Making money from social media<br />
<ul><li>Premium price direct sales
Self service display ads
Targeted ads
Viral marketing functionality
Virtual goods and search capability
Move into profitability</li></ul>http://community.brandrepublic.com/blogs/gordons_republic/archive/2009/12/17/facebook-to-...
<ul><li>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</li></ul>http://www.businessinsider.com/facebook-revenues-near-1-billi...
Dell makes millions via Twitter<br /><ul><li>Twitter used as ‘another customer service channel’
Twitter used  as a window to showcase offers and new sales potential</li></ul>http://www.techwatch.co.uk/2009/12/09/dell-m...
Twitter makes a profit<br /><ul><li>Need to combat the ‘threat’ posed to search engine vulnerability from social media
Need to include Tweets in searches on Google etc
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Making Money From Social Media Real World Examples

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Real life examples from the media on how companies are making money in the social media space

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Making Money From Social Media Real World Examples

  1. 1. Making money from social media<br />
  2. 2. <ul><li>Premium price direct sales
  3. 3. Self service display ads
  4. 4. Targeted ads
  5. 5. Viral marketing functionality
  6. 6. Virtual goods and search capability
  7. 7. Move into profitability</li></ul>http://community.brandrepublic.com/blogs/gordons_republic/archive/2009/12/17/facebook-to-hit-1bn-in-revenues.aspx<br />
  8. 8. <ul><li>A massive audience of around 350m active users
  9. 9. More data is known about these users than ever before
  10. 10. Enables targeting of advertising, services and data</li></ul>http://www.businessinsider.com/facebook-revenues-near-1-billion-2009-12<br />
  11. 11. Dell makes millions via Twitter<br /><ul><li>Twitter used as ‘another customer service channel’
  12. 12. Twitter used as a window to showcase offers and new sales potential</li></ul>http://www.techwatch.co.uk/2009/12/09/dell-makes-millions-via-twitter/<br />
  13. 13. Twitter makes a profit<br /><ul><li>Need to combat the ‘threat’ posed to search engine vulnerability from social media
  14. 14. Need to include Tweets in searches on Google etc
  15. 15. Model creates a demand = a profit for Twitter</li></ul>http://www.eweekeurope.co.uk/news/twitter-makes-a-profit-thanks-to-google-and-microsoft-2845<br />
  16. 16. Selling clothes to women ‘online’<br /><ul><li>Sales up 118% over the key Christmas period
  17. 17. Profits on target for 2009
  18. 18. Selling clothing online was said to be ‘impossible’</li></li></ul><li>If it is ‘convenient’ and they ‘trust it’ – consumers will buy it<br /><ul><li>Launches streaming to TV service in US in May 2008
  19. 19. 9.4m subscribers – revenues up 13% in 2008
  20. 20. In the UK ‘Love Film’ is making just as big an impact
  21. 21. Convenient
  22. 22. DVDs posted to your home
  23. 23. Ordered online</li></li></ul><li>Threadless<br /><ul><li>YOU submit designs for T-Shirts
  24. 24. The community votes on them
  25. 25. The best get printed
  26. 26. Never lost money on any T-Shirt
  27. 27. Overheads minimal
  28. 28. All marketing online</li></li></ul><li>Threadless<br /><ul><li>An astonishing profit ration for this model
  29. 29. $10m profit from $30m in sales</li></ul>http://www.collective-e.com/blog/business-model-works-threadless-generated-10-million-profit-30-million-sales<br />
  30. 30. Music downloads – a new model <br /><ul><li>Basic service free
  31. 31. High quality CD sound quality service £9.99 monthly
  32. 32. Micropayment model popular where community resent paying high prices or paying anything at all</li></li></ul><li>Spotify<br /><ul><li>Music business slowly realising it cannot fight this ‘free’ trend
  33. 33. Music business now adopting the new models and finding new revenue streams
  34. 34. iTunes success heralding this new age</li></ul>http://www.wired.com/epicenter/2009/08/biggest-record-label-earns-more-from-spotify-than-itunes-in-sweden/<br />
  35. 35. <ul><li>4.5m people in UK using this new ‘personalised radio’ service
  36. 36. Up from 2.9m one year earlier
  37. 37. Music from the ‘cloud’ more popular
  38. 38. What is the long term future for radio and advertising on this medium – as people expect music ‘personalised’?</li></ul>http://www.techradar.com/news/internet/spotify-and-last-fm-gaining-new-listeners-657361<br />
  39. 39. <ul><li>As Broadband becomes more and more pervasive
  40. 40. More and more reliable
  41. 41. As personal viewing habits change and the TV is no longer the only option
  42. 42. Films streamed to your electronic ‘device’ becomes a serious business option
  43. 43. Film business faces same challenge as music business</li></ul>http://www.thelocal.se/23206/20091111/<br />
  44. 44. Become a rock supremo<br />Fund your own artist!<br />Launched on 18 June 2007<br />400.000 registered users (Q1 2008)<br />Raised £150,000 for 9 artists to produce their first album<br />Plan for 2008. Securing financing for over 30 artists in the UK, which is more than EMI, Sony BMG or Warner Music achieved last year.<br />http://www.slicethepie.com/<br />
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