PayPerPost

Guide Note

Controversial internet company PayPerPost offers bloggers money in exchange for blog posts. The company was founded by Ted Murphy in June 2006 and created an almost immediate uproar in the blogosphere regarding the issue of disclosure on blogs. Notable bloggers such as Jason Calacanis and Michael Arrington argued that it was unethical for a blogger to accept payment or sponsorship of a post without properly disclosing it to the readers.

Fast Facts

1. Launched: June, 2006
2. Parent Company: IZEA
3. Founders: Ted Murphy and Paul Lewis
4. Headquarters: Orlando, Florida
5. Slogan: The Consumer Generated Advertising Marketplace
6. Have raised over $10 million dollars in venture capital investments
7. PayPerPost bloggers are often referred to as "Posties"

Increased Transparency

In late 2006 PayPerPost updated its policies to require disclosure of all paid blog posts and later also removed the option for advertisers to request positive only posts. Despite the updates in policy and increases in transparency, many bloggers remained skeptical of PayPerPost and its parent company IZEA.

Google Draws the Line

In fall of 2007, Google changed its page ranking formula to reduce the rank of PayPerPost bloggers to zero, an effort designed to discourage paid advertorials in blogs. In response, PayPerPost created its own ranking system. PayPerPost also announced the formation of its parent company, IZEA, and rebranded many of the features and sites previously under the PayPerPost name to the IZEA brand.

To date PayPerPost has over 100,000 registered bloggers and over 10,000 registered advertisers.

Quotes

1. "If you write something you’re getting paid to write it should have the word 'ADVERTISEMENT' in the headline. If you don’t do that, well, then prepare to get thrown under the Valleywag bus."—Robert Scoble
2. "The PayPerPost name might as well be 'get your blog removed from Google Index' or 'How to commit search engine Sepuku.'"—Jason Calacanis
3. "Ah, PayPerPost. The controversial Florida-based startup that is leading the effort to tarnish the blogosphere..."—Michael Arrington
4. "A company doesn’t change its name if it’s loved."—Robert Scoble