The Next Web

Cubics serves tons of ads across social networks, no word on actual return

Written on July 23, 2008 – 3:50 pm
Robin Wauters, Next web enthusiast & Plugg organizer

Cubics was the one of the first advertising networks designed specifically for social networks, and currently boasts support for most major social networks including Facebook, MySpace, Friendster, Bebo and others. The company prides itself on displaying highly targeted ads, based upon detailed demographic, interest, and behavioral data, a strategy that led to its acquisition by online targeted advertising house Adknowledge in December of last year.

Cubics sent out a press release today about the fact that they now apparently serve more than 10 billion ad impressions per month on social networks (hat tip to MarketingVox). The company claims this number far exceeds those of Social Media, citing a volume five times as large. The release also correctly states that more and more time is spent on social networks, and that the engagement of people with social applications is very high.

While this may be true, social networking sites are notoriously hard to monetize, and the company remains dead silent on the actual return the ads they serve yield for their customers. For reference, TechCrunch yesterday wrote about Lookery lowering its guarantee on Facebook ads to a mere 7.5-cent CPM.

It’s unfortunate that Cubics didn’t talk about their current numbers, challenges and opportunities. We could have a learned a lot more than the fact that they serve billions of ad impressions on social networks that everyone else says rarely get noticed or clicked on.

Update: Cubics’s general manager and PR manager responded in the comments with some context, so scroll down for their perspective.

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adknowledge, bebo, cubics, faceobok, friendster, myspace, social networking monetization, social networks, targeted ads

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AOL’s advertising division heads to Europe

Written on June 7, 2008 – 2:48 pm
Ernst-Jan Pfauth, editor in chief

AOL used to be world’s largest walled garden. Yet shortly after they were incorporated by Times Warner, the walls collapsed and the majority of garden visitors left. But during the past few years, the gardener has acquired quite a number of companies - like Bebo, Buy.at and Goowy media. All these web services have thing in common: they’re focused on advertising. Within a very short while, AOL has become an important advertising company. Now it’s time for the former Internet giant to bring structure into the company.

AOL Mountain View Office

The AOL executives started Platform-A for that task last September. This division houses ad sales for all its sites, ad network properties and supporting technologies. Platform-A has integrated sales for Advertising.com, AOL-run sites, Tacoda, Third Screen Media and AdTech. After cleaning up the house in the U.S., Platform-A now continues in Europe.

AOL will merge its existing European advertising subsidies - Advertising.com, Adtech, and buy.at - into Platform-A’s international operations. The European HQ is based in London and former Advertising.com international head Brendan Condon will be in charge. He can offer its American customers a more global appeal by placing their ads on European websites. With more social networks becoming global entities, advertisers will surely welcome this move by AOL.

acquire, adtech, advertising, advertising.com, aol, bebo, buy.at, Europe, globalization, goowy media, platform a

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AOL’s comeback continues by buying social network Bebo

Written on March 13, 2008 – 1:51 pm
Ernst-Jan Pfauth, editor in chief

AOL is continuing its buying spree by acquiring Bebo. Reuters reports that Time Warner’s Internet division bought the social network for 850 million US dollars, in cash.

Bebo has 40 million users and may call itself no.1 in the UK, Ireland and New Zealand. In the US is has a respectable third place behind MySpace and Facebook.

“Bebo’s dynamic management team recognizes that the Internet is less about destination and more about connecting people, culture and lifestyles,” AOL President Ron Grant said in a statement. I’ll translate it for you: Now we can target the adds of recently bought online affiliate marketing network Buy.at and the widgets of Goowy Media even better! Moreover, we’re catching up with Microsoft again!

One thing is for sure though, thanks to mother company Time Warner, AOL is making a remarkable comeback as an Internet giant.

[WebTipr: David Petherick, United Kingdom]

acquire, aol, bebo

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