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Ask HN: Why don't so many startups use ads (like AdSense) to monetize?
I've seen a lot of startups that launch without any kind of monetization (like Product Hunt, remoteok.io)
They could be earning revenue from day 1 by using AdSense, so why don't they?
- butwhy 12y agoIt's bad for user experience. Also, you're getting paid to encourage users to LEAVE your site.
- Nadya 12y agoBecause ads irritate potential users/customers. Also, a bit more specific to Product Hunt, they're mostly targeting the dev crowd; many of whom would be using an Ad Blocker anyways.
- DanBC 12y agoLook at the shitstorm that happened when Pinterest started using skimlinks. Admittedly, they did it in a stupid way, but still.
- bt3 12y agoIn addition to what others have mentions, the returns are typically low as well. Going off what others said, since Google Adsense ads are targeted, that means your competitor would hypothetically be advertising on your own site, and second, startups usually are in niche industries where the bid prices for ads are low. Unless the startup is in the business of legal help for mesothelioma, they can realistically expect a dime or two per click on ad. Consider an ideal 2% CTR (click through rate), and you'd need more than 5000 visitors to pull in only about $20.
- butwhy 12y ago>mesothelioma Lol. I see someone has done some seo/marketing in the past.