Publishers: Just say no to exclusive rev-share contracts
Bill Nolte, CRO at WhizzCo recently wrote for What’s New In Publishing why it’s not easy being a publisher today.
“You need to support your users across multiple devices, media, and platforms, while Big Tech continues taking ad spend.
If that’s not enough, you also have to manage a new set of privacy issues, including Apple’s termination of the company’s IDFA app tracking in the iOS 14 update, which will likely be matched by Google in the future. And Apple’s iOS 15 update brought changes to email tracking.
These changes may be necessary to create a balanced value exchange between publishers, users, and advertisers. When this balance is achieved, each stakeholder can focus on their part:
– Publishers: create and deliver good content
– Users: consume quality content and return for more
– Advertisers: promote their products and/or services to relevant audiences
Continuing with the theme of fair value exchange, one repeated yet unbalanced practice is when monetization platforms offer publishers revenue-sharing contracts while requiring exclusivity.
Some monetization platforms believe that they have the leverage to make such demands.”
He details three points to consider before signing a monetization contract:
- Understand the downside of your contract
- Make sure your contract gives you flexibility
- Understand the limitations of exclusivity