Wednesday, August 08, 2007
Industry Note: Error of the Day
Oh, the lulz.
"...NBC Universal is expanding its battle against YouTube and other viral video sites, using the weight of its top-rated USA cable network to launch an all-advertising website called Didja.com."
Wow. Strategic errors are flying fast and furious these days.
Note to NBC: ads are ads. They impose massive nuisance costs on consumers.
Aggregate all the ads you like - it's pretty unlikely consumers are gonna demand them very much.
From a strategic pov, it's the economic essence of advertising - the fact that ads suck - that is being utterly and totally disrupted. That's where the real money is.
Put more simply: the problem isn't finding ads you like (hence, an economic role for an aggregator). Rather, its that 99.999% of ads suck.
We find it difficult to understand why ideas like this are considered market-worthy - especially in q3 2007.
But you can also look at it as an experiment in finding the 0.1% of ads that don't - and that is quite inline with what you are preaching here.