    But it's understandable - when you post that it is only myself (me) that believes .... that Looksmart have now (almost fully) shifted to it's new model. (Looksmart have TOLD the market of this fact!)

     

    CPC is a 'metric' being used for reporting (in Looksmart's model) as both CPA & CPC are arguably the same. The new model is one that advertisers ONLY have to pay, when their ad is clicked on. (Cost per action, no? - Is my opinion.)

     

    < You also can't have traffic acquisition costs in CPA - only CPC models.>

     

    Ha!

     

    Looksmart (it's clear to me) only pay TAC on the very clicks that are recorded. As a percentage (circa 50%) back to the search engines that are (exclusively) providing in real time - that 'user intent' or, the actual search terms (I should really be saying - in conjunction with the individual's user's IP address, *cough*), as they are being recorded - by the Looksmart partner search engines-and, the very reason that TAC is being paid back to. (When or, after Looksmart actually receives it's percentage payment from the advertiser - that I estimate to be 20% of the winning, bid value.)

     

    This (the 20% or, so of any winning bid value payment) is totaled as being the revenues that Looksmart now reports! (And why, there's that drop in revenues Y/Y, Q/Q)

     

    You have a long way to make up for you to get to understand what is going on here. You may (eventually) get to comprehend it all, in time.

     

    I haven't spent 8 to 10 hours a day over the past 5 or, more years in protecting my investment here (yes, recently I bough $10,000 more), to see it all go, 'down the gurgler'.

     

    That there was always the/this need for an independent Looksmart marketplace was a mandatory requirement from the outset. Meaning, the need of one that totally eliminates click fraud & most importantly, one that will instill total confidence with users re; personal PRIVACY.

     

    My (just posted now) latest instapost may give you a further insight.

     

    http://bit.ly/OSPkAi

     

    LC
    .
    20 Aug 2012, 08:56 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    swanson1 ...You posted:

     

    <The "Average Advertising Network RPC for the second quarter of 2012 was $0.063 compared to $0.043 in the second quarter of 2011 and $0.036 in the first quarter of 2012."

     

    "RPC" - revenue per click NOT "EPC".

     

    Therefore you are in dreamland if you think Looksmart are a CPA network.>

     

    From the Q2 Report, Looksmart's CEO has advised the market:

     

    "Our second quarter results were in line with our expectations, as we continue to strategically shift away from the historical intermediary business model.

     

    .......We have made significant progress on the development of our next generation product suite & we have announced the release of the first component a few weeks ago,...... adding display advertising solutions to our portfolio of performance-based online advertising offerings.

     

    ..We will continue to progressively release the components of our new integrated product suite starting this quarter and believe that it will position LookSmart well to capture the significant opportunity of integrated Search and Display while contributing to short term performance improvement."

     

    http://bit.ly/SRt4Do

     

    What is it about .."performance-based online advertising offerings" and 'progressively releasing the components of our new integrated product suite, starting this quarter".....that is so difficult to accept?

     

    Dexmier says ........ "performance-based " and he talks of the Co's "new integrated product suite " .........What then, does both of those as he has mentioned mean to you, I wonder?

     

    Most importantly, he talked about ..."the significant opportunity of integrated Search and Display"

     

    The stated ..........."Total paid clicks were 52 million X's the Average Advertising Network RPC of $0.063 ='s $3.276 or, what was stated as being $3.3 million - the revenues from the Company's Advertiser Networks.

     

    A 13% increase in Traffic acquisition costs (TAC - climbing to 61% and a concern) was not stated in dollar terms. The quarterly will more than likely explain this figure. (61% of $3.276 or, $3.3 million?) It's a mystery.

     

    ...What I feel then happens, is that Looksmart only pay TAC on the very clicks that are recorded. As a percentage of the click value (normally, circa 50%) back to the search engines-that's those who (exclusively) provide in real time - that 'user intent' or, the actual search terms (or, I should probably be saying - in conjunction with the individual's user's IP address, *cough*- in RT when a search is conducted), where they are being initially recorded.

     

    < "You also can't have traffic acquisition costs in CPA - only CPC models.">

     

    swanson1..IF you truly think that this TAC is not how I have explained it above and that it's related to payments for clicks had on publisher sites .. ....,,.....with only (this quarter), 61% of Looksmart's advertiser revenues going on to publishers (and as low as 48% in the second quarter of 2011 & 51% in the first quarter of 2012), then please be kind enough to tell me ...exactly how the search engines that provide the stated 'over 5 Billion search queries a day' - actually get to be paid?

     

    With Looksmart's 'new' model, I'm suggesting to you that publishers will always see around 80% of the winning bid prices paid, on clicks. And that this sum is paid on - directly to them (Or, their ad network that represents them or, their SSP’s for further distribution and or, a break-up of.).

     

    Of course you see it different! And that's the very reason why I 'hold' onto my shares and you have chosen to sell your shares.

     

    LC
    .
    22 Aug 2012, 02:09 PM Reply Like
  • LookingConfident
    , contributor
    Comments (875) | Send Message
     
    Author’s reply » .
    swanson1 ...You posted:

     

    < PEEK will get control - the existing management are allowing the business to lose 2.5k million per quarter. >

     

    You will surely realise (by now) that PEEK will never get control.

     

    This may help you further understand:

     

    http://seekingalpha.co...

     

    LC
    .
    24 Aug 2012, 12:39 AM Reply Like
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