Advertising in Eateries Business


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I’ve recently been presented with an opportunity to invest in a small company that connects local businesses looking to advertise in our area with eateries that are willing to feature those ads in exchange for monthly ad revenue.

The company places the ads in tabletop sign holders on the eateries tables, as well as in menus, placemats, and coasters, all depending on the preference of the eateries and advertiser. They are also talking to a few donut shops about placing ads on the paper bags that are used to put donuts into, as well as talking to a local coffee shop about putting ads on their cups.

Their monthly profit projections, if they can get 200 eateries to sign up, is quite exciting at $35K. I’ve looked through the projections in detail and in a vacuum they make sense. I’m posting here, however, because I am not exactly sure about the business model. Has anyone seen anything similar to this work well? I’m worried many eateries wouldn’t agree to this because it feels kind of tacky to have ads all over… On top of that, I am not sure businesses will really pay for this type of advertising.

If anyone has any experience or insights, it would be much appreciated. I am all for newish ideas, but I am concerned there is a reason this business doesn’t already exist and thrive. Thanks in advance for your feedback!

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