Your SlideShare is downloading. ×
0
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

ADTELLIGENCE_White Paper_Monetization of Social Networks_Chapter3

1,676

Published on

internet,monetization,"online marketing","social media","social media marketing","social network","social web",targeting,"white paper", advertising, business model

internet,monetization,"online marketing","social media","social media marketing","social network","social web",targeting,"white paper", advertising, business model

0 Comments
7 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
1,676
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
2
Comments
0
Likes
7
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. ADTELLIGENCE GmbH Mannheim, Germany www.adtelligence.de info@adtelligence.de “Cashing in” on Connections – Monetizing Today’s Social Networks White Paper (2009) Chapter 3 – Business Models for the Internet of the Future
  • 2. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 2
  • 3. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 3
  • 4. Broadband Internet Access: Paving the Way to Market Successes The spread of broadband Internet access Technical Origins has led to growing numbers of Internet users, more innovative ideas for Web Affordable, applications, and increased capital Broadband investments into the market Attractive Uses of Internet the Internet  Improved bandwidth brought forth new features on more Web pages Innovative,  There was a cycle of new ideas, Usable More Users including the "Web 2.0 revolution" WebFeatures and ultimately, a huge push for users to jump online Web 2.0  The Web 2.0 "hype" and high ratings of new ideas led to many second- More More More round funding investments Innovation Founders Financing www.adtelligence.de 4
  • 5. Plenty of Funding, No Plans for Monetization • Venture capitalists funded start- ups with increasing users, Venture focusing mainly on growth; and were satisfied with the vague Lack of pressure to Capital business models companies presented monetize in the early Financing • First-mover investments was the dominant approach as the stages of Web2.0 Web2.0 hype transpired Growth was the main focus for companies and their investors • Even players like Microsoft, during this time Acquisitions Google and News Corp acquired Web 2.0 companies Recession forces them through • In addition, group synergies to monetize earlier established focusing on user growth were at the forefront, rather than an than planned businesses efficient business model (MySpace, Hotmail or YouTube) www.adtelligence.de 5
  • 6. Investors Relationships and Their “Network Effect” For the investors of various Web 2.0. start-ups, the “network effect” and overall growth of the young social network’s user base was at the forefront of strategy. How to actually make money, on the other hand, wasn’t the focus of their equation at the time. Here is an example of the network effect from the sale of Friendfeed to Facebook. The VCs are often invested in many different companies which fit together only in a portfolio view. www.adtelligence.de 6
  • 7. The Economic Crisis and the Pressure to invest  Within just weeks of the global economic crisis, there was an intense rethinking among investors in terms of business and investment strategy  The pressure on the venture capital firms grew Economic and dramatically due to high cash burn rates of financial crisis of their newly created businesses 2008/2009  Even for the well established businesses, the pressure was increased by the high levels of debt built up from their acquisitions  The start-ups of investors’ portfolios were brought under even greater pressure to find ways to monetize their business www.adtelligence.de 7
  • 8. Rapid User Growth in Social Networks Show First Signs of Market Saturation Increased Growth Nearing Market Saturation? Since 2004, Social Networks showed dynamic Two-thirds of all Internet users visit Social growth among users. Facebook, founded in 2004, Networks today registered its one millionth member at that time and currently has more than 290 million members In Russia, Internet users spend an average of 6.5 “Student directories” of Germany currently have hours logged in to Social Networks more than 15 million members Already 75% of the German, Swiss, American, and Since 2008, growth leveled off in most countries. Australian online population are members of at This was partly due to the beginning market least one social network saturation and partly to new, specialized competitors (see examples) More than 80% of all students in the United States and Germany have a profile on at least one Also in 2008, the first signs of Social Networks trying social network to win over users from other networks became visible www.adtelligence.de 8
  • 9. Pressure from Investors: “It’s go time…or else!” Pressure from Investors “How do I monetize my social Competition to network?” survive in a Saturated Market www.adtelligence.de 9
  • 10. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 10
  • 11. Good Business Models include both Revenue and Expenditure Models, with an Emphasis on the Revenues! Basis of “Business models are perhaps Knowlege the most discussed and least and Features of understood aspect of the Web. a Product There is so much talk about how the Web changes traditional business models. Usable Go-to- But there is little clear‐cut Products Business Market That Add Model Strategy evidence of exactly what this Value means.” Professor Michael Rappa Revenue The real Model focus is Expenditure here! Model www.adtelligence.de 11
  • 12. Distinguishing two Revenue Models: Direct and Indirect Possible Revenue Models for Social Networks Direct Indirect User Pays for Usage: Third-parties (businesses) pay for access  Per time spent using service. (most to services (exploiting the reach of the frequent model, e.g. monthly fee) social network):  Per feature/functions used (regularly  For the placement of advertisements or for one time usage)  For the sales of third-party products  For the use of the network as a market research channel Virtual Market Subscription Freemium Advertising E-Commerce Goods Research www.adtelligence.de 12
