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What's interesting is that in this model a lot of companies might be paying for ads without ever seeing a return, because they cannot outbid those at the top. I
by juujian 4y ago
What's interesting is that in this model a lot of companies might be paying for ads without ever seeing a return, because they cannot outbid those at the top. In that case, Amazon would be sponging up money from a lot of players and returning it to a few. Which would be ok, but the problem is that you can either play the game or drop out. So it becomes a little bit of a gig economy thing where in theory you're free but in practice companies are squeezing you for everything.
- rippercushions 4y agoThat's not how online ads work? You bid for ad space, but you pay only if you get clicks, and are booted out fast if you don't get any. If you're always outbid, or nobody clicks on your ads, your spend is zero.
- juujian 4y agoYou would be right about that. "Sellers only pay the ad fee when a potential customer clicks on their Amazon listing. If no one clicks then there's no cost. As your ad is representative of your product and your Amazon listing is professional, you should be able to get a sale out of a significant number of your clicks" (Sep 21, 2021). If it's still like that, yeah that's different.