Users To Decide Digg Ad Rates

8th June 2009

Digg recently announced plans to set up a new advertising platform. This advertising platform will be different from ad offerings on other sites, as it will indirectly allow users to decide the price Digg will charge their advertisers for each ad.

Just as users vote up or down the news stories on Digg as per their preference, they will now be in a position to vote up or down the ads displayed on the site.

If users like an ad they Digg it (vote it up). If they do not like the ad, it gets voted down. Digg will then decide the rates they charge their advertisers, depending on the number of votes an ad generates. If an ad is really popular, it will garner more votes. Such an ad will be charged at a lower cost per click rate, compared to ads which garner fewer votes and are relatively unpopular.

In turn, an advertiser is likely to display a popular ad for a longer length of time, than he would display an unpopular ad, as he would have to pay a higher amount for the unpopular ad.

The ads will appear alongside the main stories and will be clearly demarcated as sponsored content. They will be linked to the main story, trailer or product review.

It will still be quite some months before this platform is launched as it is still in the early planning stages.

Even after it is launched, Digg will look out for user feedback, to further modify the platform as required.

Tags: ad, advertising, digg, pay per click, ppc, social media, social media marketing, social news

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