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And all in the service of vacuuming up tiny fractions of pennies in advertising revenue. What a silly, fragile business model whose days are numbered. It's am
by jordanpg 7y ago
And all in the service of vacuuming up tiny fractions of pennies in advertising revenue.
What a silly, fragile business model whose days are numbered.
It's amazing to consider how much revenue has been generated, predicated on completely unnecessary and (now) easily disabled browser features.
I have to imagine that like the cigarette manufacturers of yore, companies whose lifeblood is based on this kind of nonsense are kept up at night wondering where the money will come from when this house of cards collapses.
- Shaddox 7y agoSorry to disappoint you my friend, but the ads and paid subscriptions are just a small fraction of their income. The real money maker is in tracking user behavior and selling that aggregated data. If worst comes to worse, they can just track your behavior on their website alone.
- tiborsaas 7y agoI keep seeing this claim. Where to sell this data and how much for example 1 million unique visitora / month worth?
- vertex-four 7y agoUser data for a single website is probably not worth much. User data for every single website a user visits in a day? A bit more. Hence, advertising networks.
- wolco 7y agoIt helps determine the price of the ad they are showing. So first you need to join an ad network. Then you could be paid more for higher revenue visitors.
- jordanpg 7y agoWhat else is the data being sold for besides advertising?
- cryptonector 7y agoIt's still all about ad revenue though.
- smsm42 7y agoThat's one of unsolved mysteries for me - who exactly buys that data and why? What do they do with it that is worth paying money for? Let's say you've learned I like reading sci-fi. So what? You'll serve me more relevant ads? I have an ad blocker anyway, so you won't, and even if I did not, I haven't seen an ad relevant to my interests in ages, except on the topic sites that I already visit anyway. What are they doing with it that is worth clogging all the internet and making each website 10x of size it should be? I have a nagging suspicion it's all hype and one day advertisers will wise up and this business model dies the long deserved death.
- Shaddox 7y agoThere are companies that act as data brokers for other parties and there's also companies like Nielsen which buys media consumption data in bulk. It's not just about the ads. It's also about the way in which to split the pie. (how much should go to this creator?) Or consumer profiling. (It seems our product is enjoyed by men in their mid 40s who like sci-fi) Or marketing research (it seems our product sells the most in winter). There's plenty of ways to make use of this data. That's why it's so valuable. It's not uncommon to see 7 digit contracts for high profile news/gossip outlets, for example.
- smsm42 7y ago> There's plenty of ways to make use of this data. That's why it's so valuable. That's what I keep hearing. Never heard what are those ways, specifically, and where the value worth the money comes from. > Or consumer profiling. (It seems our product is enjoyed by men in their mid 40s who like sci-fi) OK, let's say you learned that. Let's say now you know there's more demand for beard trimmers among mid-40 males with interest in sci-fi than among teenage females with interest in Rihanna. Now what? I still fail to see what a bunch of random (and possibly entirely spurious) correlations costs in money. > Or marketing research (it seems our product sells the most in winter). You don't need to track me for that. You need to track your inventory. That's basic stuff every merchant having a functioning brain is already doing.
- bobjordan 7y agoFrom my view as a person who owns a retail brand and absolutely needs to pay for advertising to get page views and resultant conversions. The current state is pure extortion. I need to pay over three dollars for a frigging click? Almost $20 per sale in advertising fees just to get page views on HoneyGear.com from both google or amazon. I’d like to sell the products for half the current list price, but in today’s market with advertising expense, it’s impossible to lower prices.
- jordanpg 7y agoWhat if it's the case that advertising (placing unwanted audio/visual solicitations in front of people) as a business model just goes away completely? And businesses have to instead find other ways to get people to buy their stuff? I, for one, have no trouble finding things to buy via search, rankings, or research, and give not one care if I never see another advertisement for the rest of my natural life. I do not hold to the notion that advertising, in any form, is a necessary evil of capitalism. An inevitable parasite, perhaps.
- Ancalagon 7y ago> I, for one, have no trouble finding things to buy via search, rankings, or research, and give not one care if I never see another advertisement for the rest of my natural life. How do you think those search results, those research rankings, are generated? People pay to advertise their sites at a certain level in search results too. Just because they are not immediately obvious advertisements doesn't mean they are not in fact advertisements.
- _corym 7y agoI think Brave's business model of blocking all these harmful ads that track you is awesome. Users can then opt-in to get paid to view notification-based privacy preserving ads. Websites and publishers can make up for the loss of revenue from these ads through creators.brave.com
- tinus_hn 7y agoBut does it also block ads like this comment?