Cheap media, cheap ads

Listening to AM radio at 7 am on a Sunday is a real chore.

Even in a city like NY, the ads are virtually free. Mysteriously, when the ads are cheap (think banners, or cable or AM radio), the content is lousy.

A SuperBowl ad costs a few million dollars to run… so the beer companies and the dot com companies spend millions creating the ad, even if it runs only once. A banner ad that you can buy for $200, on the other hand, appears to be created by a small chipmunk in the secretarial pool.

There’s no economic reason for this. You can run that banner ad in a thousand places. You can run that radio ad in 200 cities. If the media is cheap, it might just be a good value. And if you can run an effective ad, you can run it far and wide and turn a profit.

Or you could just run a cheap ad.