Online news and advertising…


Depressing news (not that we didn’t know it) from our friends in the VC business:

To get to $50m in revenue you would need 50 billion pageviews in a year, or just over 4 billion per month.

The BBC gets a billion pageviews a month. On the figures above, that would bring in about $12.5m per annum – or about 50,000 licence fee payments.

,

5 responses to “Online news and advertising…”

  1. To me, this seems like wonderfully positive news, but that’s because I prefer people contributing for reasons other than ad revenue.

  2. I know what you mean Mark – but I’m thinking of who will pay the bill for future newsgathering and reporting e.g. a Baghdad bureau…

  3. Adrian – that calculation was based on a social media site, which might only get $1 in ad revenue per 000 page views. BBC would get a lot more than that (as the original model posited) – at least $10 per 000, maybe as much as $20. Still a long way from the billions the Beeb gets in license fee payments, of course….

  4. Thanks Lloyd – I was thinking of it as a mainly news site (the news takes 60% of its hits) and putting it in category 1. It did seem a long way off the valuations the Beeb was putting on its business…what do you think – is the news a commoditised part of what the BBC does? And what would the ad figure be like for other news sites? I know – questions, questions!

  5. Adrina, Lloyd is exactly right. About.com got $50 million revenue a year or two ago and it keeps growing. The RPM assumption of $1 is very low, essentially for “content” advertisers do not value — i.e., ours — ads that do not perform because we, in turn, do not value and click on them. The BBC and its content and relationship are entirely different.