New York Times To Improve Banner Ads With New Dynamic Ad Unit

What Happened
The New York Times says it is moving away from standard banner ads and replacing them with a proprietary display ad format called Flex Frame. Designed to be more “native” on its website, the new format will appear along the top of webpages, in between paragraphs, and in feeds of content elsewhere on the site. The horizontal display ad unit will dynamically adjust in size and layout across different devices and window sizes.

What Brands Should Do
The Times is commendable in its efforts to modernize its display ad business and improve the experience for users and effectiveness for marketers. This initiative offers an example of how publishers are trying to deal with the rise of ad-blocker usage by improving the ad experience and adopting new ad formats like this helps brands better engage audiences, and brand marketers should be aware of new ad products available and work with publishers to make sure their ads are being delivered in a consumer-friendly way.

For more information on how brands can deal with the increasing consumer aversion toward ads, check out the Ad Avoidance section in our Outlook 2016.


Source: Wall Street Journal


Why New York Times Switched Its Mobile Revenue Model

Read original story on: The Verge

The New York Times just released an update to its iOS app, NYT Now, that fundamentally altered the prestigious publisher’s business model on the mobile platform. Instead of a subscription-based model priced at $7.99 per month for full digital access, the app is now retooled to be ad-supported, granting all interested readers—with or without subscription—access to an editorially curated selection of articles. In addition, the relaunch of the app is sponsored by Delta airline, with future brand sponsorships to come.

The choice between subscription-based model and ad-supported model has long been a dilemma for media owners to consider when it comes to entering the mobile space. Many prestigious content brands, such as HBO and ESPN, have gone with subscriptions so as to keep their offers consistent across platforms. Yet more and more content owners, especially digital publishers, are starting to realize that the old subscription-based model that worked in print doesn’t translate well in the mobile-first world.

The bottom line here is, the choice between the two revenue models is not so clear-cut. It takes careful evaluation of various factors for brands to figure out which one works for their mobile offerings.