New Revenue Models for Digital Publishers
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The document discusses new revenue models for digital publishers and opportunities for brands. It notes that (1) digital advertising models are flawed by focusing only on direct response rather than branding benefits, (2) quality content and trusted platforms can strengthen brand association, and (3) platform evolution allows new ways to engage audiences and generate revenue through innovative apps and customized experiences. The document advocates considering these broader opportunities beyond direct click metrics.
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New Revenue Models for Digital Publishers
- 1. New revenue models for digital publishers and the opportunity for brands Chris Dobson, EVP and GM : BBC Advertising
- 2. 1. Is the digital model we currently use flawed? 2. Content and brand association 3. Platform Evolution
- 3. 1. Is the digital model we currently use flawed?
- 4. Purchase Funnel What does it do for me? Is it for me? Which one? This one This is just what I wanted They care about me These are great you should get one SEARCH CRM DISPLAY Some marketing principles are constant.. Awareness Involvement Active consideration Purchase Conversion Consumption Usage Relationship Building Advocacy
- 5. 2010 -display advertising eco-system europe Publishers Advertisers Disclaimer: The above overview is an attempt to map a large part of the current display eco-system and is by no means 100% complete. The map is subject to ongoing changes. Under no circumstances shall Improve Digital be held liable for any direct, indirect damages whatsoever resulting from the above information provided through the Improve Digital website or through third parties. If you have any comments or requests for changes please mail info@improvedigital.com.
- 6. Worldwide Click-Through Rates Click-through rates across Static Image, Flash, and Rich Media formats Norway Germany 0.07% 0.13% Ireland New Zealand 0.08% 0.14% Luxembourg Spain 0.08% 0.14% UK Turkey 008% 0.14% Finland Austria 0.09% 0.15% 0.16% Australia Netherlands 0.10% 0.17% Canada Belgium 0.10% 0.18% Sweden China 0.10% 0.18% USA Greece 0.10% Hungary India 0.11% 0.20% Switzerland Singapore 0.11% 0.20% Denmark Hong Kong 0.12% 0.21% France United Arab Emirates 0.12% 0.28% Italy Malaysia 0.12% 0.29% Source: DoubleClickDART for Advertisers, a cross section of regions, January –December 2008
- 7. Are we fooling ourselves with this metric? Ad Clickers Follow the 80/20 Rule 84% of Internet users don’t click on ANY ads Despite comprising only 8% of the total online population, moderate and heavy clickers account for 85% of all click-thrus 4% 22% 67% 4% 8% 84% 26% Heavy Moderate 52% Light 18% Non 15% % Internet Pop % of Clickers % of Clicks Source: comScore, Natural Born Clickers (US), March 2009
- 8. Does this one person’s click effectively reflect the branding impact of exposing the other 999 people to the same ad?
- 9. The click misses the point? Display Ads Lift Visitation to Advertiser Site Even With Minimal Clicks Campaign/Post Campaign Analysis Time Aligned Analysis 7.71% Control 7.26% Test 6.02% 6.05% 4.45% 3.99% 4.03% 3.43% 3.53% 2.01% %Lift:99% %Lift:75% %Lift:73% %Lift:80% %Lift:71% Wk 1 Wks 1-2 Wks 1-3 Campaign Period Post campaign period Analysis period Time from first exposure Source: Average of 20 Studies Published in comScore’s “Whither the Click in Europe?” Feb 2010
- 10. 2. Content and brand association
- 11. Engagement Trust Loyalty Ad Environment “I’m in an attentive mood and glued to the screen… this energy transfers onto the brand.” “Because the ads are not too intrusive I don’t automatically close the ads on the BBC site.” “I don’t believe it until I read it on the BBC.” “A channel I specifically make time to watch.” Quality of Content Quality of Results
- 12. What Is The Value of The Environment You Advertise In? The little black dress test... The audience perceived different values for the same product when placed on different websites: TGcom: €537 Yahoo: €435 BBC.com: €1,904 Source: The BBC Dress Test, June 2009, Male + Female respondents –luxury goods consumer. Q-How much would you value the clothing which you have just seen? Average values shown
