Nuffnang and how will it affect Thai Bloggers

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I was invited by nuffnang to Malaysia to attend Nuffnang Asia-Pacific Blog Awards 2011 last weekend. It was a very good experience to see such a large blogger community. Bloggers from all over Asia-Pacific were coming. But what I am going to write here is not about the event, but nuffnang itself. Nuffnang has just reached Thailand and its coming will affect Thai bloggers more or less. That’s what I want to write about.

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What is nuffnang?

Good question, easy to answer. Just go to nuffnang.co.th and see About Us section, you will learn what is nuffnang. (Well, you don’t have to actually go there because I already get the answer for you in the image on the left.)

Simply put, nuffnang is more or less like an agency specializing in advertizing on blogs. nuffnang is very similar to Google’s AdSense, but it’s more customized for blogs.

nuffnang is more than just a mere ad agency for that it tries to be a catalyst to build blogger community. nuffnang works as a medium for bloggers to meet and share their ideas. (I experienced this myself in Nuffnang Asia-Pacific Blog Awards 2011.)

 

So, what nuffnang will get from doing this?

Of course, money! It gets profit by selling ads to brands. Compare to the old media (e.g. newspaper, magazines), ads on one blog, of course, reach far less people. However, 300 blogs that have 10,000 visitors daily combined means 3 million people a day. That’s a lot. According to nuffnang, there are over 100,000 blogs in its pool. Now think about how many people are visiting those blogs a day? This gives power to nuffnang to negotiate brands.

 

Question #2: What benefits will bloggers get from nuffnang?

“United we stand and divided we fall”

image_thumb8It’s just like a story that a father tried to teach his son about the power of unity. A single arrow is easy to break, but it became harder and more difficult as the number of arrows increased.

The same goes for bloggers. A blog with just 100 visitors a day attracts no brand. But a thousand blogs, each with 100 UIPs/day means a hundred thousand. That’s where nuffnang comes.

nuffnang creates a large pool of various categories of blogs and use the combined traffic to pitch the brands. Bloggers earn money from ads (although not much because low traffic, but without nuffnang the blogger may not get any ad at all) … Brands’ ads reach millions of people … nuffnang gets some revenue. It’s win-win-win situation. According to nuffnang’s record, high traffic blogs generates nice sum of income.

It’s said that there are 3 types of ads provided by nuffnang (correct me if I misundestood).

  • CPC – a pay-per-click just like AdSense
  • CPM – brands will choose which blog(s) they want to put their ads on. Bloggers will be paid (no matter how many clicks they get). It’s like renting a space on the blog to display ads.
  • Advertorial – just like advertorial in newspapers and magazines. Brands pay so that they can have their article on the blog. This type generates most money for bloggers.

With this large pool of blogs, nuffnang can help bloggers negotiate brands to get products for review, too. This way bloggers with low traffic can get a chance to have their hands on the products, which generally almost impossible if they try to negotiate brands by themselves.

 

Done talking about pros, what about cons?

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I would say it’s about behaviour attribution. Psychologists believe that human is a rational being. People tends to try to give a reason for whatever they do.

For what purpose do bloggers write their blog? For fun? For passion? To educate people? To share their experience? etc.

The coming of nuffnang may affect bloggers’ behaviour attribution such that they may believe that they do blogging form money … a lot of money.

Psychologists call it “Overjustification Effect”.

The overjustification effect occurs when an external incentive such as money or prizes decreases a person’s intrinsic motivation to perform a task. (Source: wikipedia)

The following story which I got from Asso. Prof. Sithichoke Waranusantikule is a very good example for the overjustification effect.

An old man spends his after-retirement life in suburban area. It is a very nice, quiet place. His only problem is that everyday many kids will gather and play in front of his house. They are so noisy that he got distracted from anything he tries to do. But he doesn’t know what to do. Violence is not an option.

He, then, comes up with a weird idea. One day, he calls every kid into his home. He gives each of them $1 and asks them to come and play again tomorrow. Kids were dazzled, but promised him to come again.

The old man keeps doing this for serveral days. However, one day he calls everyone in like usual. Kids are expecting for the payment, but instead the old man only says thank you and gives the kids nothing. When he asks the kids to come and play again tomorrow, all the kids say “Nah, no money, no play.”.

For that day on, no kids come to play in front of his house.

See what overjustification effect can do? I am worried that similar thing will happen to Thai bloggers. When bloggers do blogging for money, there are changes that:

  • image_thumb12Quality of content may drop as they have less passion on what they do. They will try to keep things quick and fast to attract more people (which means more moeny).
  • Bloggers may be no longer will to share they content with other web site. They want all the traffic to come to their web site.
  • Just like in the story above, when blogging no longer generates income for them, they may consider it’s not worth it and stop blogging.
  • New comers may aim for money from the beginning. However, instead of making good content to attract people, they may go for a shortcut. Copy and paste other’s contents onto their blogs in order to attract more traffic.

nuffnang is a double-edge sword. It benefits both old and new bloggers. It could harm blogger community as well. The point is how bloggers and brands in Thailand response to the coming of nuffnang, and what nuffnang will do to prevent the problems I mentioned above before it would affect nuffnang’s business.

Feel free to share you idea. I’d love to see your feedback.

@kafaak

ในอดีตเมื่อครั้งยังไม่ต๊อกต๋อย เคยเป็นผู้บริหารฝ่ายผลิตของโรงงานอุตสาหกรรม แต่ภายหลังเลือกงานที่ให้เวลากับชีวิต เพื่อมาอัพเดตเทรนด์เทคโนโลยีมากกว่า ปัจจุบันเป็นทั้งไอทีต๊อกต๋อยในสถานศึกษา เป็นบล็อกเกอร์ต๊อกต๋อยที่เขียนไปเรื่อยทั้งเรื่องเทคโนโลยี โซเชียลมีเดีย การตลาดดิจิตอล และจิตวิทยา เป็นที่ปรึกษาด้านการตลาดดิจิตอลให้กับธุรกิจ SMEs หลายแห่ง และเป็นวิทยากรรับเชิญด้านเทคโนโลยี การตลาดดิจิตอล และโซเชียลมีเดีย เป็นบางครา

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2 Responses

  1. stella lee says:

    nicely done! Really happy that Nuffnang has come to Thailand. Hopefully it would make Thai bloggers bigger and can earn money from that! 😀
    I cant wait till it establishes its branch to my country too! *prays*

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