DISQUS

Matt Sanchez · 9 months ago

Thanks for weighing in Jonas. We think performance is critical for all involved: advertisers, publishers, and users. Has to work for everyone. Turns out not all ad placements or impressions are equal. All too often brands aren’t getting the attention they think they are paying for. Tons of issues: out of frame placement, clutter on the page, time the user on the page, multi-tabbed browsing, ad blindness, etc. Advertisers are taking a lot of risk. That’s why we switched to CPE (Cost per Engagement), and it's far more accountable for the advertiser.

Our approach is working for many publishers. High engagement generally means a great ad placement with high branding value, high awareness and interest from users. Of course, because it’s a brand performance model we see a huge range in performance, and as a result eCPM, across our publishers. There are publishers earning $0.30 - 0.50, but we have plenty of publishers doing very well, with the high end of our range north of $8.00 eCPMs.

It’s working for users too. They’re in control and opting into ads at very healthy rates, spending meaningful time in the experience (often more than 20 seconds on average).

Moves like the OPAs today are an indictment of the effectiveness of traditional display banners. We think there are better ways to create value for everyone involved and we’ve been delighted by the response from our partners, advertisers and publisher alike.

Matt Sanchez
CEO, VideoEgg

snickers trousers · 9 months ago

thanks for keeping us posted

kelly

Jonas Halpren · 9 months ago

Problem is they pay on performance so pubs don't earn very high eCPMs for what is essentially a brand ad. So of course their revenue is growing 1) it is a start up, so the % is moot 2) advertisers on pay for engagement with the unit, so their is no waste for them. Basically they are getting branding on the cheap. I like the ad unit a lot, just not their pricing model from a publisher view. VideoEgg, prove me wrong.