AOL guarantees revenue to Developers if they opt Platform-A

AOL has guaranteed CPM revenues to Facebook and Bebo platform developers if they pick its Platform-A ad technology. The technology is the combination of advertising properties of Advertising.com and Tacoda Adtech. If a developer succeeds in getting three unique ad impressions then AOL will pay a certain amount, though the amount is not yet disclosed. This was announced by AOL on Monday.

Platform-A’s Senior Vice President of Publisher Services, Dave Jacobs, said:

This announcement reinforces Platform-A’s commitment to helping developers generate revenue and monetize their Bebo and Facebook applications in the rapidly evolving social networking space. Advertiser interest in social networks is rising at a steady rate, and Platform-A is making an unprecedented flat-fee commitment to help application developers generate revenue and guarantee monetization of their applications.

Furthermore he added:

Platform-A views social networking applications as an area where we can add significant value by letting developers focus on expanding their install base, without worrying about monetization of applications.

The current guarantee seems to be part of Widgnet, the AOL Advertising.com’s developer focused niche. According to the company:

Widgets are transformed from clever little applications into hard-working revenue generators.

There are hundreds of options available for application ads but there are only a few successful cases where a guaranteed CPM was proffered as an incentive. Although the amount of money to be paid is not yet known, they have to pay something good if they want developers to stick to their platform.

Right now the offer is available to US based applications or US visitors on Facebook and Bebo (bought by AOL in May) but their ultimate goal is to expand it to other developer platforms. To execute the plan, the will be extending it to Europe this summer.