Lefsetz Letter » Blog Archive Ad-Blocking – Lefsetz Letter

We’ve all got to focus on giving people what they want. That’s internet 101. The consumer is in control. Win by serving them, not by corralling them to fit your own desires.

Not that business people always get it wrong. Look at Reed Hastings and Netflix. He knew that streaming was the answer, he dropped the price and provided instant access. There was huge public outcry from people who wanted to rent DVDs. Do you know anyone who rents DVDS anymore? Do you know anyone who has a DVD player? Discs are dead. Hastings knew this already, the public had to catch up, and when it did people were satisfied, Netflix is burgeoning.

And Apple has eliminated disc drives from computers. The same way Steve Jobs got rid of legacy ports almost twenty years ago. Remember the outcry? That this also-ran computer company was leaving old customers in the dust, forcing them to buy new product? Well, that was back before Apple became a juggernaut, it was a harbinger of what was to come.

Just like this is.

People are sick and tired of losing their privacy. They’re sick and tired of being tracked. There’s nothing as weird as seeing an ad for a product follow you around the web. Do you want to trust these people? Did you trust the Stasi?

The ad companies are no different from the record companies, wanting to hold on to an old model that benefits them but not the user. Meanwhile, wannabe techies side with them the way wannabe musicians side with legacy artists in desiring the old model, they feel they’ve lost their opportunity. But isn’t it funny that today it’s the labels who are on the cutting edge, pushing streaming services, and the acts are the ones behind. Winners take stock of a changed world and adjust accordingly. Keep your music off Spotify? Put it everywhere and get people to listen to it. The rewards come when people know who you are, they’ll give you tons of money if only you create a bond.

Source: Lefsetz Letter » Blog Archive Ad-Blocking – Lefsetz Letter

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