As most people have been saying, I think merchandise will be the more warmly-received option, but the problem there is that it takes money to produce the merch, which could be quite risky, given that they are already supposedly having money issues.
Adverts, of course, can be incredibly annoying (especially the ones which stop videos, much to my chagrin), but they are still probably the better option at the moment. However, If there are going to be more adverts, then I think there has to be a certain compromise, in order to make the increased amount more manageable and less overpowering.
Firstly, they should probably only be asides. This may seem kinda obvious and even harmful to the point of ads, but this is the compromise part: If you frontload adverts into people's faces, they are obviously going to feel as if the site is only interested in getting revenue and helping its business partners (not helped, unfortunately, by the publisher's club membership removing such ads). In order to avoid this, adverts should typically be in banners on the side and, of course, be optional to watch if they're videos.
The second point I have concerns making people interested in such adverts. Some of the adverts I've seen here - such as the one concerning a range rover some time ago - don't seem to be aimed at the people who would go to a gaming site. That's why I say be exclusive when picking adverts. While this may cut business options down a notch, it helps because the people who are interested in games (as is the case with almost everyone here) will take a greater interest in the adverts. Again however, you shouldn't frontload them, or the interest will be lost.
The third is concerning the publiser's club memberships. This is another way in which I can see the Escapist making greater revenue with little sacrifice. I think adding greater benefits to buying a membership will garner more interest and, of course, more people buying them. An example of this would be, say, a community newsletter spot on the site: members are able to write up articles for the community to read, rate and share. Another idea would be to allow bonuses in the games of certain business partners (which is sort of what they do anyway, but...), as this could both promote interest in being a member, and also in the game the bonus is in.
Of course, these are just ideas. I don't work in marketing nor do I have much experience running a business. With that said, though, I think these ideas might do some good, and if not, then they can simply be ignored.
Now go over to 
