Watch an Ad, Get Some Airtime

By Ed Oswald | Published May 30, 2006, 11:10 AM

Prepay provider Virgin Mobile USA launched a new program called "SugarMama" Tuesday that would allow its users to earn airtime by viewing advertisements. The user would view the online ad or text advertisement, and then provide feedback to the advertiser on what they saw.

Three national brands have initially signed on to the service: Microsoft's Xbox division; Pepsi-Cola, which would initially feature Diet Mountain Dew; and truth, the national youth anti-smoking initiative.

The service will be powered by Ultramercial, a Palos Verdes Estates, Calif. based internet advertising firm that specializes in offering incentives to users that watch its clients ads.

"This is truly a win-win situation for everyone involved," Virgin Mobile USA CEO Dan Schulman said. While customers would be able to earn free minutes, advertisers would gain an easy way to target Virgin's young user base -- a key demographic in the growing mobile advertising space.

SugarMama is the result of testing with its customers, Virgin Mobile said. Users will be required to opt into the service after certifying they are 13 years of age or older, and filling out a demographic profile.

From there, the user would need to watch a video advertisement, then be able to answer several questions to ensure they understood its content. Correct answers would equal free airtime. Additionally, users could opt into text messages for the opportunity to earn more minutes.

Virgin has high hopes for the new service. "Our customers are the first to try new things and often convince others to do the same," chief marketing officer Howard Handler said. "They are passionate about the brands and music they associate with and, like Virgin Mobile itself, they are not afraid to be different."

Comments

View comments by with a score of at least

why?
for goodness sake, why?
i can just see it now, stuck on the side of the road, watching commercials and filling out surveys, just to call a tow truck.
lol :-)

Score: 0

|

This idea could work. I just hope it's not a minute airtime for a minute worth of ads. Maybe like a 50 to 1 ratio...

Score: 0

|

A 50 to 1 ratio seems unlikely. 3-4 to 1 seems more likely given experience with commercial tv and radio. Given the target audience of Virgin Mobile is fairly young I would imagine that they would get a good number who would be willing to watch a few ads to gets some more air time. This will probably be never more than niche for people who are cheap and have a lot of free time.

Score: 0

|

I was wondering how long until this would happen. Personally I would rather pay for my calls and have no adverts. Much as I would rather pay for TV and have no adverts (which is why I like the BBC). However I understand different people want different things and I am sure this will be popular with some people.

I do wonder how long until adverts are just a part of your phone though which you have no choice but to see/hear them (similar to websites)?

Score: 0

|

I think that it is unlikely that such a business model become the dominant one because most people's usage is low enough that it reasonable to avoid an advertised based service. Comparison with the web aren't quite apt because most people are either unable or unwilling to pay what it would cost to upkeep a website. Despite some good attempts there hasn't been much success it getting people to pay for content on the internet.

Score: 0

|

I agree. The reason I don't watch a minute of TV is it's impossible for me to 1. Pay only for television without ads.
2. Watch anything but my local Public Broadcaster without ads. And even they constantly push corporate logos and slogans on their programs.

Score: 0

|

Latest Firefox 3.6 beta fixes 133 bugs, promises faster page load times

A once-sluggish beta testing process has kicked into overdrive, with astonishing success at finding serious bugs. Will Mozilla be able to fix all the others in time?

Apple invokes DMCA, claims Psystar is 'trafficking in circumvention devices'

In trying to close the book on possibly the last attempt at a Mac clone, Apple cites from its own landmark case...but may actually be misinterpreting it.

The fallacy of Facebook privacy

Carmi Levy | Wide Angle Zoom: If an insurance company learns something interesting about its client through the Internet, is that snooping?

Microsoft 'worked with Apple' for Silverlight on iPhone, says Goldfarb

By not making such a big deal out of trying to stream video to the iPhone, Microsoft got a big deal out of it, revealed the Silverlight product manager.

Confirmed: Office 2010 to ship in June

Two weeks after Microsoft had been expected to draw a clearer roadmap for its principal applications suite, it's finally ready to commit to the end of H1.

New EU antitrust commissioner will oversee Microsoft, Oracle+Sun, Intel issues

As one of Europe's most prominent politicians shifts positions in January, her replacement remains a question mark over technology's biggest issues.

Without its own 'iTablet' yet, is Apple missing the boat?

Steve Jobs is on record as dissing "single-purpose" devices like e-readers. But given their recent popularity, was that a mistake?

Not-so-mobile battery life: Time to force the issue

Carmi Levy | Wide Angle Zoom: If power efficiency is important when you buy a car or even a motorcycle, why shouldn't it matter for a smartphone?

Clicker.com cuts through the Web video chaos

In a world where homemade video and Hollywood movies travel the same pipeline, it's good to have a real search engine to cut through the clutter.

Microsoft's Ray Ozzie: 'Nobody's going to be 100% open'

The mobile apps ecosystems of the world may converge over time, led by apps being ported over across platforms, according to the Chief Software Architect.

A case study in improving software: What Office 2010 can learn from Notion 3

A music composition product gambles with a complete overhaul, in an effort to make headway against two well-known competitors in a tough market.