This interview with the founder of Wikipedia about the takeover of Tumblr by Yahoo touches on how internet advertising works, and why it is important to get it right.
Jimmy Wales (BBC)
As he says, 'it's a social contract'. That is, things that aren't strictly financial, like intentions, matter. For example, if I think a website is taking advantage of me by throwing too many adverts at me, I might be offended or put off using that website. But if I perceive the website as just using fair means to make ends meet I might put up with the same amount of adverts. In summary, perceived intentions matter. (And as we speak behavioural economists are beavering away to include intentions in standard economic models...)
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