A look at how last week’s news affects mobile publishers…
Facebook Quarterly Profit Rises on Mobile Ad Growth
Facebook’s total advertising revenue rose 49 percent in the third quarter to $10.14 billion, about 88 percent of which came from mobile ads. That represents a 79 percent jump in profit and much of that was propelled by video advertising. Analysts on average had expected total ad revenue of $9.71 billion, according to data and analytics firm FactSet. Net income rose to $4.71 billion, or $1.59 per share, from $2.63 billion, or 90 cents per share. Total revenue increased 47.3 percent to $10.33 billion.
MRC Finalizes Mobile Ad Measurement Guidelines
The Media Rating Council (MRC) has announced final guidelines for the ad industry’s new standard for mobile advertising. These guidelines, which deal with mobile in-app and mobile web measurement, were developed in conjunction with the IAB Tech Lab and the Mobile Marketing Association. The revised guidelines call for ad impressions to start being counted with a “count-on-begin-to-render” minimum, which the MRC said occurs later in the ad-serving process than previous guidelines allowed. Accordingly, references to ‘served’ impressions have been removed from these updates,” the MRC said in a statement, adding: “The change better aligns measurement with the counting model in place for viewable impressions, as it sets as a foundation those impressions that have rendered and therefore have the potential to be viewable impressions.”
NY Times Revenues Boosted by Digital Subscriptions, Online Ads
The New York Times reported higher revenue and profit in the third quarter as growth in digital subscriptions and online advertising helped offset continued declines in its print business. Digital subscription revenues, which include subscriptions to the newspaper’s crossword product and its new paid cooking app, rose 46 per cent to $85.7m. The newspaper added a net 154,000 digital subscribers in the quarter, bringing its total online subscriber base to nearly 2.5m. Total subscription revenue rose 14 per cent to $246.6m. Online advertising sales rose 11 per cent to $49.2m, now accounting for 43 per cent of total ad revenues.
CNN Plans to Offer Subscriptions to Digital News Next Year
After investing in digital verticals focused on business and politics and acquiring an online-video startup, CNN is gearing up for another big step: It plans to launch tiered subscription offerings for its digital news business as early as the second quarter of next year. A proposed premium offering will give subscribers access to special content on topic-specific verticals such as CNN Money and CNN Politics, built around network personalities. A second option will provide additional, though less specialized, content across all of CNN’s sites. Pricing hasn’t been finalized but it is part of an effort to reach $1 billion in digital revenue by 2022.