Facebook Application Developers’ Million-Dollar Pay Day With VideoEgg
EggNetwork Advertising Platform Delivers on Revenue Sharing
SAN FRANCISCO — Social network-applications developers are sharing $1.5 million in advertising revenue generated in just five months from an innovative advertising network created by VideoEgg, a payday that signals the growing success of monetizing social content, the company announced today.
Drawn to VideoEgg’s pioneering approach, leading application developers such as RockYou, the Social Gaming Network and Renkoo, have garnered a significant portion of revenue generated from ads served through the Eggnetwork. VideoEgg’s ad network on Facebook has grown to include more than 150 popular applications like Flixster, Scrabulous, Warbook, Vampires, Are YOU Interested? and Jetman.
The program, which began in August 2007, reaches millions of Facebook users who download the applications to their pages and share with friends. Demonstrative of VideoEgg’s leadership, the Eggnetwork complements other partnerships the company has built to share revenue with video sites such as Meebo, imeem and Metacafe.
“Aggregating more than a hundred application owners in our network gives advertisers the reach they need to go deep into any demographic,” said Matt Sanchez, CEO and co-founder of VideoEgg. “Reaching the $1.5 million mark is a testament to VideoEgg’s ability to enable developers to monetize their content.”
Online video advertising is expected to jump from $775 million in 2007 to $4.3 billion by 2010, according to eMarketer. Validating the growing usefulness of social ads, one in four users say they have searched for more information after watching an ad on a portal or user-generated content site, according to an Online Publisher’s Association survey. By 2011, social-networking advertising revenues in the U.S. are expected to be 12 percent of all online advertising, eMarketer has reported.
“We were looking for a partner to help us monetize the hundreds of millions of impressions across our casual gaming platform,” said Shervin Pishevar, CEO of the Social Gaming Network. “Videoegg’s ease of implementation combined with its unparalleled quality and richness of advertisements made the Eggnetwork a clear choice for us.”
About VideoEgg, Inc.
VideoEgg, the leading video ad network for online communities, has developed an extensive audience network that connects brands and content owners with people through an invitation-based rich media approach to advertising. An advertising innovator, VideoEgg was the first to commercialize interactive advertising overlays onto video, an approach that is being widely adopted by the industry. The Eggnetwork is comprised of over 200 top video and gaming sites, social networks and applications, bringing outstanding consumer reach and a high level of engagement to its advertising partners. Founded in 2005 and based in San Francisco, with offices in the UK and New York City, the company is privately held and backed by August Capital, First Round Capital, Maveron, WPP and Focus Ventures. For more information on VideoEgg, please visit www.videoegg.com
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