Here’s a quote from Fred Wilson that I came across. I think everyone knows this at this point. The challenge is how to balance monetization and timing.
“If you just slap up some generic ad format, people tune it out and it doesn’t perform. People don’t hate advertising. They hate bad advertising, interruptive ads or poorly targeted ads.”
Let’s assume that Tumblr can’t find a new and better monetization product. What do you do? Do you monetize settling for existing solutions or do you spend even more time and resources trying to find something better? Sometimes, you don’t have a choice, depending on who’s on your board.