SMBs broadly spend 200-400 dollars a month on ads and see marginal to negative returns against 10 million in spend for large clients. Even 1000-5000 see marginal returns at best unless the target small demo high return (local premium services). They lack the budgets for learning and optimization let alone optimal price per placement.

This combined with SMBs targeting everyday joes with increasing less demand availability for anything it leaves them crushed on both sides.

Wow so 10,000-100,000x spend difference. That is a wide K.

Do you think there’s any hope for SMB? Eg I’ve seen some companies tout AI advertising optimization for SMB but when I looked into one for investment the numbers weren’t very compelling.