  • 13. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 13
  • 14. Subscription Models: The Challenge of getting Users to pay Subscription revenue models charge for usage of services on a reoccurring schedule (daily, monthly, yearly, etc.) The advantage is that revenues are calculated well in advance, and the services are pre-financed by customers (Similar to the print media business models) Subscription models are only successful if users see a direct added value – especially in comparison to a similar service that is available for free. For example, streaming music directly rather than downloading it to a shopping cart, checking out, having to wait, etc. One challenge that businesses face is to get users to overcome the “payment hurdle.” In most cases, there is a free trial period (examples: myYearbook, Napster), which allow the user to test the network for limited time Despite these hurdles for first time users, many companies use the “Freemium” business strategy (see next chapter) where basic site functionality is freely available, and extra “premium” features must be paid for www.adtelligence.de 14
  • 15. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 15
  • 16. Freemium Model Monthly Fees for Premium Features, Basic Versions for free Freemium models combine free usage with premium features and functionality The term “premium” generally offers higher-quality services (more storage space, use of advanced archival or search functions, etc.). An excellent example of an Acquisitions Freemium model for specialized services can be found at www.myartspace.com For some services, the premium version is exactly the same in terms of performance, but is simply free of third-party advertising. (example: www.myyearbook.com) User fees for premium services are usually charged on a recurring basis, similar to the subscription model. The Freemium model has the advantages of predictability and pre-financing for the business, as already mentioned in the subscription model XING, a popular site for business networking in Europe, premium members have the advantage that they can see all users of the network and send messages to them (a powerful lead generation tool). Messaging is normally a standard function among social networks, but in the case of creating business contacts, it is a premium service. www.adtelligence.de 16
  • 17. Freemium Models Accepted only by Certain User Groups When users make the decision whether a premium membership is worth it or not, features that help cut down time-to-information play a decisive role (quicker and easier search, less advertising, direct access, etc.). For this reason, the use of Freemium models in the business sector (where time equals money) is more widespread than with normal social networking sites that target students and young adults. It is clear from this example that a user’s willingness to pay for certain services are quite different. The “premium range” usually offers a package of functions and services that carry relevance to only a certain class of individuals (and higher pricing), and therefore may deter other users from purchasing those services. A solution to this dilemma could be the settlement of individual bids set up to be analogous with virtual goods, which are touched upon in the following chapter. Components of premium offers are subject to frequent changes in order to keep pace with future competition. For example, no one pays for access to e-mail today, but they do pay for mobile e-mail access - in the near future however, this may no longer be the case and new premium services will need to be developed in its place to continue to monetize the business. www.adtelligence.de 17
  • 18. Specialized Social Networks Freemium Services to Customers www.adtelligence.de 18
  • 19. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 19
  • 20. Pay-As-You-Go An alternative to Subscription and Freemium Models The willingness of the Every single user pays for the users to pay for Subscription Model individual services/ same features and functions content is often very different Some users don’t pay, and Standard-premium only use the basic version packages sometimes Freemium Model don’t offer enough Some users pay for the value (It’s either “all or Premium version nothing”) “Pay as you go” model: Offering individual products 'on demand' for the customer (virtual goods) and can make for a happy alternative for the business(operator) www.adtelligence.de 20
  • 21. Breakdown: “Pay as you go”- Model und Virtual Goods “Pay as you go” Model and Virtual Goods Individualize Profiles Premium Services Gaming Features and Character  Virtual gifts, birthday  Representation of  Extra lives for greetings, greeting the profile (skins, game character cards, etc. etc.)  Wizard by World  Spam filters for  Avatar features of Warcraft profiles (e.g., clothing, etc.)  Equipment and  Personal song on armament for war the profile games  Game level expansion. www.adtelligence.de 21
  • 22. Virtual Goods Already established in today’s Social Networks Virtual goods in Social Networks can be seen in many Social Networks today, especially in Asia. (In all type of social network models from value-added services, to pay-as-you-go models, etc.). The largest social network in China, QQ, has estimated revenues of approximately €100 million in 2009 Facebook, which also sells virtual goods, is only in beta stage. Even still, current transactions of these goods approximate U.S. $75 million, quoted from a recent statement from Marc Andreesen in 2009. There aren’t classical premium features, rather little virtual gifts & items with a price of up to one US dollar The best known example of virtual goods comes from the platform Second Life, which was originally created and used by professional developers and became extremely profitable. After a slew of year-long technical difficulties, the platform is up and running today and growing at a strong pace. It has to be admitted that gambling, etc. is big in Second Life and it was used to launder money by the mafia Especially in the games sector, where companies such as Vivendi / Blizzard or the German company Gameforge have created 3D worlds and hundreds of millions of virtual goods - mainly clothing and equipment for game’s characters (swords, armor, weapons, and wands). Commenting on their own success, Gameforge’s CEO adds: “Even in the virtual world, People want to look good!” www.adtelligence.de 22
