R E S E A R C H
THE ONLINE MEDIA AND ADVERTISING PRIMER
A Compendium Of Information On Online Media And Advertising
The Internet media landscape hasevolved significantly over the past 5 years and numerous trends have become both apparent and subtle. While things like search and display advertising have become ingrained and accepted as a significantpart of the Internet, this section of the report focuses on 5 trends that we believe will be critical to the Internet media space over the next 5 years: Social. Social companies have worked tocapitalize on their massive user bases and virtual goods have become an alternative way to advertising in the quest to monetize the audiences. Additionally, the data inherent in the interactions on socialnetworks has become more valuable to advertisers and many companies are seeking ways to utilize it in various targeted products. In short, social has pervaded the web and we expect to see continued growthin the industry leaders and some intriguing smaller players as a result. Paid Services. While advertising tends to be the primary way many websites are monetized, there have been a growing number ofonline services that have charged consumers directly for service. We expect a growing number of sites to attempt to move in this direction, such as newspapers moving to a micropayment model for somecontent. Established segments in the paid service vertical include online dating sites, ancestry/genealogy sites, and domain registration. Ad Networks and Syndicated Content. Ad networks play animportant role in aggregating audiences for advertisers, but the term ad network does not do justice to the targeting technology that the more advanced players have developed. We believe there are three keyareas to consider in ad network targeting: demographically relevant content, advanced contextual targeting, and behavioral targeting. Furthermore, we believe syndicated content models, which...