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July 11, 1995

NETSCAPE GETS ITS WEB PAGE TO PAY FOR ITSELF; OFFERS AD SPACE

By CBR Staff Writer

In an effort to start cashing in on the thousands of World Wide Web surfers on the Internet, Netscape Communications Corp will launch a multi-tiered advertising programme on its most heavily trafficked Web site pages. Three levels of pricing and defined exposure will be offered to the more than 25 companies that currently advertise with the company. Up to now, it offered a fixed advertising rate for banner ads, but that pricing was based on audience expectations derived from a one-week statistical survey conducted in May. It learned that its Internet search page is accessed more than 308,000 times a day while its Internet directory is visited more than 125,000 times daily. Three tiers of pricing, labelled the silver, gold and platinum, cost $15,000, $20,000 and $30,000 on a monthly basis. The adverts will rotate through predetermined locations on the company’s Web site. Advertising is a relatively new source of income for Netscape, whose main business is selling Web browser and server software. However, the company’s information-rich Web site has emerged as one of the most frequently-accessed areas on the Web, turning the firm into a potential goldmine for World Wide Web advertisers.

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