  • 23. The Business of Virtual Goods: Second Life In Q2 2009, $144 Mio of User2User transactions were made in Second Life. 750,000 new unique users join the network every month Source: Secondlife.com www.adtelligence.de 23
  • 24. Virtual Goods An Exciting Stream of Revenue for Social Networks Advantages  Long-tail monetization is definitely possible Put in perspective, virtual goods create an  Tests the users willingness to pay extraordinary revenue stream for operators of  To test features, free credits are offered Social Networks.  Increases the attention span of users in the network, and benefits from the effects of new However, this model advertising methods. continues to pose some technical  Increases the attractiveness for external content challenges for the creators (labels, publishers, developers) who can operators. earn money by developing items for the platform  Creates rewards / opportunities for user-generated virtual goods www.adtelligence.de 24
  • 25. “Pay As You Go” Models The Business Accounting Challenge still remains! Virtual goods typically require the introduction of a virtual currency  Internationally, it is a challenge to create such a system – in a huge virtual economy, like Second Life, users exchange currencies from around the world and need a fixed or more sophisticated free flow exchange rate  Changing costs for users to move from one platform to another is unclear for the user  High user acceptance rates are a must ("price tags" visible in US dollars)  Rewards for user-generated content can be easily distributed (E.g. Amazon reviews will be rewarded with cash / credits, etc.) Especially when the business opens this virtual world to external providers, a secure billing system must be accounted for (especially in small amounts / keywords: micro-payments). The business poses major challenges including tax implications that need to be resolved. Payments from individual users need to be accounted for:  Especially for young adults and teens without credit cards and/or bank accounts, this challenges legal barriers (“How do they use their pocket money for transactions?”)  Solutions need to be found to avoid the billing of small amounts or to enable cost-effective measure for smaller transactions.  Alternative models are also possible (example: Apple iTunes voucher cards at electronic stores, but these can be expensive and complicated) www.adtelligence.de 25
  • 26. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 26
  • 27. Lousy Pennies for Social Networks? “You Get Lousy Pennies on the Web” Prof. Dr. Hubert Burda Owners of Hubert Burda Media at Digital Lifestyle Day 2009  This provocative statement is true and false at the same time, and not only for traditional content models.  Even in Social Networks, the situation is divided - as shown in this report’s previous examples from German “student directory” Social Networks vs. China’s QQ  The trend of advertising budgets is shifting to Internet advertising due to the rising numbers of social network users (and general Internet usage). Hence, only very few sites with technological advances are profitable from measurable campaign results, via Google. www.adtelligence.de 27
  • 28. Online CPMs Generally quite low, especially compared to the Cost for Content With display ads and similar forms of online advertising, publishers earn very little per 1000 ad impressions (CPM) in comparisons to the costs of traditional business models - this is also true for Social Networks. This is especially true when one considers that only certain parts of the page are actively in demand from advertisers (tops of websites, for example). Even leading websites usually sell approx. one third of the advertising spaces in their network. In particular, sales-oriented campaigns are valued on their commission rates (as well as their performance) and on their overall reach and communication. Unfortunately, public Social Networks and other media sites don’t publish their net CPM figures, but experts in the field can confirm basic ad tendencies of low CPMs. Nevertheless, advertising on Social Networks is on the rise. According to a study by Comscore, currently 20% of all online advertising in the United States (in terms of ad impressions / page ) is done by Social Networks. It is likely this percentage that has been calculated is significantly low due to the fact that Social Networks are converting such low CPMs. www.adtelligence.de 28
  • 29. Advertising Revenue from Social Networks in Terms of CPMs are comparatively low Difficulties in Comparison Gross-Net Quadrant1)  Intra-media CPM comparisons are CPMs in Euro Plausible associated with large uncertainties Margins  Gross-Net Quadrant: Price lists have lost their binding character and can be interpreted Prime-Time TV 10 - 15 40% - 50% only as a guide  In addition, CPM-comparisons with clear News Magazines 7 - 10 ca. 30% target audience definitions are meaningful in National limited use Newpapers 10 - 15 ca. 30%  Nevertheless: Today’s established Top-Content Sites 30 - 40 60% - z.T. > 80% advertising methods offer solid returns. Large Social 15 - 25 Up to 99% But, in the online space, CPMs continue Networks to be freely negotiable and are in the 1) Figures have relative tendency - real values are highly dependent on range of one Euro for Social Networks. concrete performance indicators and parameters. Prices according to the supplier's price lists; population ranging from 14 years of data and the main form of advertising Source: Expert interviews www.adtelligence.de 29
