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And I would imagine they can charge advertisers premium prices for ads shown to paid subscribers as opposed to free viewers.
by jonhohle 16y ago
And I would imagine they can charge advertisers premium prices for ads shown to paid subscribers as opposed to free viewers.
- kgermino 16y agoI'm not sure that applies in this case. I agree that newspapers and magazines are able to charge more for ads to paid subscribers than for non-paid readers but the logic behind that is that someone who pays for the issue is more likely to actually read it than someone who gets it for free. In Hulu's case they are able to measure the number of people actually watching the videos. Also if anything a paid subscriber would probably be less likely to pay attention to the ads, making the ad worth less.