"... one of the major problems newspapers face is that web advertising revenues are much lower than print advertising revenues. ..."
Interesting observation and one I found when I read an article on LWN today about advertising vs subscriptions ~ https://lwn.net/op/FAQ.lwn#subs Note that Flipboard's McCue is reported saying:
Wow, 10-15x is an impressive markup. I'm skeptical that those rates will hold after the newness of Flipboard wears off. Your typical marketer might want to see those rates justified by proportionally higher conversions.
Flipboard ads are primary full-page ads, and full-page ads go for 10-15x more than banner ads.
A banner is easily ignored, and there tend to be competing banner ads on an individual page.
Full-page ads are invasive---you can't ignore them and must move past them to get to the content, and there is only one of them per page. Due to this, full page ads command a premium. They're seen as a 'reasonable' alternative to popups or popunders which go for similar rates.
Interesting observation and one I found when I read an article on LWN today about advertising vs subscriptions ~ https://lwn.net/op/FAQ.lwn#subs Note that Flipboard's McCue is reported saying:
"... publishers can charge between 10 and 15 times more for advertisements within Flipboard than they can for banner advertisements, and Flipboard takes a cut of these revenues. ..." ~ http://www.telegraph.co.uk/finance/newsbysector/mediatechnol...