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What Web 2.0 Startups Do During A Recession

The last few years have become the heyday of the new generation of Internet startups, the so-called Web 2.0 projects. In five years, their advertising revenues jumped from $ 6 billion to $ 21 billion. But the recession could cause this bubble to burst, as happened in 2001. Which companies will survive the hard times better than others - writes the Wall Street Journal .

According to venture investors, the easiest to be three types of startups. Those who have:

1) a large audience;
2) direct response advertising sales model: CPC and CPA instead of CPM;
3) niche content.
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In a period of uncertainty, advertisers will cut advertising costs and concentrate on the most effective advertising sites. Marketers will choose the well-known and proven methods of placing advertising budgets. They will be more likely to use behavioral targeting and other forms of targeting.

Experts advise start-ups with an actively growing audience to increase the staff of advertising agents in order to continue to increase the volume of advertising placed.

Source: https://habr.com/ru/post/47514/


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