SM: Where do you see Federated Media? RF: I really like what they are doing. We don’t look at them as a competitor, but we look at them as broadly in a similar space to what we do, and they are very, very smart.
For Google and Yahoo, it’s not that they don’t play in the brand advertising world, but clearly most of their money comes from direct response advertisers looking for something that will be measured purely in a cost per conversion basis, regardless of how it is priced.
What I like about FM Publishing is this … If you look at the 60% – 70% of ad spend in the US, online and offline, that is spent on brand-building advertisement where the content matters, the community matters, the relationship matters.
FM and Glam and others like them are really doing an excellent job marrying both the reach you can get from an ad network, with the high quality, high equity brand placement of a real category expert. I am not an FM publisher, and I am sure they have their detractors as well, some will like them and some won’t, but we at Adify think what FM is doing is really an important next phase of the Internet.
SM: Yes, FM is tapping into that much larger brand advertising budget inside of top advertisers, and so is Glam. These are primarily display advertising / CPM based networks.