From the NYTimes:
For all that has been written about Hulu’s easy-to-use, aesthetically pleasing interface, the advertising experience is equally important.
In the place of the long commercial pods that TV viewers have become accustomed to, only one ad is shown during each segment break on Hulu. Fewer ads make the ones on the site more memorable, Hulu executives say, allowing the site to charge higher prices for the ad units.
“The notion that less is more is absolutely playing out on Hulu,” Jason Kilar, the chief executive of the site, said. “This is benefiting advertisers as much as it is benefiting users.”
Yes! I think the biggest reason why TV is dying amongst the young and connected is that it’s over advertised. The powers that be prefer a lower unit cost (i.e., more cheaper commercial versus less commercials at a higher rate). And this in turn makes basic cable almost unwatchable due the number of commercial breaks, the intrusion of commercials into the content itself and the amount of advertising in each pause.
That’s why we see tons of list shows and reality shows that precap before the commercial break, and recap after the breaks — because people are surfing away and coming back, not sticking through the ads. The single 30 second spot in each commercial break rides the line of making people aware of who and what are sponsoring the program, and makes it quick enough to stick with it until the program resumes.
Which is great, but then the greed creeps in. If it works for one commercial, how about two? Or three? Marketers and the bottomline will always push for more. But that’s where we need ot realize that we can’t ruin another medium with advertising.
We have a responsibility ot figure out the new ways that will support the content and the enterprise, but also melt into the background and creep into consciousness.
I think we’re seeing that with things like the frontpage redesign of MySpace and the YouTube Homepage (where I just saw an interesting iPod Tough ad acrosse the whol top of the page).
But it’s still a long road until we can settle on the value of putting brand dollars into web and new media spaces, as opposed to conventional venues like magazines and TV.
7 Comments
October 30, 2008 at 12:32 pm
I think you nailed it. I find it refreshing watching content on Hulu and don’t mind the ads I do see, because they are less obtrusive. And I actually pay more attention to those ads, because I don’t have to wade through 4 or 6 or more. Less is more. Always has been.
October 30, 2008 at 12:43 pm
I always think of ad revenue as being like casino revenue. At first it seems like free money. But the more you chase it, the more it alters and corrupts your original goals.
Just ask the Ecumenical Liberation Army.
October 30, 2008 at 1:40 pm
Ads, be they roll in, roll out, giant cover-half-of-what-you-are-watching super annoying kind are completely wrong for on-line video. Dinosaur solution applied to new media = fail.
There are plenty of tools to measure attention ( APML ) and Hulu requires a sign-up for R-rated contented, so they have my juicy demographics.
Having a way to measure my attention to the single mouse click and my demographic data is worth a fortune. Where’s my cut?
October 30, 2008 at 3:28 pm
I think this is a very good blog.
October 31, 2008 at 5:53 am
Now if only Hulu varied which ads they played during a show. It has been my experience that they play the same add over and over for a show. It would make so much more sense if they varied the add. Seeing the same “I’m a PC” add 7 times when watching Chuck is annoying, even if it does only come in 15 second spurts.
November 1, 2008 at 7:16 am
Watching Chuck without commercials is annoying.
I agree with the blog post, though. Hulu is wonderful.
November 1, 2008 at 6:48 pm
They suck. We’re better hulahoop and other services have Hawaii 5-0, I mean, who watches that? We have Entourage, The Hills, and everything else – you know, shows people actually watch.
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