Commexis Cast Daily – Jan. 22, 2018: Where Will Publishers Go From Here?

Today’s Commexis Cast details how the latest Facebook news feed algorithm is cutting into publishers branded content revenue, and how this will affect your favorite video content on the platform. Digiday’s Sahil Patel spoke with four publishing sources who said that they have a “50-70 percent margin on custom branded videos they distribute on Facebook after paying for production and paid media.” In addition, obtaining sponsors for videos already in their pipeline offers revenue with no extra cost.

With the new Facebook changes, however, publisher’s content is going to become increasingly less frequent on user’s news feeds. To combat this, Patel writes that brands will likely have to sponsor their content through campaigns to ensure it ends up in front of users. As we mentioned last week in our Facebook Live, this “pay-to-play” model is going to become much more mandatory than before, and will cut into a publisher’s bottom line.

Publishers do have other alternatives, however, including Facebook Watch, encouraging more organic growth and sharing of content between friends and family, and diversifying beyond Facebook. That said, for smaller publishers and creators, some of these options are going to be less viable than others. It will be difficult to grow an organic audience, for example, if you’re not getting eyes on your content via a sponsored post. The Cast discusses these diversification challenges, as well as options for moving to Instagram, YouTube, and even and what challenges exist on these platforms.

Today’s cast: Phillip Brooks (Commexis Lead Strategist) and Matthew McGrorty (Commexis Videographer/Podcaster).

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