02 October 2007

Adblock and Alternative Business Model

There have been a number of posts recently like this one relevant to the subject of micropayments and Adblock. Many of the websites depending on advertising to keep it alive are suffred from the use of Adblocks, extention for Firefox. This article presented some Alternative Online Business Models. Even though all of these models are nice complements to advertising but there are no standalone business models for anyone trying to generate serious revenue online.

Couple months ago, Joe, co-founder of Rouxbe, came up with a very interesting variation on the alternative sponsorship model. Getting advertisements you like to see!!! Take a look at this brilliant model and let's discuss about it.


jesus said...

Targeted ads??? mmm I'm not really sure what to think, it sounds like a good idea if you are one of those who enjoy online shopping, but most people do not like the idea of 'the internet' knowing their spending habits.

about the Adblock, I can't see how they are attempting against interactive advertising, if somebody decides to use Adblock is because that person does not like seeing advertisings online, now if you are going to push and show that ad once and again they are not going to like your ad, they are going to hate it, therefore loosing possible customer.

Eung Do kim said...

Most of people visit website with some kind of interest on it. If websites gave you the ads that meet your interests, it will not be so annoying to see those ads. Much better than the other kind of ads we have now.

Imagine, you are interested in BMW car and you visited one of motorcycle website, and it shows you the ads only about BMW car like recently released BMW pictures, link to TV commercials, link to price & performance comparison etc. And If you are technology savvy and interested in Samsung Mobile phone, you could have ads like newest Samsung mobile phone, link to the newest TV commercial, exclusive special offers, etc. I think it's worth to give your interest to see the ads you like.

And remember, as Joe suggested, "There are no large or expanding banner ads, no 15 or 30 second ads before or during the content and no pop-ups on the website. Sponsors do get to put their logo on the page and are able to provide short messages to you and links to their offerings, but these links are completely “opt-in” leaving you in full control." Which means you will get the ads not so annoying and you are in full control over them.

Joe said...

Hi there,

Joe Girard, CEO from Rouxbe. Just came across this post. Love the discussion and thought I'd contribute (if I might)

Our business model is much more that targeted sponsorship / advertisement.

I want you to consider the following: You buy a Thermador range. You pay thousands of dollars. You are not the greatest cook in the world.

Rouxbe to the rescue. Rouxbe aligns with premium food and beverage related partners (primarily) and allows its partners to send their consumers to our online cooking school to help them have better experiences with the products they buy. It's about engagement, customer service, providing a valuable service that is ultimated desired by the consumer (who has opted in) and then having a meaningful dialogue with them. This type of engagement builds brand loyalty and develops positive brand relationships. In the end, it's much cheaper to increase sales from happy customers than it is to acquire new ones.

The key for us is to find partners that are okay to simply provide the service. People are here to learn how to cook. Respecting this is the first step to building trust and a positive brand relationship. We help our partners make meaningful and very respectful connections with their consumers (not to push ads).

Time will tell if we're on the right track but thanks for the dialogue.