Monetise indirectly

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A significant proportion of today’s platforms apply indirect monetisation. In an indirect revenue model, revenue is generated by charging third parties rather than end customers or users. The most common form of indirect monetisation is advertisement. It is about charging third parties for placing ads on the platform. These third parties usually cross-finance the free or low-priced offerings that are available to the other platform participants. Therefore, advertisements can finance a platform business even if the willingness of platform participants to pay is low. Users on YouTube do not have to pay if ...

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