Pixel Advertising: What is it, how does it work, how do I get involved?

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Pixel Wot?

Selling pixel ad space may seem to many a rather strange concept. Those from publishing backgrounds may well fail to see how one might sell such a small ad space for, what seems in comparative terms, a high price.

However, as with many internet ideas/concepts, the triumphant success of the Million Dollar Homepage, run by Alex Tew, has ushered a whole new sub-sector in online marketing.

How does it work? 

pixels, advertising, and then...?

The basic concept is that advertisers buy pixels space and link their pixel ad back to their website, in the hope that visitors will click on their ad and therefore visit their site.

What's in it for Advertisers? 

Why would a perfectly sane marketing manager buy pixels?

Confused? Well the basic premise is that advertisers are able to link back to their site, potentially increasing sales and general visibility.

The basic pixel advertising model simply relied on (what must have been very intrigued or bored) individuals to visit the site and click on their ad.

Apart from that, there is the obvious benefit of having another website linking back to yours, which (in a crudely generalised way) should increase your visibility in search engine results.

What about the individual visitor? 

Why would anyone spend time squinting at pixels?

Well, good question! As mentioned above, the first generation of pixel advertising sites relied heavily on people's intrigue and boredom. The fact is that apart from discovering a new website (which in many instances can be a very poor one) there was really nothing else to keep visitors coming back.

That brings us to the next point. What are pixel marketeers now doing to offer an incentive for visitors to return, or even visit in the first place given the novelty has worn off?

Pixel Advertising 2.0 

What do second generation Pixel Ad sites offer?

This is where things get messy. Given it's success, the Million Dollar Homepage encouraged a whole range of webmasters and small businesses to setup some form of pixel advertising website.

As mentioned before, the original model had little to offer to visitors. Second generation pixel advertising sites have therefore used one or more of the following strategies to try and differentiate themselves.

Aesthetics/Conceptual 

Better looking or even conceptually different

There are several interesting examples of instances that have reconceptualised the entire pixel ads model. One good example is the "Wall around the World" where individual ads appear as "brick" in what is intended as a never ending wall.

Longer Ad Lifetime 

2,3,4 years to a "lifetime"

In an effort to entice advertisers with a better value for money proposition, many have also resorted to simply extending the duration of the ads. One can now find durations from 3 years, to as long as a "lifetime" (although it's not quite clear how this will be ensured).

Lower Price Per Pixel 

Beyond hyped up prices...

One of the most obvious changes that has occurred since the initial Million Dollar Homepage success, is a price adjustment. Although still seem to aspire to charge $1 dollar per pixel, most have realised that the value proposition needed to be improved upon.

Bigger Size Pixels 

Now you see it, then you didn't...

One justified criticism of the original model was that visitors had a hard time squinting at the screen. For advertisers this also meant that in many cases, the appearance of a small pixel ad would be very far removed from their corporate identity. For some advertisers this wasn't an issue, and in a few cases, perhaps even advantageous. Nonetheless most pixel ad sites, be it via lower pricing or other means, now seem to encourage a bigger minimum ad size. In my view this is a very welcome development; good news for visitors.

Prizes For Visitors 

Click and win...

Another interesting angle that has been developed is the idea to reward visitors for coming back and interacting with the site. The follow-up to the Million Dollar Homepage is a good example. Wheras before a combination of curiosity, boredom, and altruism lead users to visit, visitors now enter a free cash prize draw evertime they click on an ad. Although Alex Tew's aim of raising a $1 million prize fund by 2008 will surely not be achieved, more modest varients seem an attractive and more realistic proposition. Anyone contemplating such a model, should however seek legal advice, as lotteries and prize draws are regulated in many jurisdictions.

Prizes For Advertisers 

Advertise and win?

Along these same lines, some examples now offer advertisers a chance of winning a cash prize draw. Again legal advice is absolutely essential before embarking on this route. This however seems mainly aimed at the webmaster segment of the market, and is unlikely to be of interest to SME's.

More Thematically Targeted 

More of what you're looking for...

Another very natural development, grew out of the fact that the initial model was very poorly targeted. The million dollar homepage included virtually any kind of link, from adult dating to self-proclaimed geniuses offering their advice! Not only was it non family friendly, but it also offered visitors little prospect of actually being interested in the website they just visited. As a result many sites are now positioned as niche pixel marketing sites, with themes ranging from local communities to cars and environmental management.

Benefits of Pixel Advertising 2.0 

In conclusion...

In my opinion these are all welcome developments, and overall have worked to offer better value for money to advertisers, whilst also enhancing the user experience.

