Monday, March 24, 2008

ESPN Turns Off Ad Networks

For snowsports filmmakers and video distributors that are ad-supported, one of the challenges to address is excess ad inventory or "availability" -- the commercials spots they can't sell to their own, endemic advertisers. Many turn to advertising networks to fill this space with cheap advertising, often to the detriment of the overall experience. The other option, one we employed at nossaTV, is public service announcements -- ads for non-profits, sponsors, trade, etc. -- from within our own space, action sports.

Assuming a publisher goes with the ad networks, the real challenge comes with placing their ads. What content gets the targeted, endemic ads? What content gets the scraps? (Or conversely, what content IS the scraps, that in turn winds up with the cheapo ads?).

Via Techmeme
Via MediaWeek

Top Web publishers are planning a revolt. Even as more prominent sites experiment with selling remnant inventory through online ad networks, and in some cases ad exchanges, ESPN.com is saying thanks, but no thanks.

The site recently cut ties with Specific Media and several other unnamed ad networks, and is taking the bold stand that ad selling that relies heavily on arbitrage and algorithms is not for them.

Jason Calacanis chimes in:

I've never liked the ad network business. They're a very short term solution and they are very damaging to high-end publishers because they create massive channel conflicts (i.e. many people selling your inventory confusing advertisers), they run horrible ads that people hate (think punch the monkey), and the space is filled with dishonest players (i.e. they promise to not run certain types of ads... but they do).

Via: The Jason Calacanis Weblog

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