Sponsored content may not be new, but its role as a replacement for traditional advertising certainly is. So is the new acceptance of the collapse of the long-standing wall that separated content and advertising. What makes this new situation acceptable is transparency about the sponsor and assurance that the editorial content was created independently of the sponsor.
These were among the takeaways of a lively discussion among content and advertising experts about Content and Commerce organized by Gotham Media Strategies and Frankfurt Kurnit at yesterdays digital breakfast. Rick Kurnit, of Frankfurt Kurnit, moderated; Glenn Hall, of TheBlazecom; Eason Jordan, of NowThisNews; Scott Kurnit, of KEEP Holdings; Rob Rasmussen, of Story Worldwide and Rebecca Sanhueza, of Time, inc. were panelists.
However “native ads,” i.e., branded content, is not acceptable when it tries to trick people into believing it’s not advertising. And everyone agrees that advertising sucks when it’s annoying and intrusive. But even overt paid content, i.e., ads, can be great. Three campaigns were cited that have won universal acclaim; Nike’s advertising, which delivers inspirational content that empowers consumers; Dove’s, which establishes a relationship with consumers about beauty and how you see yourself and is more like direct marketing, and AT&T’s It’s Not Complicated series, which uses kids’ imaginations to turn boring brand attributes into pure fun.
Interestingly, online e-commerce businesses like KEEP, are bypassing advertising altogether and simply delivering thousands of products for consumers to buy and share.
So then comes the question can any brand create content? The answer is a flat No. Not all brands have the legitimacy to create content. They need to have both a point of view that carries throughout all the brand’s actions and audience respect for that point of view.
The big question about unbranded content, i.e., pure news, or journalism, is the business model. Originally, this relied on the monopoly of news media, which enabled content scarcity and exclusivity. Gone! Today, we have content abundance and ubiquity. One requirement has never changed: relevance to viewer/user interests and needs. So traditional media, like Time Inc.’s magazines, aim to serve both consumers and advertisers by delivering targeted niche audiences to advertisers and targeted content to those audience segments.
What TheBlaze is attempting carries this one step further, developing special content products appropriate to specific advertiser messages and also relevant to TheBlaze audience.
What’s the future business model for journalism? No one knows. But probably a hybrid of subscription fees and advertising with quite probably some commerce as well!