To Block or Not to Block Online Ads

A Conde Nast site’s attempt this weekend to block users who block ads presents yet another question about the painful transition from traditional to online media — what to do about anti-ad software.

Technology-news site Ars Technica tried an experiment Friday: It blocked its content for users who were employing a particular ad-blocking tool. The response from the site’s readers consisted of confusion, some apologies and a considerable amount of indignation — prompting editor Ken Fisher to pen a piece entitled “Why Ad-Blocking Is Devastating to the Sites You Love.”

The gist of Mr. Fisher’s argument is this: Unless they use a subscription model, sites rely on advertising to survive. And although some of this advertising is on a pay-per-click basis, much of it is under a pay-per-view system. Furthermore, unlike in the world of print and television advertising, where measurement is fuzzy, advertisers online count whether an ad is loaded or not. This means that people who block ads are denying revenue to the sites they visit. As he puts it: “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.”

Mr. Fisher was careful to say that he wouldn’t call ad-blocking a form of stealing, and he wasn’t referring to the pop-up blockers that are now standard on Web browsers. But he painted a dramatically grim picture of sites that are forced to cut staff and content because they rely on ads that people are blocking.

Some of those who are blocking ads simply don’t want to see any advertising, ever. So much of the content online is repeated from other sources that it becomes a commodity — a case that many commenters on the Ars post mentioned. And a cadre of Internet users are of the opinion that content “wants to be free,” not in a freedom-of-information sense but in a free-lunch sense. It’s a problem that media companies have been facing for several years now.

Still others make the case that ads interfere with their browsing experience. And it’s true: Nobody likes ads that fly in from the margins and sit over text that you’re trying to read. Ads that send your information to third parties rightly provoke concern, as do ads for potentially dangerous sites.

But there does seem to be a middle ground between blocking all ads and being inundated. As Mr. Fisher pointed out, he and others at his site had assumed that people who were blocking ads were “doing so with malice.” It turns out that, after being told of the problem, many readers “whitelisted” Ars Technica — or set their software to allow ads from the site.

Readers, what do you think? Do you use ad-blocking software, and to what extent?

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    • After picking up Fisher’s post for JDA, I explained my decision to monetize my website to my readers: http://www.jrdeputyaccountant.com/2010/03/ars-technica-dont-cckblock-our-ad.html the post hadn’t even been up for an hour before I received a “You’ve Got Money!” email from PayPal. Turns out a loyal reader was moved by my post (which explained quitting my job and making my website my living out of a desire to provide independent, realistic financial news) and immediately went to make a donation (which I hadn’t asked for). I guess that’s what you call opt-in.

      The reality is that online media has a long way to go. There will always be “moochers” who believe there IS a such thing as a free lunch but there are legitimate reasons to block ads and I can’t really argue with that reasoning.

      Knowing this, online media has no choice but to evolve. If it is a problem for Rupert Murdock, why wouldn’t it be an even larger headache for smaller publishers? Adapt or die, I guess.

    • Yes, I run an ad-blocker. I learned to do so a few years ago when there was a virus imbedded in flash ads that would hijack your browser.

      Add in the annoyance of Kontera ads (the annoying random double underline that blows up into a text bubble when you mouse over it), and the fact that eliminating all the wasted bandwidth from other ads makes pages load faster while keeping me more secure, and I will continue to do so. If a website goes tits up because of it, they probably weren’t very relevant and had a poor marketing strategy

    • The issue is not whether to block or not to block it is more fundamental.

      There is an implicit assumption that advertising in its current format will continue as it has always done. In other words an industrial-age concept of billboards can be successfully grafted onto the information superhighway.

      This is working at the moment only because an information age alternative has not yet emerged where vendors can meet with consumers in a more efficient, less intrusive and more cost-effective environment.

      Information age advertising mediums are inevitable and are starting to appear right now. One example is the Customer Satisfaction Monitor which has recently been launched.

      This Customer Satisfaction Monitor (http://www.customersatisfactionmonitor.com) answers the three most important pre-purchase questions and introduces a new step into the sales process. Advertisers can now target prospects at a very crucial point in the sales process much more cost-effectively and less intrusively because the consumer is in control.

      As an advertiser it will be increasingly uneconomical to advertise elsewhere because potential customers will be ambushed at services like the Customer Satisfaction Monitor. Industrial-age advertising will, as a result, wither on the vine.

      For those services relying on advertising it is time to rethink your revenue model.

    • It’s up to advertisers to get my interest with interesting, relevant and creative ads. If they can’t fund their own content via ads and disappear that’s their problem and simple business. This sense of entitlement is so last century/old media - like whiners who think government should fund/bail-out legacy media outlets who can no longer compete in the today’s world.