What We’re Reading and Saying: Online Advertising Surges

The media and tech digerati were all abuzz last week about the continuing growth of online video and online advertising (we can’t blame ‘em!), and we had some thoughts on the continuing debate over whether it’s best to give away digital content first to build a large user base, or develop unique content with a subscriber base to quickly create revenue and profits.

First, Give Away the GameWall Street Journal

Jon’s point: To take MMOs and social gaming beyond hardcore gamers to a broader mainstream audience, you need to allow a lot of free sampling and provide a “pathway to commitment.”  The ability to interact and socialize with friends around content is a great way to keep people engaged in an experience, because socializing is much easier than succeeding at a game.  Maple Story is a great example of this.  The longer they hang around, the more likely they’ll purchase virtual goods.

Full Length Shows: Shifting the Dynamics of Online Video ViewingMediaPost

Jon’s point: The more things change . . . Viewers are looking for similar experiences online as off.  It’s not just about full length content, either.  The group experience of watching TV in your den together or going to the movies is also migrating online.  Long-form content lends itself to socializing, not just solitary, on-demand experiences.

Internet TV More Popular Than 3-D TVNewTeeVee

Jon’s point: Not surprising that Internet TV is surpassing 3D TV, at the moment. Internet TV is here now: it’s being built into many TVs and it satisfies an existing desire – to watch online content and to stay connected socially with your friends through chatting and other social applications. 3D TV, on the other hand, is still out of reach for most consumers.

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