Charlotte, NC, USA, April 11, 2008 – Over the past few years the Internet has seen a divergence from traditional TV advertising business models, one of the reasons for this was the lack of broadband Internet access. Is this all about to change?
Last year’s 2007 Broadband World Forum Europe, held at the Estrel Convention Centre, Berlin, Germany, saw the prominent inclusion of the TV, broadcaster and video industries into the IEC event, a change that has placed content into the network operator’s space. With many of the presentations bringing business model concepts from the TV world, whether free to air, supported by advertising or paid for directly by the consumer.
According to RTL Online MD, Sushel Bijganath all content will eventually need to be free, it is difficult to accept that a consumer pay for content that has traditionally been free to air, therefore the more traditional format of advertising video on demand will prevail or emerge as the succeeding model.
Not all Telco’s agree and some are sitting more squarely on the fence. Daryl Dunbar, Director Portfolio Innovation, BT Group, BT, says both models are potentially viable, we have seen that people are perfectly happy to watch free to market content in exchange for advertising. In certain cases users are prepared to pay for content that is of high quality and without interruption. It is a matter of choice and personally I think a consumer should not be forced down one avenue or the other, but give the opportunity to choose.
According to InPage C.E.O. Grant Jackson, InPage is ideally positioned to take advantage of the shift in Internet advertising practices through the features and flexibility in its InTouch campaign manager.
In the world of television based advertising, paid for content stations include advertising, but not at the rates found in free to market stations, I think this will be true of Internet portals as well, InTouch lets you achieve this by allowing site owners to accurately define where to place InPage ads.
An example of this would be to place InPage adverts between every other page on the free to market sections of a website and then to turn InPage off in the pay sections, providing the site owner, advertiser and consumer with the best of both worlds.
Advertising is a revenue generator and that is why it is there in the first place. Sites are often saturated with Internet advertising and there is only so much space on a webpage that can be dedicated to advertising before the value of sites content is compromised. As such sites need to balance advertising volumes with consumer experience, and weigh advertising revenue against consumer needs.
Currently site owners only have two options to increase revenue; they either increase the number of pages or charge more for their space. InPage evolves these choices by creating up new advertising real estate and thus creating more advertising inventory and revenue.
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