The problem with promoted posts is tied to the core problem with the platform itself: low quality content. Launching an ad model on Steem just a few months after launch is asking for trouble. You attract quality advertisers by having a large, high value user base with a strong ROI. We are a small community to begin with, and the eyeballs that reach the Promoted posts tab is even smaller. The economics of how much an advertiser needs to spend to get adequate reach are not transparent (any digital marketer is going to want more data like their impressions, click through rate, etc). The result is limited opportunity and a poor experience for advertisers. Steemit definitely has the long term potential to build a sustainable ad model, but it's clear this was a rushed, half-hearted attempt to inject more demand into the market. Unfortunately, it's just a drop in the bucket right now compared to the substantial sell-off occurring each week by the early stakeholders.
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