Widgets and Advertising

There is an interesting debate going on about Monetizing Widgets, in which Brad Feld summarizes the following possible business models:

1. a new form of ad network: analogous to DoubleClick
2. a widget management system (WMS): analogous to CMS’s
3. a content distribution network (CDN): analogous to Akamai
4. an analytics business (Stats): analogous to pick-your-analytics package

Since our background is in advertising, model number one is most interesting to us. Brad Feld thinks, that this won’t be a big moneymaker and draws the analogy of something like Doubleclick for widgets.

We think this is the wrong approach. We don’t think a new kind of Doubleclick will emerge, trying to put ads around widgets and thereby trying to monetize the widgetspace. To monitize the widgetspace, a different path has to be taken. A path that involves the user more than the advertiser. A path that works well around The Long Tail and has less to do with campaigns as we know it.

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