Magazine article Folio: the Magazine for Magazine Management

The Secret to Monetization without Exploitation: Overcoming Common Myths to Strike the Right Balance

Magazine article Folio: the Magazine for Magazine Management

The Secret to Monetization without Exploitation: Overcoming Common Myths to Strike the Right Balance

Article excerpt

Given the plethora of solutions available, publishers are seeking the best tools to help monetize their audience beyond display advertising. Yet, even as data becomes pervasive, it is also more highly scrutinized than ever before amid growing privacy concerns. The challenge for publishers is to find the right mix of monetization without risking audience exploitation.

In working to strike this balance, many publishers fall into traps that leave advertisers, audiences and themselves unsatisfied. It's easy to see why: the market keeps exploding with new technologies and new opportunities. Just when you think you've got it all figured out, yet another evolution blows your model out of the water.

To help bring clarity to the constantly-churning sea of digital media, let's examine--and dispel--some of the most common myths that, once shed, can help publishers achieve this critical balance without alienating audience or buyers.

MYTH: A publisher must choose between an ad-based model or a paywall and risk alienating a large part of the audience.

FACT: A hybrid model may be more effective than the all-or-nothing approach. For many publishers, a tiered system of content may satisfy the needs of both audiences and buyers. For example, offer a limited amount of content for free (ad-driven) with full (ad-free) access available on a subscription basis. Another alternative is to impose a 30-second or one minute commercial on site visitors in order to access free content. This ensures a captive audience for advertisers that can generate a healthy revenue stream to meet audiences' demands for quality content.

MYTH: A publisher must manage its monetization efforts in-house and risk sacrificing good content in order to make money. With so many options available, from direct paid display placement to ad networks, exchanges and yield optimization technologies, it can easily become overwhelming and result in a piecemeal, fragmented approach. …

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