Date

Mon - 28.07.2014


advertising

When aggregation/news-reading apps are first launched, their founders tend to emit a hazily rose-tinted view of future revenue prospects. Flush with venture capital, a fledgling startup’s first priority is not to decide whether a lucrative future lies with a freemium model, paid subscriptions, and/or targeted advertising; its initial goal is to provide the best possible service and to build an “audience of significant scale”– the rest will (hopefully) fall into place. This is no longer the case for Flipboard and Pulse, two major apps in this category, which have each been around for over two years and have attracted 20 million users respectively. No longer hatchlings, these companies are entering the phase of concretizing their revenue plans, and the strategies they have selected are sharply divergent.

Author

Emma Knight's picture

Emma Knight

Date

2012-11-12 19:29

The US newspaper industry is facing some very bad news: growth in digital ad revenue is declining. A story published by Reuters today states that, according to statistics from the Newspaper Association of America, digital ad revenues at newspapers are up just 1% from a year ago, making this the fifth quarter in a row that growth has dropped.

Reuters reports that online ad revenues at the New York Times Company experienced a 2.3% drop to $48 million in the first quarter, compared to the same period the year before. At the Washington Post Company, online ad revenue fell 7% to $24.2 million, the article says.

What’s going wrong? Reuters says that experts blame the existence of too much advertising space online, the rise in discount-rate ad spots, and a tough economic climate in the US for the slowdown.

When the New York Times Company originally announced its decline in digital ad revenue, paidContent reported on an earnings call with CFO James Follo, who “explained that digital ad sales have long been insulated from macro-economic events. Starting in 2011, however, these ad sales began to be sensitive to the European debt crisis and other events that affect print ad sales.”

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-06-07 15:43

The New York Times: purveyor of “All The News That’s Fit To Print.” And now, all the news that’s fit to stream too?

A Nieman Lab reports, The Times has struck a licensing agreement with Hulu, making some of its video content available through the popular online streaming service. For the moment, the only Times video that is on offer with Hulu is a documentary about hockey named “Punched Out: The Life and Death of an N.H.L. Enforcer,” but Nieman Lab writes that more content is due to be uploaded soon.  

Author of the article Justin Ellis suggests that putting content on Hulu has both pros and cons for the Times. “On Hulu, a viewer may be more likely to seek a lean-back entertainment and watch a video longer than five minutes,” writes Ellis, “But by putting the videos on Hulu, the Times is also sending eyeballs off their property and adding an intermediary who’ll expect a cut of the ad revenue.”

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-06-04 17:07

Why would a company pay a newspaper for advertising, when it can broadcast directly to its audience online? The question has long been perplexing newspaper companies, who are seeing their revenues drop as a consequence of brands cutting them out of the advertising process and going straight to Twitter or Facebook to reach their customers.  

But instead of fighting the shift, the New York Times Company launched a new advertising initiative yesterday, which aims to benefit from the fact that brands are becoming their own publishers. Ricochet, as the Times’s product is called, hopes to generate revenue by allowing brands to select specific New York Times content that is relevant to their customers, and then to share links to a version of that content surrounded by their own advertising.

“In the traditional advertising model, brands reach audiences through content; by contrast, using Ricochet, content reaches audiences through brands," explains the vice president of research and development at the Times, Michael Zimbalist, quoted in the official press release.

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-04-27 15:37

Hi-Media, a real-time bidding advertising solution provider in France, has one clear goal for its publishing clients: to continuously find new ways to grow and improve efficiency in online advertising.

Cyril Zimmermann, CEO of Hi-Media, said the company has come a long way since the Internet bubble burst in 2001. “Basically we were facing bankruptcy from 2001 to 2003, but advertising revenue kept us afloat, but more importantly that time allowed us to look very closely at the online advertising business. And while everybody thought there was no ceiling online, indeed there was. Our job was to maximise the efficiency heading up there.”

The lessons learned during that time were to figure out for publishers how best to: 1) optimise advertising inventory sales, 2) make paid content acceptable by users, and 3) stay independent from large proprietary platforms.

