Ad Rates Higher for Online Versions of Popular TV Shows

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PCWorld reports that advertising rates for popular television shows such as The Simpsons and CSI are actually higher online than on prime-time TV. According to Bloomberg, ads cost about $60 per thousand viewers for a spot on Hulu or TV.com, but will only cost $20-$40 per thousand viewers on regular televison. What’s causing this change?

PC World explains:

Online viewers have to actively seek out the program they want to watch, so advertisers end up with a guaranteed audience for their commercial every time someone clicks play on Hulu or TV.com. Online programs also have an average of 37 seconds of commercials during an episode, while prime-time TV averages nine minutes of ads.

David Poltrack, chief research officer at New York-based CBS, cited a Neilsen discovery that fewer online ads means viewers are twice as likely to remember a commercial they’ve seen on Hulu than on television, Bloomberg reported.

PC World: “The Simpsons: Worth More on Hulu than Fox”

[via Adam Leibsohn]

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