Blog Post

Sugar Inc. Taking Back Ad Sales From NBCU But Investment Remains

imageA bit of disturbance in the ad network force … Sugar Inc. is taking its ad sales back in house after a year in a rev-share agreement that gave NBC Universal (NYSE: GE) roughly half of the take from the blog network in exchange for handling the ad sales. The contract allowed for termination in the event that Sugar reached certain metrics; last Wednesday, after running the numbers about ad sales costs versus revenue, CEO Brian Sugar did just that.

Sugar explained in an interview: “From a size perspective, for every 100 dollars we sell, we essentially get $46 … It wouldn’t cost $46 to sell. It