While YouTube is continuing to break it’s own traffic records, this week announcing that they have hit a milestone of 100 million videos served every day and MySpace has hundreds of millions of users, and ridiculously high monthly traffic. They both provide proof that traffic just isn't enough anymore. Can
these companies find a way to monetize these millions of mouse clicks or are these highly talked about start-ups just more Silicon Valley one million-click wonders?
In recent months, YouTube has experimented with Yahoo and Google text-based ads, and last week it launched a banner ad campaign for Disney's “Pirates of the Caribbean: Dead Man's Chest,’’ (financial details have not been released). News Corp. has only been able to sell a few banner ads for MySpace and that problem is further compounded by the fact that they don't even get the lucrative blue-chip brand advertisers to buy those banner ads despite the fact that its member demographic is the young and malleable crowd after which marketers lust. Links: USAToday.com 07/16/06 - YouTube serves up 100 million video per day, MercuryNews.com 07/12/06 – How will YouTube make Money, internetnews.com 07/14/06 – Is there Money in MySpace
The summer has never been a high point for TV ratings for the big four broadcast networks however
the first week in July 2006 represents a new low of lows. Fewer people watched the Big Four networks last week than at any time in recorded history. CBS, ABC, NBC and Fox averaged 20.8 million viewers during the average prime-time minute last week, according to Nielsen Media Research. That sunk below the previous record of 21.5 million, set during the last week of July in 2005. Link: Yahoo News, July 11, 2006 – A low watermark for broadcast TV viewing
MultiChannel News reports that in beta testing from Rentrak Corp. is a new video-on-demand measurement application that will deliver details about viewing durations and overall impressions delivered by TV advertisements embedded into on-demand viewing sessions. The “AdEssentials” product is aimed at providing more context around viewing behavior associated with the nascent on-demand advertising category, which poses challenges because viewers can usually fast-forward through commercials.Senior VP Cathy Hetzel says the new tools also will divulge commercial views by time of day and will display ZIP-code level demographics. She sees some creativity emerging in the on-demand advertising space as sponsors figure out ways to integrate with the medium. One finding: placing 15-second “bumper” spots preceding on-demand programs seems to ward off fast-forwarding, presumably because viewers figure skipping the abbreviated messages isn’t worth the bother. Rentrak already tracks on-demand viewing metrics for cable programmers and MSOs including Comcast Corp., but the new product will focus on advertising instead of program viewing.
Mobile phone applications and internet access are improving consumers ability to seach out information and save time from daily routines today more than ever. Mobo, launched in May 2006, lets NYC (beta test) customers order from restaurants and pay for meals using sms. 
How it works? Customers create an account, which includes their credit card details. After signing up for the service, they can order online via www.gomobo.com, or by text message/sms. The order appears on the restaurant's in-store Mobo system, and is automatically billed to the customer's credit card. The restaurant confirms the order, and the customer receives a text message stating when the order will be ready for pick up. Each affiliated restaurant has a separate Mobo Pick Up counter, so Mobo users can walk straight to the counter, state their name and last four digits of their phone number, and pick up their food.
According to Mobo, the benefits for partnering restaurants are increased profits from new Mobo customers, higher average order amounts, increased customer loyalty and improved operating efficiency. Customers save time (which IS the new currency), get a bit of that oh so coveted VIP treatment with their takeaways, and vendors increase profits. I see this as being a viable platform to add sponsorship elements to! UPDATE: September 20, 2006 I ran across this in the Wall Street Journal - Text Messaging Speeds Up Fast-Food Orders
While YouTube is continuing to break it’s own traffic records, this week announcing that they have hit a milestone of 100 million videos served every day and MySpace has hundreds of millions of users, and ridiculously high monthly traffic. They both provide proof that traffic just isn't enough anymore. Can
these companies find a way to monetize these millions of mouse clicks or are these highly talked about start-ups just more Silicon Valley one million-click wonders?
