DISQUS

alan p · 1 year ago

I agree with your thoughts, and I go back to what I wrote on Facebook 6 months ago here:

http://broadstuff.com/archives/484-What-you-hav...

And I was calculating on $1 CPM to be generous, whereas $0.15 emerged yesterday as more like the mean CPM.

nic · 1 year ago

Tks Alan - I agree, nothing new here in terms of analysis, the noteworthy thing is that the world at large is starting to buy into it.

And from what I've heard I would guess that the mean CPM is well below $0.15

Constantin Ferseta · 1 year ago

nice post.

indeed, after several years of building the trafic via honest-or-not mailings, maybe this movement will convince some original heavy users (that left) to come back. After all, the fashion hype will start to dissapear, so they must keep increase the added value.

Joshua March · 1 year ago

Hi Nic,

Good post - it's been really good to watch Facebook tighten up its spam rules over the past couple of months, not just as a user, but also from a business perspective. As you say, making it harder for spammy, low engagement apps also makes it better for high engagement apps - with obvious benefits for companies or communities who provide this.

I'd also point out that advert monetisation isn't the only route - click-through rates will always be low on social network applications, and in fact the more you engage a user the less likely they are to click away. However, this engagement can be of huge value to brands in and of itself, and I expect that we'll see many more sponsored apps and applications created exclusively for brands.

Josh

nic · 1 year ago

Tks Josh. I agree with your second paragraph, although I somehow suspect that apps commissioned by brands will not turn out to be high engagement, or not that many of them anyway. I would guess the model is more likely to evolve along the lines of product placement or in-game advertising, where brands compete to become associated with high quality content.