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Scale & Strategy

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This is Scale & Strategy – the newsletter that maintains what psychiatrists have called “an unhealthy fixation” on business, so you can become a smarter investor!

Here’s what we got for you today:

• Should you lead with facts or feelings in your ads?
• A16z’s latest GenAI consumer app rankings

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Should you lead with facts or feelings in your ads?

You’ve got two choices when building an ad:

• Tug at the heartstrings.
• Or hammer home the features.

Which one actually works? Turns out, science has an answer — and it depends on your price point.

Researchers dug into 2,317 car commercials across 15 years (yep, they went full Mad Men meets Excel) to figure out what really moves sales.

The results weren’t vague or fluffy. They found a split as clear as a dealership’s showroom glass:

• Expensive, high-quality products crush with emotional ads.
• Cheaper, lower-quality products win with informational ads.

Here’s why.

When something’s cheap, people assume it’s cutting corners. If you’re buying a budget car, your brain immediately goes: What’s wrong with it? Is the mileage trash? Will it fall apart in two years?

That’s where informational ads shine. They reassure, answer objections before they form, and make the purchase feel safe.

Now flip it. With expensive stuff, people assume the basics are covered. A luxury car? Of course it’s got good mileage and safety features. The job of the ad isn’t to list specs — it’s to make you feel something. To attach pride, status, or belonging to the brand. You’re not just buying a car; you’re buying an identity.

Basically: cheap products need proof. Premium products need vibes.

But there’s a twist. Context matters. If someone’s rushed, they want the straight facts — even on premium items. If they’re lounging, they’re more open to a narrative that unfolds and makes them feel something.

Timing and placement amplify the effect. It’s not just what you say, but when and where you say it.

So before you pick your creative direction, check your product’s price tag. It’s basically the creative brief in disguise.

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A16z’s latest GenAI consumer app rankings

The quick take: Andreessen Horowitz just dropped the fifth edition of its Top 100 GenAI Consumer Apps. OpenAI still holds the crown, Google’s right on its heels, “vibe coding” is breaking out, and Chinese developers are quietly dominating mobile AI.

Key points:

• Google’s push: Gemini landed at #2, pulling in ~12% of ChatGPT’s web traffic. Google’s AI Studio, NotebookLM, and Labs also cracked the list.
• Grok’s surge: Up to #4, fueled by Grok 4 launches and its new AI companion features.
• China’s rise: 22 of the top 50 mobile apps were developed in China—yet only 3 primarily serve the domestic market.
• Vibe coding wave: Lovable (#23), Cursor (#26), Replit (#41), and Bolt (just outside the cutoff) all jumped, signaling a surge in AI-powered dev tools.

Why it matters: The rankings aren’t just a scoreboard—they’re a leading indicator of where consumer adoption is actually happening. The vibe coding breakout in under six months shows how fast new categories can go from niche to mainstream.Was this email forwarded to you?

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