“ Most ad-supported startups will fail simply because 1) ads suck, and destroy value, but 2) they’re not creating new value by making said ads any better.
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I was pitching a VC once and we talked about how low the bar is for improving ad conversions. “Advertisers will be ecstatic getting from 0.75% to 1.5%”, etc…I doubt they will ever get much above that. ‘Cause, you know, ads suck.
On the blog of one of my fav web services ever, there’s a headline: “Marketing is a tax you pay for being unremarkable.”