  • 30. Intelligent online Advertising Models realize significant revenues Social networks like MySpace and Facebook already earn significant advertising revenue. But in comparison to their scope and potential impact of communication, these numbers are still low. The key here is that by using the enormous amount of traffic, they should be able to monetize networks with simplest of methods. Also noteworthy is that both companies have developed specific targeting technologies and continue to refine them even further (see more in later chapters). Because specialized Social Networks lack the mass of users, they generally target their specific audience of users and concentrate on integration with the larger Social Networks. They haven’t yet been successful with this method. An example of immensely successful monetization of a huge amount of traffic is, naturally, Google. But even Google faces the problem of not being able to offer an environment for the traditional campaign – including testing and models to establish CPM-based advertising. Consequently, Google is focused on a very special auction model, which increases the value of frequently searched words. www.adtelligence.de 30
  • 31. MySpace and Google First Social Networks with Advertising Revenue MySpace, Fanta, Band World www.adtelligence.de 31
  • 32. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 32
  • 33. E-Commerce Affiliate Model A special Form of Advertising  Although Social Networks are not ecommerce platforms, they could learn a lot from them  By integrating directly into a social network, a business can significantly increase its revenue  Asian Social Networks have established “virtual stores,” which allow users to order “real goods” for virtual money. These shops, from their look and feel, are perfectly integrated into the world of Social Networks, allowing users to easily make the connection between the virtual and real world and recommend products (compare the Facebook Beacon idea!)  Amazon opened its platform to third-party vendors (Marketplace) and have helped monetize their own business by leveraging its large numbers of users.  The key to success is not only the target group, but the individual response of the user. E- commerce will only continue to be successful if the users continue to stay interested in buying online  Commission of such an integrated shop could be a potential revenue stream down the road. The first step in this direction for many Social Networks would be to experiment with affiliate models. For example, a cooperation with vendors like Zanox or DoubleClick – but even here success lies within the target group www.adtelligence.de 33
  • 34. QQ - The most powerful Virtual Currency in the world?  The Chinese government restricted the exchange of QQ currency for real goods because the establishment of this virtual currency didn’t allow for them to tax goods being consumed, which resulted in massive losses for the state  Nevertheless, the QQ currency continues to boom because of the difficulties in trying to ban a currency which only exist on PCs and mobile devices – like US dollars in developing countries 34 Source: plus8star, own analysis http://english.mofcom.gov.cn/aarticle/newsrelease/comm onnews/200906/20090606364208.html www.adtelligence.de 34
  • 35. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 35
  • 36. Social Networks offer interesting Approach for Market Research  Social networks’ ability to attract individual users and create new channels for market research provide companies with an interesting opportunity and a potentially lucrative revenue stream  Users of Social Networks not only communicate their interests, wants, and preferences in their profile, but also their dislikes – and share them with their personal social network  This interactive behavior offers companies the chance to directly address and involve users (those fans of a certain brand or early adopter of a technology, for example) in their focus groups or new product launches  Social networks will be able to monetize by granting marketers this type of access when, and if they create the proper conditions:  If they are capable of clustering their users into these special interest groups, specific models for targeting are required and the ability to filter results from the focus groups, including Social Data Intelligence, is a key success factor  If this succeeds, they will be able sell access to this data for very high price. “Facebook will make deals” says Tim Draper of the big VC Fund DFJ in 2009 www.adtelligence.de 36
  • 37. Contents 3. Business Models for the Internet of the Future 3.1 The Pressure to Monetize 3.2 Direct or Indirect Monetization? 3.3 Subscription Models 3.4 Freemium Models 3.5 Virtual Goods and Currencies 3.6 Advertising Revenue 3.7 E-Commerce, Affiliate Models 3.8 Market Research 3.9 Chapter Summary www.adtelligence.de 37
  • 38. Among the Approaches to Monetizing Social Networks Advertising still offers great potential Possible Revenue Models for Social Networks Direct Indirect Virtual E- Market Subscription Freemium Advertising Goods Commerce Research  As we’ve already discussed, both direct and indirect models offer different methods of monetizing the social network and creating revenue channels  These methods have numerous possibilities in today’s Social Networks and haven’t been fully unleashed – especially for the Freemium and virtual goods models, where there is still a significant amount of untapped potential  In the area of advertising alone, there is already an enormous user acceptance and openness to new methods, which can be tapped by modern models of targeting technologies www.adtelligence.de 38

×