- 13. Digital Giants with Intel Ge Wang: Smuleco-founder and Stanford University teacher Jimmy Wales: Founder of Wikipedia Martha Lane-Fox: Web entrepreneur and digital inclusion champion EvgenyMorozov: Blogger, researcher and expert in the politics of the webchampion Sam Pritroda: Digital advisor to the prime minister of India Joe Rospars: Digital strategist for the Obama campaign Erik Schmidt: Google Chief Exec Philip Emeagwali: Nigerian-born supercomputer scientist Daniel Ek: Founder of music-streaming service Spotify Steve Ballmer: Microsoft's chief executive officer
- 14. Cross-Media Campaign Captures Canon Audience 34 million impressions 45,500 visitsto Canon’s ‘Take Stories’ microsite 109% uplift in spontaneous advertising awareness 21% increase in agreement with the statement “Canon is a leading brand in technology” Source: Metrixlab – Cross-media Campaign Evaluation – Canon and BBC – 2009
- 15. 3. Platform Evolution Opportunities
- 16. The site from the British broadcaster is chock full of information. If you were going to design the TV news broadcast of the future, where viewers pick the stories and watch them come to life, this is it. USA Today on the BBC’s iPad app
- 17. BBC.com News iPhone and iPad app
- 19. New revenue models for digital publishers and the opportunity for brands 1. Credit for Branding as well as DR! 2. Content and brand association benefits 3. Platform Evolution Opportunities
Editor's Notes
- [The click’s] the closest thing to a standard, but it doesn’t mean anything to anybody, and CMOs are just tired of hearing about it.Andrea Kerr Redniss, Senior VP Digital, Optimedia•Remember why you’re advertising…You are not advertising for clicks…What you’re advertising for is to sell me stuff or change perception, and that’s what we need to be measuring against.CarrieFrolich, Managing Director Digital, Mediaedge: cia•By measuring the last ad seen or clicked by a converter, they focus entirely on a brief time span at the bottom of the funnel. Evaluating only a single point of advertising contact oversimplifies the delivery and performance of any media channel.Microsoft’s Atlas Institute
- I’d like to reiterate the title of this slide and ask you the question — do you know the value of the environments you advertise in? And, importantly, do you know the value of the trust your audience has in those environments? I’ve mentioned it already, but trust is an important factor when it comes to people’s search for news and information — and it also has a large impact on the brands in those environments too. As you can see from our little black dress test, the audience’s perception of the dress’s value changed dramatically across the three sites, but radically escalated when linked to a site that they not only trust, but associate with quality and integrity. In the right surroundings, brand value is unquestioned...
- Interviews with some of the most prolific minds in digital media.Intel brand partner.Editorial independence and integrity made the feature more powerful and better quality experience for the audience and better result for Intel.
- How do you prove the value of the right environment for your brand?Two examples come from recent campaigns delivered by Canon and MTN across the BBC. Canon:By positioning its ‘Take Stories’ message across on and offline channels, Canon ensured visibility with an audience that valued the presence of its brand with the content and coverage they were viewing — wherever they were. The results show a considerable increase in brand favourability – in particular, agreement with the statement ‘Canon is a leading brand in technology’.
- [Click for third build] Since its launch, the BBC World News iPad app has been consistently in the top 10 downloaded news apps within many global markets. To date, around 1 million BBC iPad apps and 300,000 iPhone apps have been downloaded (Financial Times, 14 July 2010). Consumers are increasingly looking for segmented news content. For example, we have recently launched a separate BBC Football app for the iPhone as part of our World Cup coverage, delivering all the best coverage from the Football section of BBC online directly to users on the move. And it has also been shown in one of our recent campaigns that using the iPhone environment for advertising has led to higher than average industry click through rates in China, HKG, Korea and Japan — due to the uncluttered and rich nature of the environment. Media multi-tasking (i.e. surfing the web while watching TV) and the opportunity for news to be more readily consumed on the move, by its very nature means that news has a higher social importance and relevance to people’s conversations. And it gives your brand the opportunity to put itself right in the mix too.