recognizing Arthur C. Clarke’s third law

Those commercials was our intermissions

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simpsonsTop-rated TV shows, like The Simpsons and CSI, can now command higher ad rates online than they can for their regular prime-time showings. A Bloomberg story goes into this in some depth: The Simpsons, for example, gets $60 CPM on Hulu and $20-$40 CPM during prime-time.

Gigaom emphasizes that Hulu caps its ad breaks and therefore its potential revenue. Analyst Michael Nathanson pointed out that a Simpsons episode on Hulu has just 37 seconds of ads compared to a broadcast episode’s nine minutes.

It’s nice to get some numbers starting to prove the higher CPM value that should be obvious intuitively. (It’s also amazing how surprised some TV traditionalists are by these numbers.) Online viewers have actively chosen to watch the program instead of finding the least-bad show for while they zone out. They also know that online ad breaks are short – therefore viewers sit through them rather than go to the bathroom or refrigerator.

(Title lyric Jim Jones [nsfw].)


Written by chris

June 25, 2009 at 10:21 pm

Posted in Hardware, Television

Tagged with , ,

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