We’ve described a number of times at paidContent how publishers large and small are looking for alternative sources of revenue as traditional advertising declines in value, and how some sites — including The Atlantic, BuzzFeed and Gawker — are experimenting with new ad formats such as sponsored content or “native advertising,” as well as affiliate links. On Friday, Google engineer Matt Cutts reiterated a warning from the search giant that this kind of content has to be treated properly or Google will penalize the site that hosts it, in some cases severely.

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