• CurlyWurlies4All@slrpnk.net
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    2 days ago

    You’re not missing anything. You got it right. The entire funding model for tech is destined for a financial collapse that will make 2008 look like child’s play.

    https://www.fsgoriginals.com/books/subprime-attention-crisis

    From the unreliability of advertising numbers and the unregulated automation of advertising bidding wars, to the simple fact that online ads mostly fail to work, Hwang demonstrates that while consumers’ attention has never been more prized, the true value of that attention itself—much like subprime mortgages—is wildly misrepresented. And if online advertising goes belly-up, the internet—and its free services—will suddenly be accessible only to those who can afford it.

    • brucethemoose@lemmy.world
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      2 days ago

      It’s great for pushing enraging content though. I feel like the content itself has gravely affected the collective psyche, and so have influencer endorsements (which companies pay big bucks for), even if the explicit ads have not.

      • CurlyWurlies4All@slrpnk.net
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        2 hours ago

        Influencer endorsements can actually be even less effective than traditional ads, despite their outsized budgets.

        The industry has also been expressing concerns about the validity of social media ‘vanity’ measures, documenting that engagement for most social media platforms and for collaborations with influencers can be very low (Influencer Marketing, 2020)

        https://sponsors.marketingscience.info/wp-content/uploads/sites/2/c_pub/2023/03/2023-03-20-A-comparison-of-Social-Media-Influencers’-KPIs-Patterns-Across-Platforms.pdf

      • BenjiRenji@feddit.org
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        2 days ago

        It destroys real relationships, replaces them with para social ones, then exploits them for money. It’s not just attention that is monetized. It’s human connection.

        Also for porn: onlyfans is successful because you can pay for personalized actions and one can build something appearing like a relationship with the porn star. Before one would just passively watch them.

        • brucethemoose@lemmy.world
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          2 days ago

          onlyfans is successful because you can pay for personalized actions and one can build something appearing like a relationship with the porn star. Before one would just passively watch them.

          It’s still so one-way though.

          I guess what’s remarkable is the collective unawareness of how artificial those relationships are. I get it, I know IRL loneliness and went down the engagement rabbit hole too.

          But still, it’s remarkable. I still see articles from professional journalists, all the time, wondering what’s happening to relationships or democracy or whatever then end their post with something akin to a “like and subscribe!” and a busy Twitter profile.