# The advertising business model

URL: https://gocutline.com/business-models/advertising/

The advertising business model: people use the product for free, and companies pay to reach them. Revenue comes from selling attention, by views or clicks.

## How it makes money
Revenue comes from selling attention, by views or clicks. It takes a large audience before it pays much, so most companies in this model focus on growth first and on income later.

## Real examples
- Google earns most of its revenue from ads next to search results.
- Meta earns from ads on Facebook and Instagram.
- Many YouTube creators earn a share of ads on their videos.

## The numbers to watch
- Revenue per 1,000 views
- Daily active users
- Time spent or pages viewed

## Who it fits
Media, social and free tools where people come back a lot.

## What goes wrong
You need a huge audience, and an update in someone else's algorithm can take it away.

## Try it this week
Work out how many views a month you need to earn your target. It is often more than people think.

Then give it a time: one block of 90 minutes this week, in [your calendar](https://gocutline.com/#try). Our [playbooks](https://gocutline.com/playbooks/) have the next steps for finding your first customers.

## Questions

**What is an example of the advertising model?**
Google earns most of its revenue from ads next to search results.

**What is the biggest risk with the advertising model?**
You need a huge audience, and an update in someone else's algorithm can take it away..

---
Cutline: Cutline is a weekly calendar and planner that turns time blocks into XP, levels and streaks. You plan your week in blocks, tick each one off when it is done, and see your progress on a social feed (the Floor) and a weekly leaderboard (the Arena). Planning and budgeting are free; paid plans add a badge, posting, messaging, shared calendars and lower selling fees, from $9 a month. Pro is free to try for 7 days.
Facts: https://gocutline.com/facts/ · Updated 2026-11-06