Ignorance Economy

Who Are the Internet Elite?

by Jeff Molander

Without taking physical action all the knowledge in the world is virtually worthless — especially when one is trying to make money. Nobody understands this better than the Internet Elite. Marketers looking to leverage the digital realm have hesitated to act and the Elite are cashing in. “He who hesitates IS lost.”

Anyone stepping into the digital media and marketing landscape — proclaiming their ability to assist marketers in chasing down consumers immersed in all things digital — are among the Elite. From mobile devices like cel phones to Web search engines and everything in between the Internet Elite are here to help marketers hook-up with customers addicted to everything about this new, uncharted territory.

In most instances the result of the marriage between Elitists and marketers has been ugly: Email spam, Web pop-ups, spyware — a wide variety of interruptive, annoying forms of advertising. Yet these HAVE proven to be effective for marketers despite how users of the Web feel about them.

Examples of the Internet Elite
The Elite come in a variety of flavors that most marketers using the Web are familiar with by now. They include (but are not limited to):

1. Search Engine Optimization (SEO) Consultants
2. Web Affiliates — “Cost Per Action” (CPA) and “Cost Per Click” (CPC)
3. Digital Agencies — aQuantive, DoubleClickPerformics, Digitas, etc.
4. Search Engines –Google, Yahoo!, MSN.com, Ask.com, etc.
5. Internet Domainers (define)

Networks of Web Sites are also included — such as “parked domain” network, Marchex; CPA (cost-per-acquisition) affiliate network, Commission Junction; CPC (cost-per-click) network, AdSense (Google) or blog network, Federated Media Publishing.

Many of the Internet Elite are small mom-and-pop operations but most, by now, are large or on their way to becoming a Goliath — like publicly traded Marchex or ValueClick Corporation. Some are relative unknowns like educational lead generation firms, LeadPoint, QuinStreet or Web site network, Oversee.net.

Characteristics of the Internet Elite
As it turns out, the digital technology itself isn’t the secret sauce of the Elite… as marketers have been led to believe. Surprisingly, these digital opportunists are building an empire based almost entirely on what most of us don’t (and what they do) understand about how humans interact with digital media systems. It’s a powerful yet undiscovered Information Age truth.

They’re typically young, gutsy, opportunistic and increasingly cash-rich. They’re entrusted by marketers and literally control the ebb and flow of every person and machine surfing the vast, hyper-connected Web. Overall the trend is for consolidation among the Elite — the people and, most importantly, the “how to” digital marketing knowledge they hold. The industry (its raw power and privacy implications) is maturing… concentrating. They are a relatively small group of people – indeed, businesses – who are solidifying control, organizing at light speed and positioning for long-term socioeconomic dominance.

Lately, the Elite are finding a new friend — our news media who cannot seem to stop creating demand (among marketers) for asinine and un-wanted forms of digital advertising.

The Voodoo That Only They Do
In simple terms, the techno-elite are getting in between ordinary Web surfing activity among consumers and the capitalistic inclinations of marketers who’ve enlisted their help (to market their wares in a new digital media realm). They’re cashing in on what appears to be chaos — yet is highly orchestrated. It’s less about the technology and more about how we all tend to use it.