I don't know whether or not it's still profitable cause I've not earned a single cent with this (well, it's too early to tell) but in the last 3 weeks I have set up 3 autoblogs (working on my 4th one right now), and I will keep an eye on the stats and income and if they make me at least $200-300 per year I will consider them profitable.
Obviously that I want them to make me more than $300 per year, but... given how I don't do anything for that money and how the content is not that good I will let it go with just $300 per year
Also, I have heard someone say a few months ago on this forum (I don't remember who was it, though) that autoblogs are still profitable. But you obviously need to know what you're doing. The guy was having autoblog in the news niche.
An autoblog is basically a website that runs on autopilot. Well, the content "writing" and posting part of it anyway
And no, you are not dumb. You SHOULD write for your readers because your readers put money in your pocket. But the reason(s) you are making such little money is probably one - or all - of these:
- you've targeted a bad niche (a niche in which people don't spend much money, like for example: gaming hacks... or poker tips... meme creation... or whatever. These examples are very bad, I know, but I can't think of better examples at the moment)
- you're targeting the wrong keywords (keywords with very little, or no traffic at all)... or you're not even targeting any keywords at all, which is even worse
- you are not getting enough traffic
- your traffic doesn't convert very well for one, or more of these reasons: no / poor call to action, monetization method is not targeted to their needs, your traffic is poor in general, your articles (blog posts) are informational only, etc
- you don't rank in google (where most of the traffic that converts is) because your competition is too high, your website too bad, your backlinks too few or too low quality, or any combination of these elements, or any other element that's important for ranking in google but which I can't think of at the moment.