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CNN Signs Multi Year Contextual Advertising Deal With Google

         

Brett_Tabke

12:47 am on Aug 29, 2007 (gmt 0)

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[google.com...]

Through this collaboration, the AdSense service places contextually relevant ads alongside CNN.com content, allowing both small and large advertisers to target CNN.com specifically and connect with high quality content and traffic. Under the terms of the deal, Google will serve as the exclusive provider of auction-based text advertisements throughout CNN.com.

incrediBILL

1:14 am on Aug 29, 2007 (gmt 0)

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Can we specifically target various parts of CNN?

I see a huge market for the "Just for Men" hair coloring on the Wolf Blitzer pages.

weeks

1:43 am on Aug 29, 2007 (gmt 0)

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LOL Bill.

As I have learned, there is not a lot you can sell in context with the news. This will work on CNN's health features and other non-news pages, but as for where most eyes are looking...zzzzzzz.

Gomvents

2:34 am on Aug 29, 2007 (gmt 0)

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"I see a huge market for the "Just for Men" hair coloring on the Wolf Blitzer pages."

That's great! That or Gillette razors...

Brett_Tabke

2:40 am on Aug 29, 2007 (gmt 0)

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help or hurt adsensers?

europeforvisitors

3:03 am on Aug 29, 2007 (gmt 0)



help or hurt adsensers?

No effect at all.

jhood

3:53 am on Aug 29, 2007 (gmt 0)

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It adds a warm glow to AdWords -- makes it "OK to buy," as the sales consultants used to say. Signing the big boys makes the rest of us look respectable, in other words. It's a big plus.

night707

3:54 am on Aug 29, 2007 (gmt 0)

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help or hurt adsensers?

Plenty advertising dollars will now be rolling towards CNN and presumably less to the smaller publishers,

europeforvisitors

4:32 am on Aug 29, 2007 (gmt 0)



Plenty advertising dollars will now be rolling towards CNN and presumably less to the smaller publishers

I don't think CNN will be siphoning off many ads for businesses that are selling Elbonian river cruises, hog-breeding pens, camera tripods, homebrewing apparatus, or the thousands of other niche products and services that aren't a good fit for a general news site.

night707

4:53 am on Aug 29, 2007 (gmt 0)

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europeforvisitors

Pls. consider for example CNN travel for Carribean Cruiseships and some Carribean Islands where clicks do generate up to a few dollars.

europeforvisitors

6:01 am on Aug 29, 2007 (gmt 0)



Sure, but the amount of traffic on a CNN article about Caribbean cruising won't be enough to siphon off a significant amount of CPC ad money for that topic. Ditto for a CNN article about digital cameras or radar detectors or real estate in Omaha. There might be a few topics (such as investing) where a news megasite like CNN will attract enough CPC ad money to shrink the budget pool for other publishers, but for most publishers, competition from CNN isn't likely to be a problem.

Small publishers should be worrying about real issues, such as whether they're offering content of enough intrinsic value to keep advertisers who now have placement reports and soon will be able to buy site-targeted CPC ads. As AdSense continues to mature, AdSense publishers will need to think more like real publishers and less like Web entrepreneurs.

zett

6:08 am on Aug 29, 2007 (gmt 0)

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Another advertising deal that probably get 100% revenue share. THAT is the really bad news for (smaller) Adsense publishers.

As CNN has content in all niches, be it news stories about lung cancer or Elbonian river cruises or advances in solar energy, all sectors/niches will take a hit. Probably not in a "my revenues have been cut by 50%" fashion, but it will support the continuing trend of shrinking revenues.

guru5571

6:11 am on Aug 29, 2007 (gmt 0)

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POW! Right in the blitzer. That's gotta hurt.

europeforvisitors

6:12 am on Aug 29, 2007 (gmt 0)



it will support the continuing trend of shrinking revenues.

Where do you get the notion that revenues are shrinking?

Your revenues may be shrinking, but it's always a mistake to assume that your own site's trend (whether it's up, down, level, or flip-flopping) is universal.

Back to the discussion at hand: What's CNN's daily reach as a percentage of Web traffic? About one percent, according to Alexa (and yes, I know that Alexa isn't perfect, so let's say anywhere from a quarter of a percent to two percent). Of that traffic, how much is on pages about niche topics, as opposed to mass-market topics like general news, sports, business, and entertainment? Probably not much, unless one assumes that most readers are ignoring the news headlines that dominate the home page, and that they're really coming to CNN.com to read about wireless routers, Kitchenaid mixer accessories, and B&Bs in Bologna. In short, for most of us, CNN simply isn't a competitor or a threat.

