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Anyone have an idea what is happening to their margins by the way? Who is competing against the same ad dollars as Google (FB seems a bit different), if cost pe
by notintokyo 13y ago
Anyone have an idea what is happening to their margins by the way? Who is competing against the same ad dollars as Google (FB seems a bit different), if cost per click is going down, why?
- Spooky23 13y agoI think they are like any other big industrial company. They build out factories (datacenters, networks, etc) based on a projection of long-term growth. Once you start missing those growth targets, it's like compounded interest... the impact of a small miss in year 1 has a big impact on the year 5 bottom line. They have a few issues IMO: - The market is saturated... how many more tiny classified ads can you sell? - The "less sophisticated" users who click on ads use Bing -- the Windows default. - There are real competitors out there... Bing, Facebook, etc. - They piss off their hardcore users too much. Google+: enough said.
- badclient 13y agoAlso, because mobile has less space for adword ads.
- Bognar 13y agoThe explanation I'd heard was that more people are using mobile devices and ads are less effective there.
- awj 13y agoI would guess it's mobile/tablets. I rarely see tasteful advertising geared towards that space, and "regular" pages shown on a mobile phone force me to zoom in on content and scroll past ads.