Web publishers feel the pain of ad-blockers

[από το newsletter της iab] Ad blocking isn’t wrong, Ken Fisher writes, but it can deal a severe financial blow to Web sites, especially tech sites where a large percentage of readers have blockers installed. Ars Technica has been experimenting with technology to block content for readers with ad blockers, a new twist in this online struggle.

Why Ad Blocking is devastating to the sites you love

By Ken Fisher | Last updated 2 days ago

Did you know that blocking ads truly hurts the websites you visit? We recently learned that many of our readers did not know this, so I’m going to explain why.

There is an oft-stated misconception that if a user never clicks on ads, then blocking them won’t hurt a site financially. This is wrong. Most sites, at least sites the size of ours, are paid on a per view basis. If you have an ad blocker running, and you load 10 pages on the site, you consume resources from us (bandwidth being only one of them), but provide us with no revenue. Because we are a technology site, we have a very large base of ad blockers. Imagine running a restaurant where 40% of the people who came and ate didn’t pay. In a way, that’s what ad blocking is doing to us. Just like a restaurant, we have to pay to staff, we have to pay for resources, and we have to pay when people consume those resources. The difference, of course, is that our visitors don’t pay us directly but indirectly by viewing advertising. (Although a few thousand of you are subscribers, and we thank you all very, very much!)

My argument is simple: blocking ads can be devastating to the sites you love. I am not making an argument that blocking ads is a form of stealing, or is immoral, or unethical, or makes someone the son of the devil. It can result in people losing their jobs, it can result in less content on any given site, and it definitely can affect the quality of content. It can also put sites into a real advertising death spin. As ad revenues go down, many sites are lured into running advertising of a truly questionable nature. We’ve all seen it happen. I am very proud of the fact that we routinely talk to you guys in our feedback forum about the quality of our ads. I have proven over 12 years that we will fight on the behalf of readers whenever we can. Does that mean that there are the occasional intrusive ads, expanding this way and that? Yes, sometimes we have to accept those ads. But any of you reading this site for any significant period of time know that these are few and far between. We turn down offers every month for advertising like that out of respect for you guys. We simply ask that you return the favor and not block ads.

If you read a site and care about its well being, then you should not block ads (or you subscribe to sites like Ars that offer ads-free versions of the site). If a site has advertising you don’t agree with, don’t go there. I think it is far better to vote with page views than to show up and consume resources without giving anything in return. I think in some ways the Internet and its vast anonymity feeds into a culture where many people do not think about the people, the families, the careers that go into producing a website. People talk about how annoying advertisments are, but I’ll tell you what: it’s a lot more annoying and frustrating to have to cut staff and cut benefits because a huge portion of readers block ads. Yet I’ve seen that happen at dozens of great sites over the last few years, Ars included.

Invariably someone always pops into a discussion like this and brings up some analogy with television advertising, radio, or somesuch. It is not in any way the same; advertisers in those mediums are paying for potential to reach audiences, and not for results. They have complex models which tell them if X number are watching, Y will likely see the ad (and it even varies by ad position, show type, etc!). But they really have no true idea who sees what ad, and that’s why it’s a medium based on potential and not provable results. On the Internet everything is 100% trackable and is billed and sold as such. Comparing a website to TiVo is comparing apples to asparagus. And anyway, my point still stands: if you like this site you shouldn’t block ads. Invariably someone else will pop in and tell me that it’s not their fault that our business model sucks. My response is simple: you either care about the site’s well-being, or you don’t. As for our business model sucking, we’ve been here for 12 years, online-only. Not many sites can say that.

Let me stop and clarify quickly that I am not saying that we are on the verge of vanishing from the Internet. But we, like many, many sites are greatly affected by ad blocking, and it is a very worrisome trend.

So I’ll end this part of the discussion by just reiterating my point: blocking ads hurts the sites you love. Please consider not blocking ads on those sites.

An experiment gone wrong

Starting late Friday afternoon we conducted a 12 hour experiment to see if it would be possible to simply make content disappear for visitors who were using a very popular ad blocking tool. Technologically, it was a success in that it worked. Ad blockers, and only ad blockers, couldn’t see our content. We tested just one way of doing this, but have devised a way to keep it rotating were we to want to permanently implement it. But we don’t. Socially, the experiment was a mixed bag. A bunch of people whitelisted Ars, and even a few subscribed. And while others showed up to support our actions, there was a healthy mob of people criticizing us for daring to take any kind of action against those who would deny us revenue even though they knew they were doing so. Others rightly criticized the lack of a warning or notification as to what was going on.

We made the mistake of assuming that everyone who is blocking ads at Ars is doing so with malice. As it turns out, only a few people are, and many (most?) indicated you are happy to help out. That’s what led to this hopefully informative post.

Our experiment is over, and we’re glad we did it because it led to us learning that we needed to communicate our point of view every once in a while. Sure, some people told us we deserved to die in a fire. But that’s the Internet! Making its ways into parents’ basements since 1991. To those people I say: admit it, you just wish you were half as cool as this guy.