Why your startup needs multiple revenue models Rashmi Sinha SlideShare
Background <ul><li>SlideShare </li></ul><ul><li>Revenue experiments ( Advertising , LeadShare, AdShare, Channels,  Pro Acc...
SlideShare Pro Accounts
 
Your users should understand your business model
The first sales person should be YOU
Understand the Sales  Learning Curve before first sales hire
Financial models are useful (to understand if it will scale)
Get entire team on board
More experiments are better
Advertising <ul><li>Networks </li></ul><ul><li>Direct sales </li></ul><ul><li>Through partners </li></ul>
Advertising needs massive scale <ul><li>Getting to 50 million in revenue </li></ul><ul><ul><li>General site, $1 RPM , 4 bi...
Balancing ads and user experience
Understanding Freemium <ul><li>Free + Premium </li></ul><ul><li>Metrics </li></ul><ul><ul><li>Conversion </li></ul></ul><u...
Practice customer development <ul><li>Release early </li></ul><ul><li>Listen to feedback </li></ul><ul><li>Charge for it f...
With paid products, your customers call and tell you what they will pay for!
Comparing revenue from diff models Multiple models balance this out Bookings Realized Revenue Collections Advertising: Net...
Slides at:  www.slideshare.net/rashmi
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Revenue Streams for Startups - Rashmi Sinha

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Revenue Streams for Startups - Rashmi Sinha

  1. 1. Why your startup needs multiple revenue models Rashmi Sinha SlideShare
  2. 2. Background <ul><li>SlideShare </li></ul><ul><li>Revenue experiments ( Advertising , LeadShare, AdShare, Channels, Pro Accounts ) </li></ul>
  3. 3. SlideShare Pro Accounts
  4. 5. Your users should understand your business model
  5. 6. The first sales person should be YOU
  6. 7. Understand the Sales Learning Curve before first sales hire
  7. 8. Financial models are useful (to understand if it will scale)
  8. 9. Get entire team on board
  9. 10. More experiments are better
  10. 11. Advertising <ul><li>Networks </li></ul><ul><li>Direct sales </li></ul><ul><li>Through partners </li></ul>
  11. 12. Advertising needs massive scale <ul><li>Getting to 50 million in revenue </li></ul><ul><ul><li>General site, $1 RPM , 4 billion pageviews. </li></ul></ul><ul><ul><li>Demographic targeting, $5 RPM, 800 million pageviews </li></ul></ul><ul><ul><li>Endemic advertisers, $20 RPM, 200 million pageviews </li></ul></ul>
  12. 13. Balancing ads and user experience
  13. 14. Understanding Freemium <ul><li>Free + Premium </li></ul><ul><li>Metrics </li></ul><ul><ul><li>Conversion </li></ul></ul><ul><ul><li>Churn % </li></ul></ul><ul><ul><li>CLTV (Customer Lifetime Value) </li></ul></ul><ul><ul><li>User Acquisition cost </li></ul></ul>
  14. 15. Practice customer development <ul><li>Release early </li></ul><ul><li>Listen to feedback </li></ul><ul><li>Charge for it from Day one </li></ul><ul><li>Iterate, iterate, iterate </li></ul>
  15. 16. With paid products, your customers call and tell you what they will pay for!
  16. 17. Comparing revenue from diff models Multiple models balance this out Bookings Realized Revenue Collections Advertising: Networks N/A When ad is run 30 days Advertising: Direct Sales IO is signed When ad is run 45-120 days later Subscriptions Subscription agreement Subscription period Beginning of each subscription period
  17. 18. Slides at: www.slideshare.net/rashmi
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