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Old 05-05-2008, 03:01 AM  
kane
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Join Date: Aug 2001
Location: portland, OR
Posts: 20,684
Nice article/post about how giving away content won't work in the long run

This is off of Mark Cuban's blog. He always has some interesting insights into things.

http://www.blogmaverick.com/2008/05/...d-to-disaster/

He mentions an article written that studies how current big networks are facing big issues with online content. The person that wrote the article says that most people figure if it is online it should be free so they won't pay. If they won't pay then it needs to be supported with advertising revenue, the problem is that revenue isn't enough to support it. They talk about how if people have to watch more than about 20 seconds of commercials/ads before the video they want plays many click away or leave and go elsewhere.

It is an interesting piece to say the least and it really compliments a discussion that was going on the other day about how to get revenue from video in the new age of the internet where everyone expects everything to be free. In th end what Cuban and this writer find is that it will eat itself and in the long run do more harm than good that if you are expecting an online show that is 22 minutes long to just be supported by 2 minutes or less of advertising then those people will need to pay more for that advertising and will it actually be effective?

We aren't facing these exact challenges, yet, but it could be a glimpse of our future.
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