le_nelson_mandela_face
le_nelson_mandela_face
"Jpg." - Hank Hill
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http://idlewords.com/talks/internet_with_a_human_face.htm
Recall that advertising is when someone pays you to tell your users they'll be happy if they buy a product or service.
Yahoo is an example of a company that runs on advertising. Gawker is a company that runs on advertising.
Investor storytime is when someone pays you to tell them how rich they'll get when you finally put ads on your site.
Pinterest is a site that runs on investor storytime. Most startups run on investor storytime.
Investor storytime is not exactly advertising, but it is related to advertising. Think of it as an advertising future, or perhaps the world's most targeted ad.
Both business models involve persuasion. In one of them, you're asking millions of listeners to hand over a little bit of money. In the other, you're persuading one or two listeners to hand over millions of money.
I like to think of the quote from King Lear:
I will do such things,—
What they are, yet I know not: but they shall be
The terrors of the earth
That's the essence of investor storytime. Give us money now, and you won't believe how awesome our ads will be when we finally put them on the site.
King Lear would have killed it in Silicon Valley.
Investor storytime has a vastly higher ROI than advertising. Startups are rational, and so that's where they put their energy.
Take the case of Quora. Quora is a question-answering website. You type a question and a domain expert might answer it for you.
Quora's declared competitor is Wikipedia, a free site that not only doesn't make revenue, but loses so much money they have to ask for donations just to be broke.
Recently, Quora raised $80 million in new funding at a $900 million valuation. Their stated reason for taking the money was to postpone having to think about revenue.
Quora walked in to an investor meeting, stated these facts as plainly as I have, and walked out with a check for eighty million dollars.
That's the power of investor storytime.
Let me be clear: I don't begrudge Quora this money. Anything that removes dollars from of the pockets of venture capitalists is something I favor.
But investor storytime is a cancer on our industry.
Because to make it work, to keep the edifice of promises from tumbling down, companies have to constantly find ways to make advertising more invasive and ubiquitous.
Investor storytime only works if you can argue that advertising in the future is going to be effective and lucrative in ways it just isn't today. If the investors stop believing this, the money will dry up.
And that's the motor destroying our online privacy. Investor storytime is why you'll see facial detection at store shelves and checkout counters. Investor storytime is why garbage cans in London are talking to your cell phone, to find out who you are. (You'd think that a smartphone would have more self-respect than to talk to a random garbage can, but you're wrong).
We're addicted to 'big data' not because it's effective now, but because we need it to tell better stories.
Recall that advertising is when someone pays you to tell your users they'll be happy if they buy a product or service.
Yahoo is an example of a company that runs on advertising. Gawker is a company that runs on advertising.
Investor storytime is when someone pays you to tell them how rich they'll get when you finally put ads on your site.
Pinterest is a site that runs on investor storytime. Most startups run on investor storytime.
Investor storytime is not exactly advertising, but it is related to advertising. Think of it as an advertising future, or perhaps the world's most targeted ad.
Both business models involve persuasion. In one of them, you're asking millions of listeners to hand over a little bit of money. In the other, you're persuading one or two listeners to hand over millions of money.
I like to think of the quote from King Lear:
I will do such things,—
What they are, yet I know not: but they shall be
The terrors of the earth
That's the essence of investor storytime. Give us money now, and you won't believe how awesome our ads will be when we finally put them on the site.
King Lear would have killed it in Silicon Valley.
Investor storytime has a vastly higher ROI than advertising. Startups are rational, and so that's where they put their energy.
Take the case of Quora. Quora is a question-answering website. You type a question and a domain expert might answer it for you.
Quora's declared competitor is Wikipedia, a free site that not only doesn't make revenue, but loses so much money they have to ask for donations just to be broke.
Recently, Quora raised $80 million in new funding at a $900 million valuation. Their stated reason for taking the money was to postpone having to think about revenue.
Quora walked in to an investor meeting, stated these facts as plainly as I have, and walked out with a check for eighty million dollars.
That's the power of investor storytime.
Let me be clear: I don't begrudge Quora this money. Anything that removes dollars from of the pockets of venture capitalists is something I favor.
But investor storytime is a cancer on our industry.
Because to make it work, to keep the edifice of promises from tumbling down, companies have to constantly find ways to make advertising more invasive and ubiquitous.
Investor storytime only works if you can argue that advertising in the future is going to be effective and lucrative in ways it just isn't today. If the investors stop believing this, the money will dry up.
And that's the motor destroying our online privacy. Investor storytime is why you'll see facial detection at store shelves and checkout counters. Investor storytime is why garbage cans in London are talking to your cell phone, to find out who you are. (You'd think that a smartphone would have more self-respect than to talk to a random garbage can, but you're wrong).
We're addicted to 'big data' not because it's effective now, but because we need it to tell better stories.
aerdil
aerdil
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didnt read this
le_nelson_mandela_face
le_nelson_mandela_face
"Jpg." - Hank Hill
Post rating:
~
aerdil posted:didnt read this
enjoy ur ban
cars
cars
UNUSUALY COOL
Post rating:
+
le_nelson_mandela_face posted:Wikipedia, a free site that not only doesn't make revenue, but loses so much money they have to ask for donations just to be broke
i dont know how they do it, huge fuxkin agatha christie right
h 