Mar 22

This is a great read for folks who are interested in online marketing and analytics. Traditionally most online ads have been sold based on unique views or cost per click(CPC) model. There is a new trend where companies are looking at selling these ads based on time spent.

CPC & view based model has introduced lot of phony sites who only try to get you to come to the site and show you ads and make you switch between pages to show more ads.

Hmm, Interesting question  is what are the scenarios where time based model makes sense? Recently I have seen lot of sites add “Sponsored Links or content”. This is a great scenario for time based revenue model. If people read the whole article  advertiser pays more money, if they bail immediately you . Another example would be to charge more when someone watches longer video ad on a site.

Analytics focused companies like Omniture and Chartbeat are spearheading the revolution and will be interesting to see which other models are introduced and if any of them will actually threaten the traditional powerhouses like Google.  I am sure CPC model is not going anywhere soon but exciting times ahead…

In 2014 digital subscriptions to the Financial Times grew 21 percent, more than twice the rate of overall circulation, and the digital audience accounted for 70 percent of paying readers. Still, the salmon-colored business newspaper faces the same problem as all publications: Print ad rates are far higher than digital ones. But FT Group Chief Executive Officer John Ridding says its secret weapon is audience engagement. “Our audience is not just growing,” he told shareholders on Feb. 27. “People are spending more time with the FT and consuming more content.” To take fuller advantage of those eyeballs, the paper’s website has started to change the way it sells ads.

Web Ad Rates Based on Time Viewed Instead of Clicks – Bloomberg Business

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