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When advertising companies start paying large sums of money to product companies, you know that there is something wrong with the economy... Money should flow
by jondubois 9y ago
When advertising companies start paying large sums of money to product companies, you know that there is something wrong with the economy...
Money should flow from product companies to advertising companies; there is something sinister about money moving in the opposite direction.
- Method-X 9y agoAre there other examples of this happening, or is it just an isolated thing with Google?
- jondubois 9y agoAt one point, a lot of mobile game companies (which make money from advertising) bought up advertising space to advertise themselves - This is not as bad though because money flows from advertising to advertising but it's still weird.
- Method-X 9y agoNot necessarily; it's just arbitrage. If they can get cheap advertising and it converts well, then selling more expensive ads would make sense.
- wodenokoto 9y agoMoney flows from product companies to ad companies to owners of ad space, such as radio, website, tv, movies, billboards, sports teams, apps, etc.
- AndrewKemendo 9y agoAlways has been the case. Ever heard of Lamar? They are one of the largest ad products companies which almost exclusively provides physical ad space. [1]http://www.lamar.com/ http://www.lamar.com/
- majani 9y agoThere's nothing sinister here. Just large margins that can accomodate silly spending. But the margins are driven by justly earned efficiencies.