Original Article: Contently, “The Financial Times on Why They Ditched CPMs For A New Ad Currency: Time Spent.”
The Financial Times announced that it will sell display ads based on the time its audience spends with its content, as opposed to cost per 1,000 impressions (CPM) or clicks, according to Contently.
The FT is perhaps unrivaled — yes, unrivaled — in its ability to stand up to advertisers and say, “We are worth more.” In addition to basking in an 8% year-on-year print and digital subscription increase, the minimum yearly subscription to FT is about $450/year, compared to the minimum New York Times digital subscription of about $169/year.
FT readers, in other words, are consumers of discerning taste. The general laws of Internet media — ever increasing supply of content with a fixed demand leading to lower and lower CPMs — do not apply to the stand-alone universe of FT. So what to do when Chanel’s media buyers start to sniff out a less-quality business broadsheet with higher volume …Business Insider, perhaps? You redefine the metric for success.
FT commercial director of digital advertising Jon Slade tells Contently that FT viewers spend six times more time on the site than other business news sites, and that “one hour is our currency, with a minimum of five seconds of exposure. So we could sell you 720 impressions at five seconds or other lengths of exposure, depending on the total time you would like.”
Cue curling of stiff British upper lip…