Which problem is solved for publishers?

Which problem is solved for publishers?

Publishers who produce articles and complex high-quality journalistic content are faced with the challenge that the revenue from advertising played out around their online articles does not cover the cost of the online platform. Much less so to make a fair profit.

They also face the problem that many users are annoyed by the current advertising formats. Be it banners that block the text or pre-rolls before videos. The result: They stop watching the video and sometimes even leave the page, because they are annoyed. Which means for the publisher: Decreasing length of stay, lower AIs, less time and possibilities to refinance his expenses with the user's visit.

But users want more and more videos, which are also very costly to produce, procure and publish and need to be refinanced by the website. Currently mostly pre-rolls are the chosen advertising format.

 

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Then there are the falling prices for these ad formats which the user don’t even like. And the brands neither because they don’t want their product associated with the negative feelings towards these ad formats. Not to mention that it’s still difficult to prove the effect of online ad formats anyway.

But the challenges continue: only the ads that are visible at once at the top of a page are adequately remunerated. Ads placed below this field of view achieve only a fraction of the price, like a “Last Minute Price“.

 

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If a video is placed at the right place at the right time to the right person - namely the one who actively is looking for this information in this very moment - it unfolds its full effect. At Spoods we call this "Content needs Context", because the appropriate video needs the article and then enriches it and the user’s experience by giving additional infos without being annoying. If this happens with an ad in the “Last Minute Price“ area of a page where there is currently very little revenue creates a new refinancing option for the publisher.

Spood’s non-obstrusive ad format contributes to the refinancing of the cost of articles and operation of online platforms while not competing with other advertising formats.