So as revenue growth has tremendously slowed down at Roblox (NYSE:RBLX), they’re going to be jumping into online advertising at the end of this year 2022 and more heavily into 2023.
And get this, guys, the company’s revenue growth a year ago was 100%.
And now, in their recent quarter, they reported 30% revenue growth year over year. So it’s come down dramatically.
And since announcing this, you guys can see that the company’s stock has gone up a good amount. We’re talking over 15%.
Roblox (NYSE:RBLX) Enters Online Ad Market
And Roblox (NYSE:RBLX) has already started rolling out ads, testing them with companies like Warner Brothers and Vans.
And the challenge here is their customers are young kids, right? And they can’t serve ads to children under the age of 13. So that is a challenge.
But I believe this is a smart business move from Roblox that’s going to generate more revenue long-term and increase the value of the business.
What do you guys think? Let me know your thoughts. Follow along for more.