making money from social media real world examples
DESCRIPTION
Real life examples from the media on how companies are making money in the social media spaceTRANSCRIPT
Making money from social media
http://community.brandrepublic.com/blogs/gordons_republic/archive/2009/12/17/facebook-to-hit-1bn-in-revenues.aspx
• Premium price direct sales
• Self service display ads
• Targeted ads
• Viral marketing functionality
• Virtual goods and search capability
• Move into profitability
• Premium price direct sales
• Self service display ads
• Targeted ads
• Viral marketing functionality
• Virtual goods and search capability
• Move into profitability
http://www.businessinsider.com/facebook-revenues-near-1-billion-2009-12
• A massive audience of around 350m active users
• More data is known about these users than ever before
• Enables targeting of advertising, services and data
• A massive audience of around 350m active users
• More data is known about these users than ever before
• Enables targeting of advertising, services and data
Dell makes millions via Twitter
http://www.techwatch.co.uk/2009/12/09/dell-makes-millions-via-twitter/
• Twitter used as ‘another customer service channel’
• Twitter used as a window to showcase offers and new sales potential
• Twitter used as ‘another customer service channel’
• Twitter used as a window to showcase offers and new sales potential
Twitter makes a profit
http://www.eweekeurope.co.uk/news/twitter-makes-a-profit-thanks-to-google-and-microsoft-2845
• Need to combat the ‘threat’ posed to search engine vulnerability from social media
• Need to include Tweets in searches on Google etc
• Model creates a demand = a profit for Twitter
• Need to combat the ‘threat’ posed to search engine vulnerability from social media
• Need to include Tweets in searches on Google etc
• Model creates a demand = a profit for Twitter
Selling clothes to women ‘online’
• Sales up 118% over
the key Christmas
period
• Profits on target for
2009
• Selling clothing
online was said to be
‘impossible’
• Sales up 118% over
the key Christmas
period
• Profits on target for
2009
• Selling clothing
online was said to be
‘impossible’
If it is ‘convenient’ and they ‘trust it’ – consumers will buy it
• Convenient
• DVDs posted to your home
• Ordered online
• Convenient
• DVDs posted to your home
• Ordered online
• Launches streaming to TV service in US in May 2008
• 9.4m subscribers – revenues up 13% in 2008
• In the UK ‘Love Film’ is making just as big an impact
• Launches streaming to TV service in US in May 2008
• 9.4m subscribers – revenues up 13% in 2008
• In the UK ‘Love Film’ is making just as big an impact
Threadless
• YOU submit designs
for T-Shirts
• The community votes
on them
• The best get printed
• Never lost money on
any T-Shirt
• Overheads minimal
• All marketing online
• YOU submit designs
for T-Shirts
• The community votes
on them
• The best get printed
• Never lost money on
any T-Shirt
• Overheads minimal
• All marketing online
Threadless
http://www.collective-e.com/blog/business-model-works-threadless-generated-10-million-profit-30-million-sales
• An astonishing profit
ration for this model
• $10m profit from
$30m in sales
• An astonishing profit
ration for this model
• $10m profit from
$30m in sales
Music downloads – a new model
• Basic service free
• High quality CD
sound quality service
£9.99 monthly
• Micropayment model
popular where
community resent
paying high prices or
paying anything at all
• Basic service free
• High quality CD
sound quality service
£9.99 monthly
• Micropayment model
popular where
community resent
paying high prices or
paying anything at all
Spotify
http://www.wired.com/epicenter/2009/08/biggest-record-label-earns-more-from-spotify-than-itunes-in-sweden/
• Music business slowly
realising it cannot fight
this ‘free’ trend
• Music business now
adopting the new
models and finding new
revenue streams
• iTunes success
heralding this new age
• Music business slowly
realising it cannot fight
this ‘free’ trend
• Music business now
adopting the new
models and finding new
revenue streams
• iTunes success
heralding this new age
http://www.techradar.com/news/internet/spotify-and-last-fm-gaining-new-listeners-657361
• 4.5m people in UK
using this new
‘personalised radio’
service
• Up from 2.9m one
year earlier
• Music from the
‘cloud’ more popular
• What is the long term
future for radio and
advertising on this
medium – as people
expect music
‘personalised’?
• 4.5m people in UK
using this new
‘personalised radio’
service
• Up from 2.9m one
year earlier
• Music from the
‘cloud’ more popular
• What is the long term
future for radio and
advertising on this
medium – as people
expect music
‘personalised’?
http://www.thelocal.se/23206/20091111/
• As Broadband
becomes more and
more pervasive
• More and more
reliable
• As personal viewing
habits change and
the TV is no longer
the only option
• Films streamed to
your electronic
‘device’ becomes a
serious business
option
• Film business faces
same challenge as
music business
• As Broadband
becomes more and
more pervasive
• More and more
reliable
• As personal viewing
habits change and
the TV is no longer
the only option
• Films streamed to
your electronic
‘device’ becomes a
serious business
option
• Film business faces
same challenge as
music business
Become a rock supremoFund your own artist!Launched on 18 June 2007400.000 registered users (Q1 2008)Raised £150,000 for 9 artists to produce their first albumPlan for 2008. Securing financing for over 30 artists in the UK, which is more than EMI, Sony BMG or Warner Music achieved last year.
http://www.slicethepie.com/