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Old 22-04-2011, 11:24   #22
Damien
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Re: Spotify commits commercial suicide?

Quote:
Originally Posted by Chris View Post
That's because they have tried to have their cake and eat it. How can you sell advertising space to someone when they know the advert that follows theirs will be a plea from Spotify asking the listener to 'upgrade' and get rid of the adverts? That's a tough sell in anyone's book.
I think that was because they decided that adverts wouldn't be enough to cover their costs and wanted to move people to the subscription plans. There are very few examples of services making money via advertising alone, especially services that depend on content rather than searching or social networking, where the cost of a page being served is very cheap as it's contents are generated, rather than 'created' as a song, video or piece of writing is.
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