Posts tagged monetization

Ads Coming to Tumblr Radar

But don’t call them ads.

Via Business Insider:

In a 2010 interview with the Los Angeles Times, Tumblr CEO and founder David Karp said, “We’re pretty opposed to advertising. It really turns our stomachs.”

How times have changed. Karp announced at Ad Age’s Digital Conference that on May 2, Tumblr will start offering advertisers the ability to buy an ad unit on Tumblr Radar, which highlights the site’s top posts and gets approximately 120,000 impressions a day.

"I was probably being an idiot then," Karp said of his earlier renunciation of all advertising. His conversion is relatively recent—on April 12 he told Ad Age that advertising was "a complete last resort.”

Tumblr spokesperson Katharine Barna added that the real estate being offered to advertisers was “not an ‘ad unit’ per se, but a package of native promotion for the Tumblr post ― the most essential and versatile piece of our network.”

Last week Advertising Age interviewed Karp and asked a basic question: “Can the Company Be a Business Without Traditional Advertising?”

The social web’s economics are paradoxical: The more it blossoms, the more it destroys value.

Frédéric Filloux, The Monday Note. Read, Share, Destroy.

Filoux discusses how RSS super readers like Flipboard, News360 and Zite are taking content, repackaging it in delightful ways and leaving publishers scrambling to figure out how they might create competitive offerings that can actually be monetized.

The prospects: dim.

Via ScribeMedia.org

Advertisers are simple creatures. They evaluate ad solutions by whether they can solve a problem facing the advertiser, provide extra reach, a better level of reporting or a better direct response capability.

In the online video advertising space, most advertisers today are doing pre-roll ads because it’s easy for them to repurpose their existing 30 second TV spots for the Web. For advertisers to adopt innovative ad formats beyond the plain vanilla pre-mid-post-roll, they need to see a case for ROI.

When I pushed Julian to give some examples of ad types that have piqued his interest, he mentioned Interactive pre-roll ads as an ad type that provides a level of direct response to a branding initiative. As I noted in our conversation, advertisers, when submitting RFPs to vendors, always want their cake and to eat it too. They want branding AND direct response, often in the same campaign…