• by Masha Geller , April 15, 2003

Yesterday, two of the major online publishers put another nail into the coffin of the banner ad by offering a bigger and better ad format - the half page ad.

New York Times Digital (NYTD) and CBS MarketWatch (CBSMW) came out of the gate with MCI and Scottrade as the first advertisers, respectively, to run the 336 x 800 unit on their news and story pages.

NYTD VP of Sales Jason Krebs, said that the impetus for creating the format was advertiser demand. "One of the major items we hear from folks is that creative ad folks couldn't do enough with the current sizes," he said. "We felt that was a valid point the agencies were making. We created something not just bigger but better."

The company made sure that all of their article pages we redesigned to create a compelling editorial environment that's very compatible with significant advertising positions. The half-page is something advertisers can understand, Krebs said. "We're not saying it's print; it's a symbolic gesture," he explained. "People understand the ratio and the layout - it's better than throwing out pixel numbers." The half-page format is still sold on a CPM-basis and "priced for the size that it is."

That print connection was a major factor in CBSMW's decision to offer the format as well.

"Today is a very important day online publishing," said Scot McLernon Executive Vice President of Sales at CBSMW, which began running a half-page ad for Scottrade yesterday. "We're getting much closer to the traditional print model, which has existed forever - 50/50. More traditional advertisers are going to be able to relate to this format."

McLernon remembered a panel discussion at an event a few months ago where NY Times Digital's Martin Nisenholtz said that the idea that a 468x60 banner was going to support all the content below it is fundamentally flawed. McLernon has also long believed that the online publishers needed to get the ratio of ads to content closer to 50/50, but were at first constricted by file size. Now we've gotten to a point where the file sizes are more manageable so the time is right to go ahead with it, he said.

In the case of New York times pioneering the concept, McLernon said CBSMW wanted The Times to be supported by another Online Publishers Association site, "not have them go solo." He explained that several publishers offering the same format makes it easier on the clients and agencies to build these formats. "If you build it for one it becomes, in some cases, cost prohibitive for the advertisers to use the format," he explained. "I've always said, build it once and distribute it 20 times."

CBSMW has only been actively selling the format for 3 weeks, after about 6 months of preparation, and advertisers are interested. Scottrade is current running a 336 x 800 unit, available on all of their news and story pages, and two more advertisers are on deck, McLernon said.

He said the 6-month development cycle was such because significant changes had to be made to the CBSMW publishing system as well as the way the pages are designed. However, the company did not have to significantly change their ad serving software to accommodate the new format.

Naturally, the ad comes with a price tag. McLernon said, "You're talking about 50% of the page above the fold in some cases, so that needs to be considered."

Where does it all leave the former staple of online advertising, the much-debated banner? The banner is going to always have its place in some fashion or form on our pages or go the way of the 2 a.m. TV spots on cable channels, reruns of Green Acres on Nick at Night. Premium content publishers will see more premium prices ad inventory there. Less value content will take on more of the banners. Banners are finding their level," he said.

Michael Zimbalist, executive Director of the Online Publishers Association said that the half-page format is not an OPA-lead initiative, but was very supportive of the undertaking. "I feel it's important that we continue to innovate," he said. "While there continues to be a lot of formats, we do know that this kind of unit gives advertisers an much more creative palette to work with."

Christopher Schroeder, CEO and Publisher Washington Post Newsweek Interactive, which is in the final stages of adding the half-page unit to its suite of ad format offerings, said the half-page concept has proven itself in print metaphor, but the 50/50 content to ad ratio was not a consideration in the decision to offer the ad.

"My view has always been that anything we can to that is visually luring," he said, "and doesn't interrupt the users' online experience" is worth doing. The half-page ad made the cut because the "product complemented other content on the pages," Schroeder explained. He is not yet sure where on the site the premium-priced ads will run, but he said it will never be the front page. He does think, however, that very specific areas, such as travel related areas, entertainment area and a few others that will be very powerful. "Of course, it would depend on the advertiser," he said.