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Digital
Warner do ad sales deal with MTV
By CMU Editorial | Published on Thursday 1 July 2010
Warner Music yesterday announced it had struck a multi-year “ad sales and digital content partnership” deal with MTV, which is great news, I love ad sales and digital content partnership deals.
The core bit of the arrangment is that MTV’s sale house will now sell advertising for any music video platforms controlled by Warner Music in the US, so that includes videos on Warner’s label and artist sites, and all of Warner’s premium videos on YouTube.
As previously reported, Warner Music, a hold out on Sony and Universal’s ad-funded YouTube-powered music video platform Vevo, renegotiated its relationship with Google-owned YouTube last year, so that it now controls the ad space that surrounds its content on the video-sharing website, paying a royalty to Google, rather than Google paying a royalty to it.
The deal was based on the logic that Google and YouTube were underselling the ad spots next to premium music videos in terms of rates. The same logic was behind Universal and Sony spinning off their YouTube content to create the Vevo service.
The new deal is also likely to see Warner collaborate more proactively with MTV’s own online platforms, especially where good ad or sponsorship revenue is likely.