Still, some publishers are going to feel threatened (rightly or wrongly), so that leads to a question: If CNN really is going to siphon away your AdSense revenues, what's your backup plan?

potentialgeek

7:48 am on Aug 29, 2007 (gmt 0)

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Why the "deal" announcement? Doesn't NYT and who knows how many other media outlets already use Adsense? Will they all want a special announcement now, too?

It's probably just PR after losing some account.

p/g

P.S. europeforvisitors, do you automatically become one of Brett's mods when you hit 10,000 posts?

zett

8:12 am on Aug 29, 2007 (gmt 0)

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Your revenues may be shrinking, but it's always a mistake to assume that your own site's trend (whether it's up, down, level, or flip-flopping) is universal.

I am so sorry. I forgot to put that "on my sites" disclaimer to my posting.

What I meant in my post was this:

Probably not in a "my revenues have been cut by 50%" fashion, but it will support the continuing trend of shrinking revenues on my sites.

EFV, honestly, I did not mean to offend you or Google or anyone else in any way. I stand corrected.

More disclaimers (I am just being proactive here): Yes, I know that Adsense is a take-it-or-leave-it deal. I know that any party can terminate the contract at any time without the need to provide reason. Yes, I know that Adsense may not work for everyone, and that it might make sense to not use Adsense for certain niches.

night707

10:00 am on Aug 29, 2007 (gmt 0)

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Where do you get the notion that revenues are shrinking?

Would be interesting to have some poll on that.

Publishers are usually much better off with finding other advertisers than adsense.

justageek

3:53 pm on Aug 29, 2007 (gmt 0)

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Why the "deal" announcement?

I'm with PG on this one...why the announcement since the adsense has been on CNN for a long time now.

I don't remember the first time I saw one but I do remember what the ads are since the hardly ever change. Most of them are for reverse lookup, coffee exposed, criminal record checks and my favorite trip to Mars offer from example.com.

JAG

Visi

4:13 pm on Aug 29, 2007 (gmt 0)

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Hurts the adsensers with another huge premium publisher, with a high payout, taking a larger share of the fixed adsense revenue payout.

europeforvisitors

4:47 pm on Aug 29, 2007 (gmt 0)



Hurts the adsensers with another huge premium publisher, with a high payout, taking a larger share of the fixed adsense revenue payout.

Fact check: The AdSense revenue payout isn't fixed. It changes every quarter. (For example, it was $1.06 billion in 2Q 2007, compared to $1.05 billion in 1Q 2006 and $916 million in 4Q 2006.)

Also, since the agreement lets Google sell ads specifically for CNN, it means that ads won't simply be diverted from the existing ad pool. They're likely to be incremental ad sales in many if not most cases.

Side note: I just looked at the home page of CNN.com, and the three Ads by Google were for "Criminal Record - Warning," "Reverse Lookup," and "Fast Public Record Search." And I thought I had problems when I used AdSense on my home page!

netmeg

5:19 pm on Aug 29, 2007 (gmt 0)

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I don't see how it's going to affect AdSense users much at all.

However, it's all good for at least two of my AdWords clients, who are in niches that are frequently featured in Money and Health articles on CNN.

justageek

5:33 pm on Aug 29, 2007 (gmt 0)

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Side note: I just looked at the home page of CNN.com, and the three Ads by Google were for "Criminal Record - Warning," "Reverse Lookup," and "Fast Public Record Search." And I thought I had problems when I used AdSense on my home page!

It's not just the homepage. Those ads you mentioned, plus the ones I mentioned earlier, have shown up on almost all the pages for a long time now. Really odd.

JAG

europeforvisitors

5:44 pm on Aug 29, 2007 (gmt 0)



It seems to me that AdSense and CNN aren't a great match. Some big news sites are using Quigo's AdSonar, which groups ads by category (using human input) before applying a contextual algorithm. But who knows--maybe Google is dabbling with something similar and using CNN as a test bed.

netmeg

6:29 pm on Aug 29, 2007 (gmt 0)

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From another article I read somewhere, the 'news' angle to this story is more that they beat out Yahoo who was gunning for the deal themselves.

Murdoch

8:29 pm on Aug 29, 2007 (gmt 0)

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I don't think CNN will be siphoning off many ads for businesses that are selling Elbonian river cruises

EFV, can I take my Peugeot Lease into Elbonia? ;)

Can I sign on Dilbert as my additional driver?

I'll start to think that this whole CNN thing has been effective when Fox News follows suit.

Visi

9:33 pm on Aug 29, 2007 (gmt 0)

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When I mentioned fixed.... as in fixed percentage of revenues. If Google applies a higher percentage of their payout to another large premium publisher...less for us little guys.