For more on this story, please see our Digital Media Europe blog

Author

Dean Roper's picture

Dean Roper

Date

2012-04-16 18:05

For a long time, advertising revenue has been the life-blood of newspapers. But as media companies manage the switch from print to digital publishing, their advertising sales strategies have to evolve rapidly too.

How can you integrate print and digital sales teams? How can you still get the most out of print ads? How can you harness social media to boost your advertising? And how can you find new online revenue streams?

These were some of the questions addressed at WAN-IFRA’s 22nd World Newspaper Advertising Conference in Prague at the beginning of last month, where speakers included Will Goodhand, "Juicy Evangelist" at BrainJuicer in the UK, Peter Zollman, Founding Principal of AIM Group and Classified Intelligence and Halvard Kristiansen, Head of Behavioural Targeting for Schibsted in Sweden.

WAN-IFRA’s full summary of the conference is available now to download here.

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-04-05 12:38

Today, free UK newspaper Metro announced the launch of a targeted consumer marketing campaign in London aimed to increase readership of its tablet edition, according to a press release. The campaign, which will continue for the rest of the week, aims to reach the “urbanite” audience that falls outside of Metro’s commuter distribution areas.

Advertisements will run on digital screens in London’s major train stations, in the print editions of Metro, on the music streaming service Spotify and through in-app ads, the release said.

The station ads, starting at 4pm each day, instruct viewers to take a picture of the front page of Metro’s tablet edition and then tweet the photo to @MetroUK with the hashtag #tablet and the viewer’s location, from which one winner will be chosen per day. Each day’s winner will then be entered for the chance to win a tablet.

The print ads include information about the tablet edition ads at train stations, but also instruct readers to download Blippar, an image-recognition app, on their mobile phones to play a 3D game, from which they will also have a chance to win a tablet, the release said.

Metro’s ads on Spotify offer consumers yet another chance to win something: by clicking on display ads, users are directed to Metro's Facebook page where they can enter to win a year-long membership to Spotify Premium.  

Author

Gianna Walton's picture

Gianna Walton

Date

2012-03-26 15:48

Pearson has just published its end-of-year results, and in a tough economic climate they're impressively strong. The company, which counts the FT Group, Penguin, Pearson Education and a 50% stake in the Economist Group among its many holdings, has reported a 12% increase in its adjusted operating profit, with a 27% growth in profits for the FT Group.

Part of this success is due to the FT Group reducing its dependence on volatile advertising markets, and relying more heavily on digital, subscription and content revenues.

Overall, the FT Group is now making more money from its content, and less from advertising. In 2007, the group drew 41% of its total revenues from content, 59% from ads. Now the balance is 58% from content, 42% from ads.

What's more, according to the report, money from digital and services now account for 47% of the FT Group's revenues, compared to just 25% in 2007.

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-02-27 14:07

By Emma Heald

The Huffington Post UK has launched a new 'Inspiration' section on its site which will enable brands "to communicate directly with prospective consumers via video, blogs and social media," announced a press release from AOL.

Its first focus is a cross-platform package in conjunction with other AOL properties to promote Iceland as a year-round tourist destination. As the press release says, the 'Inspired by Iceland' campaign, sponsored by Promote Iceland and Iceland's government, is "the first Europe- wide marketing campaign that fully integrates a comprehensive suite of AOL advertising products, content and platforms."

For more on this story please see our sister publication www.editorsweblog.org

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-02-27 12:02

Digital advertising spending is set to overtake print in the US. But a new study by PEW suggests that these new digital dollars aren't going into the pockets of news organisations.

The Pew Research Center's Project for Excellence in Journalism analysed the websites of 22 newspapers, TV networks and digital news publications like the Huffington Post, and concluded that "even the top news websites in the country have had little success getting advertisers from traditional platforms to move online."

Pew found that most news organizations are highly reliant on banner ads, and have failed to diversify into video or pop-up advertising or to target ads at specific users as Google and Facebook do.

The report initially found that of the 22 news organisations in the study, only three - CNN, The New York Times and Yahoo News - made "significant" use of targeted ads. A follow-up analysis six months later found that two more sites - the LA Times and The Atlantic - had increased their use of targeted ads, but the proportion of customised ads compared to blanket ads was still small.

Author

Hannah Vinter's picture

Hannah Vinter

Date

2012-02-13 19:30

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