The ROI on bribes is very high too, but we haven’t legalized those (officially).
This is just the same fallacy. In what world are people going to organically share ads for this company on their Facebook feeds? Who is going to Google the company name before they know about it?
Every business needs to proactively acquire customers.
Distribution and CAC are top of mind values for any growth business. It has been this way long before Google and Meta existed. Digital advertising actually makes it cheaper and easier than ever to acquire customers at scale.
Ban most ads and everything will still work fine.
They had to already know the company name or product name to get there.
This doesn’t just happen. Spreading the name of the product and getting it to stick in people’s minds takes a lot of advertising budget, on the whole.
So there is a plethora of companies happily dumping investor money into paid customer acquisition.
Blue Apron was a classic example of borderline fraudulent growth metrics and a cash grab IPO before the customer acquisition funnel collapsed.
