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In today's dynamic market, advertising is a cornerstone of app monetization, with the U.S. witnessing a $21.1 billion growth in online ads in 2007 alone. Industry leaders like Jim Scheinman, Seth Goldstein, and Murtaza Hussain explore innovative strategies in advertising models, including CPM, CPC, CPI, and CPA, along with emerging trends in social media and viral communication. This summit highlights how apps can effectively leverage advertising to engage users, gather data, and drive substantial revenue, paving the way for a healthy online ad market.
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Advertising & Monetization: Turning Apps into $ • Jim Scheinman, EIR at CRV • jscheinman@crv.com • Seth Goldstein, CEO, Social Media • Troy Young, CMO, VideoEgg • Scott Rafer, CEO, Lookery • Murtaza Hussain, CEO, Peanut Labs
Healthy Online Ad Market… • $21.1 billion for U.S. Internet ads in 2007 • 25% increase over 2006 (IAB) • $45 billion for Global Internet ads • 7.4% of the $600 billion global advertising market (Kelsey)
Current Monetization Market • Advertising • CPM • text/banners/videos • CPC • CPI • incentives (get 100 points) • CPA • Surveys / CPE • Transactions • Gifts • Subscriptions (superpokes)
1. Melinda engages with an ad by selecting where she’s at. Clicks on “Lets Party SocialMedia Ads 2. Melinda’s friends see what she’s interested in doing through the ad. Viral communication continues 4. Interactions are measured & reported to advertiser as well as applications developers 3. Viral interaction with ad continues 6 6
Lookery X + = 39
Advertising & Monetization: Turning Apps into $ • Jim Scheinman, EIR at CRV • jscheinman@crv.com • Seth Goldstein, CEO, Social Media • Troy Young, CMO, VideoEgg • Scott Rafer, CEO, Lookery • Murtaza Hussain, CEO, Peanut Labs