23 Apr Sorry, We're Sold Out
Earlier this week I attended a sales meeting for one of our clients.
My first thought was, “Wow, what a great story!”
My second thought was, “Something is wrong.”
I remember doing a stint in circulation to learn the ropes at the Chicago Tribune. The circulation director schooled me that you always want to have exactly one paper in every single sales lock box at the end of each day. None was a disaster because you don’t know how many more you might have sold. More than one left means you have wasted inventory and “squandered” resources.
The same rule applies to our websites, I think. It’s great to successfully sell so much advertising that you run out of inventory, but you don’t know how much more advertising you could sell or how much more you might charge.
If I were managing the website in question I would immediate raise the price of the advertising by 15%. If that did not open up one more ad position I would raise prices again and again until I had one open spot on my site at all times.
“Sold out” is not a good thing. It is an opportunity to raise prices and sell more.