If I search for a new microwave on Google and then get a bunch of new microwave ads everywhere I browse I’m likely getting those at the time of my life where I’m least bothered by them given that I actually want to buy a microwave.
When I buy a microwave, I typically open the websites of the few shops I trust, search for the products, compare their parameters, and read the reviews. I don’t really understand what extra value I get from Google showing me more microwave ads when I am trying to listen to some music on YouTube afterwards. My priors for Google showing me a better microwave are quite low. (But this is all hypothetical, because Google will show me the ad for Grammarly regardless.)
This happens both because they want to keep their users and don’t push them away and because the people who appreciate a given ad are most likely to engage with it.
My knowledge may be obsolete, but the last time I checked, there were essentially two models: “pay per view” and “pay per click”. Given that I am the kind of user who almost never clicks on ads, it makes more sense to show me the “per per view” ones, right?
But then, the income from ads shown to me is proportional to the number of ads shown to me. So the optimal amount of ads to show me is… smaller than the amount that would make me stop using the website… but not much smaller. Did I get my math wrong somewhere?
When I buy a microwave, I typically open the websites of the few shops I trust, search for the products, compare their parameters, and read the reviews. I don’t really understand what extra value I get from Google showing me more microwave ads when I am trying to listen to some music on YouTube afterwards. My priors for Google showing me a better microwave are quite low. (But this is all hypothetical, because Google will show me the ad for Grammarly regardless.)
My knowledge may be obsolete, but the last time I checked, there were essentially two models: “pay per view” and “pay per click”. Given that I am the kind of user who almost never clicks on ads, it makes more sense to show me the “per per view” ones, right?
But then, the income from ads shown to me is proportional to the number of ads shown to me. So the optimal amount of ads to show me is… smaller than the amount that would make me stop using the website… but not much smaller. Did I get my math wrong somewhere?