100-employee company Tumblr prefers an office in Manhattan, and may be on the brink of understanding how to make money from the internet. Tumblr is a combination of a blog platform and a social network, and is the brain-child of David Karp, the 26 year-old founder and CEO. The platform that Tumblr uses is the envy of many other sites, and there are statistics to support this. Tumblr hosts about 66.9 million blogs that reach about 140 million people all over the world, according to IT Pro. Those numbers translate to about 17.5 billion impressions a month.
Three months ago, Tumblr released an advertising model that lets companies use Tumblr to, according to Karp, “elevate them to the audience they really deserve.” Karp expanded, saying, “Instead of focusing on the hyper-targeting that Google and Facebook are selling [to] advertisers right now – a direct response from the audience – we have built our advertising products around creative brand advertising because we’re a media network. We have advertisers who are, rather than trying to capture intent, are trying to create intent.”
Essentially, Tumblr hopes to create awareness and desire in their ads, versus banner ads and click-throughs that advertisers love. Karp believes that Tumblr’s success depends on treating the platform as media, rather than technology. He also asserted that NY is the perfect environment for this kind of approach, because of its various sectors like art and media which can add to the tech side of business.