Restructuring AOL Admits Ad Revenue Woes
ADOTAS – Restructuring and reinvention is no tea party — take it from AOL. As a result of all the shedding it’s done since spinning off from Time Warner in December, total advertising revenue dropped 27% year over year in the second quarter, with a 52% decline in international display revenue, or about $10 million dollars.
That dip may drop some jaws, but it’s not bad considering that in January AOL closed several overseas operations — including Germany, Sweden and Spain — that CEO Tim Armstrong called “wildly unprofitable.” In addition, AOL said it had drastically reduced operations in France, Germany and elsewhere around the world
Total display revenue fell 13% ($18 million) as domestic display took a 7% dive — which executives subscribed to halving available domestic inventory. In general, AOL estimated that 17% or $70 million of $110 million ad revenue were a result of self-enforced initiatives.
But there’s a bright side, Armstrong said — homepage campaigns sold to “premium advertisers” (the big brands) increased from 40% in second-quarter 2009 to 60% in second-quarter 2010.
Reader Comments.
No comments yet
Leave a Comment
Article Sponsor
More News
-
Loading ...
Latest News
- Infographic: HootSuite Analyses Social Media Impact of Super Bowl Ads February 7th 2012 ADOTAS - So, it’s the Tuesday after the Super Bowl, [...] more »
- Facebook to Serve Mobile Ads in Coming Weeks February 6th 2012 ADOTAS – According to a Financial Times report, Facebook will [...] more »
- Survey: 39 Percent of Mobile Users Responded to Super Bowl Ads Via Mobile February 6th 2012 ADOTAS - During the Super Bowl yesterday, mobile ad network [...] more »
- Sponsormob Leads the Way Into RTB for Mobile February 3rd 2012 ADOTAS – For more than half a decade, Berlin-based tech [...] more »
- Weird Study: Mobile Purchasing While in the Bathroom on the Rise February 3rd 2012 DM CONFIDENTIAL - According to 11mark, three-quarters of Americans with mobile [...] more »
- This Week’s New Hires February 3rd 2012 ADOTAS – Another week, another round of new gigs. Here [...] more »
- Two Surveys: What Are We Doing with Mobile Devices During the Super Bowl? February 2nd 2012 ADOTAS - With the Super Bowl fast approaching and the [...] more »
Features
- Rethinking the Online Advertising Ecosystem, Part One: Independent Publishers February 8th 2012
- Case Study: Social Ad Effectiveness February 8th 2012
- Video: “Build an SEO Foundation” Excerpt February 8th 2012
- Covering the Digital Buy: Super Bowl Winners and Losers February 8th 2012
- How Social Targeting Can Lead to Discovery February 7th 2012
Spotlight
Sponsormob Leads the Way Into RTB for MobileADOTAS – For more than half a decade, Berlin-based tech firm Sponsormob has remained relevant in an industry characterized by [...] more...
Reader Favorites
Classifieds
- PS Technical Writer - SEO Data Analyst
- Interactive Project Manager
- Media Buyer
- PHP Software Engineer (Facebook Platform/Social AP
- SEO/Marketing Internship at Green Education Startu
Recent Comments
- Andrew Boer: You have defined the problem clearly. To me the solution is pretty clear...you route
- John Pike: The main problem facing independent publishers is Google, which is lowering the page rankings of
- Grovo How To Do SEO Video Series – ReadWriteWeb | SEO Facts: [...] has built sites for some major retailers and teaches SEO at New York University,
- Video: “Build an SEO Foundation” Excerpt – ADOTAS | Best Electronics Reviews: [...] Video: “Build an SEO Foundation” Excerpt – ADOTAS « Santorum Delivers