Nonetheless the question remains whether or not pixel advertising in any of it's current forms can sustain both advertiser and public interest.

For example, reactions to Alex Tew's follow-up to the Million Dollar Homepage have been mixed. Some criticize the lack of development in the proposition itself, and doubt it's longer-term viability. Other's seem to welcome the added lottery element. What is sure, is that it's financial success has been far below expectation, and site traffic has plummeted since it's launch.

Pixel Advertising: Some Good Examples 

Pixel Draws - Pixel Lottery, Pixel Ads, Win Cash Prizes
A great take on the whole pixel advertising + lottery model. Much like Pixelotto, but far more realistic in its ambitions, and generous in terms of payout. Rates for Advertisers are reasonable, and Players can win $1000+ cash on a regular basis with no need to wait until the end to see who won.
Pixelotto
Alex Tew's follow-up to the Million Dollar Homepage. Visitors click ads, and at the end of 2007 a draw determines one lucky jackpot winner. Although the aim was for someone to win $ 1M, this is almost certain to fail, as take-up has been poor. The concept is interesting, but unfortunately it seems he grossly overestimated the potential for sustainable interest, and advertiser's willingness to pay his relatively high price per pixel ($ 200 for 100 pixels).
The Eternal Wall
A very nice looking pixel ad site, using an "endless wall" concept. Advertisers pay a one time fee to buy "bricks", and receive a pixel ad for "life".

A few vids related to Pixel Advertising 

SCREEN WORLD TV- Million Dollar Homepage

Screen World TV looks at the success of MIllion Dollar Homepage. Hosted by Tim Stackpool

curated content from YouTube

Any Good? 

Useful, thoughtful, ground-breaking, or just plain #!**?

Feel free to let me know what you think. Any comments are welcome both good and bad!

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Setting Up Your Own Pixel Advertising Site 

Feeling the urge to try it yourself?

By now some of you will be thinking: "what a great idea, not very complicated and potentially profitable". However be warned, the heyday of simply offering pixels for sale and expecting a million are definitely over. The market has definitely changed and both players as well as advertisers have heightened expectations.

Should you nonetheless wish to get involved, below are a few things to help you on your way.

Pre-Built Pixel Ad Websites 

Not a programmer? Not much time?

Luckily (and predictably) the success of the initial Million Dollar Homepage was such, that it encouraged many other programmers to create their own pixel ad scripts. Some have made these available for other non-techies to use.

If you don't have any programming skills these scripts can offer an "instant websites" option. Others may wish to use one of these scripts as building blocks in their own slant on pixel advertising.

Below is a list of a pre-made scripts I have come across. I CAN'T say I have tried them all. If you know of one that is missing please feel free to add it to the list!

Available Pixel Ad Scripts 

a selection of what's available

Your Pixel Script
The basic script, which looks identical to the one used on the Million Dollar Homepage. A variety of packages are available ranging from the script only ($27), to an all included hosted solution ($77).
Million Pixel Script
A very impressive fully-featured script that comes in both the basic Million Dollar Homepage version as well as a newer Pixelotto variant. The price unfortunately is also "fully -featured" and starts at $179 for the basic script, to $238 for the Pixelotto clone. You can also opt to get rid of the "powered by" link for an additional $120. A bit pricey but a professional product.
GPix Pixel Ad Script
A freely available script. Basic features, following the Million Dollar Homepage concept. But FREE!
Buy Pixel Script
A whole range of affordable options here. The authors of this script have come up with four variants: the first is the basic Million Dollar Homepage version, another asks users to add their photo or avatar ("friends" version), one that is somehow intended to work as a classifieds board ("classifieds" version), and another intended to feature other pixel ad sites ("directory" version). All versions of the script are available for $29.95
The Million Dollar Script
Yet another clone of the basic Million Dollar Homepage concept. Available for $50.
Pixel Script
Another very basic version. Available $49.95
Million Dollar Pixel Script PHP
Yet another ....Available for $29.99
Million Dollar Pixel Advertising PHP Script
A very basic version of the script is available for $4.99. A somewhat more interesting slant on the MDH concept is available in the form of a pyramid version ($39.99) as well.

Which Is The Best Pre-Built Pixel Script? 

Have an opinion?

Have you used any of the above scripts, why not let other's know what you like and dislike about it? Was this lens helpful?

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Great Stuff on Amazon 

Pixel Perfect: The New Digital Designer

Amazon Price: $26.60 (as of 12/29/2009) Buy Now

by TimiH

Curious about all things web and tech.
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