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Gwern's Law: Ads cost you a tenth of your users

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Re: Gwern's Law: Ads cost you a tenth of your users

#321

Earlier quoted context omitted.

I think an ad outside of a game is fine if it's not too excessive, but I too was disappointed to see cross-game "ad" content being baked into The Legend of Zelda DLC.

> I think an ad outside of a game is fine if it's not too excessive I don't, if the ad is on a device or program that I've paid cash money for.

Exactly. I didn't pay 300€ for an ad delivery mechanism.

Re: Gwern's Law: Ads cost you a tenth of your users

#322
post #320

Earlier quoted context omitted.

> No matter how much everyone dislikes ads, they aren’t going away until there’s a way to fund your site/org/business. The problem isn't that there aren't other ways of generating revenue. There are lots of them. The problem is that carrying ads is the easiest way -- it requires almost no development effort.

That doesn’t answer my question. The question isn’t what ways there are to generate revenue, it’s what is the right metric. Number of users dropping doesn’t mean that revenue is dropping, so it’s not a great metric to demonstrate that ads are bad. If we want to show that adding ads to a site is damaging, we have to show that it’s actually damaging, rather than you lose a fraction of the people who were mooching anywa…

> The main sources of funding for small companies are: loans, grants, personal savings, friends & family, angels, VCs, sales, and ads.

Funding a startup is an entirely different, and more complicated, topic than what I was addressing. However, I would mention that what you list there are not the only options.

For instance, I've started a number of successful companies without requiring more than a small amount (four figures) of seed money from my own savings, and bootstrapping from there, growing the companies from the revenues streams they create.

Admittedly, this isn't an approach that appeals to everyone or is feasible for all sorts of business. It requires a lot more work and causes initial growth to be very slow (but the payoff is no debt), but it works for me and demonstrates that in the real world there are numerous workable approaches.

> In that sense, it does require development effort.

Yes, but that's precisely the same amount of development effort required no matter what your revenue model is.

Re: Gwern's Law: Ads cost you a tenth of your users

#323
post #32

I believe it. There are a lot of games that I downloaded from the app store and really liked initially. However, I noticed a pattern. At first, ads seemed to be optional (i.e double your gems by watching an ad!) However, after about 10 minutes of playing, I'd see an ad. No big deal. But then it got more and more aggressive. Pretty soon there was an ad after every single level, (plus the bonus ad if you want to double…

I used to love the game Temple Run on the iPhone. I paid for it. I bought stuff in the game. And then they added advertisements.

That was the day that I deleted my favorite iOS game and never looked back. I was very disappointed in what had happened, but I am just that fed up with pervasive full screen advertisements.

Seems that other users are as well. A quick web search will show you a lot of altered .apk versions available for download.

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