I posted a little while ago pretty much calling into question most web revenue. In my post I mentioned;
the eventual discovery that online advertising doesn’t really work, and that there are a bunch of emerging technologies that could cause a significant dent in how much of the ad biz comes the online way.
A comment on the post asked me to clarify my views, to which I replied;
1) I’m something of an outlier. No TV, fully self-informed consumer on the odd occasions that I consume and kind of impervious to marketing – so from that perspective for me advertising doesn’t work
2) Even though Google is very targeted, in comparison to old school advertising – I believe it’s the tip of the iceberg in terms of how far we could go with true “personal intention” type stuff. To that end I believe a significant proportion of advertising as we know will be rendered unnecessary
To add fuel to my argument I was please to read this post by Yves. They have a pretty successful website that since its inception has attracted 35000 visits – that’s a fair number of visits in anyone’s estimation.
They have adds on the front page as a way to drive some revenue – if only to cover costs.
And how much money have they made?…….$15
35000 visits and $15
To put that in perspective, in order to derive a modest income of $50000, one would have to generate 120 million visits a year.
OK I know the metric is kind of wrong, advertising success is dependent on content, heavily trafficked sites are attractive and that some people are actually making money of advertising – but notwithstanding all of that…