Kill Banners and Purchase Time

Source

A lot of people are spending time online today, so obviously advertising money is flowing to the internet as well. Yet, time is not really a factor at all when it comes to valuing online advertising. The length of time spend with the brand and the ad is the most important factor in determining the effectiveness of the ad. With banners and CPM, the advertising takes no consideration of the time.

I mean sure the repetition lead to clicks and eventual action, but the repetition itself has no real value. Especially as we are more and more "blind" to the banners and when compared to the well thought recommendations from our peers. Also I might close the browser window so fast that the banner didn't even load, still the advertiser pays the same amount when compared to the person who stays on the page for three minutes. A recent comScore study states that 31% of ads are delivered but never seen by a customer.

This CPM model drives publisher to deliver huge amount of impressions that create web page clutter and a poor user exprience. The problem becomes apparent when we think how effective the advertising is within content, or in many cases is the content. People are motived by and are looking to spend time with the content. Therefore the purchase cost for advertisers should be more like cost per second (CPS) model, where each second spend with the content is valued. The most valuable customers anyway spend time with the brand and therefore advertisers should be more willing to compensate publishers for those high-value users.

This is a very simplified expression on the idea that we will most likely develop further. But think about it. What if publishers would rather have less banners, and more highly valuable content that users are interested to spend time with. Isn't that the picture we all want the online publishing to be?

Content Creators "Have No ROI" in Producing Videos Just for Their Own Destination

Business

We at Videoflow have been working heavily on this opportunity. Truly, on web you are connected by nature, therefore there is no reason to produce content just for yourself or for you own properties. As a content owner you should distribute, distribute and distribute!! And use Videoflow to help you distribute and monetise your content. I believe this way you are able to reach more and wider audience for your kick ass content. Makes sense, right?

Lets say you are a wineblogger producing high quality content. Or you are a production house creating a 15 episode show for TV. Would it be nice to get access to different medias by someone else working for you without fee. Thou taking a cut from your advertising sales. Cooperation on the distribution benefits the whole ecosystem.

Here is a link to the Beet.TV article about it.

Online Video Advertising to increase 35% in 2010

On Beet.TV blog they say, online video is the fastest growing sectors in advertising, with spending expected to be up nearly 35 percent this year, says Geoff Ramsey, CEO of market research firm eMarketer.

This poses some interesting points. Online video is really the fastest growing sector in online advertising and has some real meaning for paying customers. Still, despite the rapid rise, the medium faces challenges in technology and content quality.

According to my own knowledge, I have learned that the challenges are:
- How to produce quality content
- How to distribute the content to generate good enough reach
- How to develop more intuitive technology
- How to target your target group better

Two latter ones are on acceptable level by know. Currently media are wondering how to solve the two first points. Well, we are developing a service this, check it out: Videoflow

Sex in High School

Love this quote on a Videoplaza blogpost of their CEO Sorosh Tavakoli. So true!

“Online video advertising is like sex in high school: Everybody talks about it, nobody really does it and the ones doing it are pretty bad at it

Staggering Teenage Online Habits

Business

I repost this info from a great blog site of Flypaper.tv. Go the flypaper post for links to more in depth data of the surveys.

Telegraph.co.uk reported that Teenagers spend an average of 31 hours a week online, according to a study by CyberSentinel. The study interviewed 1000 teenagers, all between the ages of 13 to 19 years. In addition, Paidcontent covers a music-related study around youth, which asks: would you rather go without sex or music?

Below we gather a few key statistics, in the hopes such insight helps us cater to our customers in more profound and effective ways.

Internet Habits Per Week (CyberSentinel):

* 3.5 hours communicating with friends on MSN

* 9 hours spent using Chat rooms, forums, MSN, and social networking sites such as Facebook to communicate with friends

* 1 in 4 teenagers polled admitted to regularly chatting with strangers online - the majority of whom think it is harmless

* 2 hours watching videos on YouTube

* Over 1hr is spent looking at cosmetic surgery procedures

* 1.5hrs are devoted to family planning and pregancy websites

* 1hr 35minutes spent on diet and weigh loss websites

* 14hours per week are spent surfing the net un-chaperoned

* 1hrs and 40 minutes browsing sites for pornography (If you do the math that equals 87 hours per year!)

* 1hr and 40 minutes spent downloading or listening to music

* 33% of teenagers surf the web in the bedroom, while 27% surf in their parent’s study or living room

* Thankfully, its not all fun and games, as these teenagers also admit spending a minimum of 3hrs per week use the internet as a homework and academic resource

SEX or MUSIC?

A recent study by Marrakesh Records and Human Capital shows that:
(Surveyed 1,000 15 to 24-year-olds)

* 60% of young people would rather give up sex than music
* 70% say they don’t feel guilty for illegally downloading music from the internet
* 61% feel they shouldn’t have to pay for music.
* 43 to 49% of the music owned has not been paid for
* The majority think £6.58 is a good price for a CD album
* They also believe downloaded albums should be £3.91, singles 39p

* 75 % have watched a music video online in the past three months
* 70 % bought a CD in the past three months
* 62 % played music on their phone in the past three months
* 52 % have paid for a music download in the past three months
* 45 % have played music on their games console in the past three months

* 67 % think radio is still the best medium for hearing about new bands
* 63 % say they rely on recommendations from friends for hearing about new bands
* 49 % prefer music channels like MTV for hearing about new bands
* 21 % prefer newspapers for hearing about new bands
* 17 % prefer music magazines for hearing about new bands
* 14 % prefer blogs for hearing about new bands

* 38% think YouTube is the best way for exploring new music
* 15% feel MySpace is best for exploring new music
* 8% think Facebook and official band sites are best for exploring new music
* 4% think NME and Last.fm are the least important sites for exploring new music