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Signal over Noise

Started by jamesgross · 7 months ago

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  • >As the best content is created and distributed online by the most talented of people, the ad marketplace will become more efficient and more money will continue to be dumped in

    what about the Winer concept of ads AS content? i.e. advertisers can just set up shop on their own website, and make the information they provide actually useful and informative as opposed to being deceptive and trying to trick people into buying their product / service?
  • James--

    I think there might be a mismatch between the volume and availability of advertising and the quality content. There aren't a lot of people out there making the love connections that FM is for its authors, and we represent a very small percentage of the overall population.

    The same great advertisers that are willing to pay a high CPM to get on "Great Content Site" are taking the same creative and paying dirt CPM or even CPC or CPA via 3rd party contextual services or behavioral ones.

    Sometimes they end up on the great sites, sometimes the spammy weird ones - but its a low cost, shotgun approach. I assume it works for them, because ad buyers and agencies are smart and use some pretty well refined science (at least the ones I know well - read Chiat Day - do. They have some brilliant people working statistics and collecting data on where and how to advetise.) As they are willing to pay more to target directly on to the sites they want, we know they are more effective - but you have to assume a percentage of that lower cpm high volume spend with a 3rd party group gets them where they need to go as well, or they would not spend it.

    Simply, however - they are spending in both places as there aren't enough impressions on just the targetting sites to get them where they want to go. . Brand awareness means lots and lots of little touches by the advertiser to the customer - so I think the long tail of blogs like yours and mine help - not hurt.

    Did I make any sense?

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