this post was submitted on 28 Apr 2024
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As someone that has used ad blockers for just about as long as I have been able to, I would like to think that this is true. However, I'm not entirely sure that it is. I've heard that a surprising percentage of people just don't even know that ad blockers exist. If that's the case then they may be very well aware of what is happening. (Using made up numbers for the sake of argument since I don't have real numbers) Like if only 5% of users use ad blockers and doubling the number of ads they show only brings that to 10% then it is certainly worth it financially. I doubt that if you were to graph that curve it would be linear - there is certainly a point where you inundate users with so many ads that even non-technical people will start learning about ad blockers. Regardless of what the real numbers are, I would be very surprised if they are making decisions this big without at least being aware of what those numbers might be. And if they can make a small amount of money indefinitely but they have evidence to suggest that they can make even more money also indefinitely then the financial motivation is obvious. Not all infinities are the same size.
That's definitely a good point. I looked it up and found a few places saying it was about 38% of users using adblock on the internet in general: https://techjury.net/blog/ad-blocker-usage-stats/
Although apparently the most adblockers are in Indonesia with over 50%.
So that would suggest that if there is a tipping point where increasing ads backfires, we're not actually that far away from it, and in some places it may have already happened.
Although the analysis that "if you add 10% to the price and lose 5% of customers then it's worth it" is definitely true. This is why there's a bottom to every market where for instance some people can't afford even the basic necessities and become unhoused.