DISQUS

jimmy2times · 1 year ago

yes, but they are using web 1.0 advertising models. social networking is going to the be the most lucrative media platform going forward, but it will take one or two major innovations and there's nothing out there right now that comes close.

someone will figure it out.

Don Draper · 1 year ago

They're missing the point. First, we steal all the underpants....

symbian · 1 year ago

Don't be scared to show people a lot of ads and you will earn some money.

Futon-Matt · 1 year ago

Thats a scary profit prediction for such a popular / large internet presence.

John Johansen · 1 year ago

"While it may be too soon to judge, it still looks as though the formula for success in social networking will continue to be: step one: set up a social network. Step two: some magic happens. Step three: profit."

I used much the same analogy back in Nov. when a MediaPost started up their social networking site.

There still seems to be a magical aura around the idea of starting a social network. Unfortunately, just as it takes work for the users to get involved in them, it takes more work for the provider to make use of the data.

Jayson · 1 year ago

Maybe they'll need to start tracking each user's interests some how and then display ads specific to each user.

If someone always writes about and searches for UFC (for example) and associates with others that do the same the social websites might do some good by putting UFC or MMA orientated ads in their account page and on sidebars during their Internet experience. This would probably bring up tons of privacy issues but if these companies don't make money, they won't exist and I'm sure users will make the sacrifice.

Eduardo · 1 year ago

I still think putting labeling Facebook as being worth $15 Billion is not just a small joke, but a laughable all day joke.

$450 million in 2 years? That is NOTHING

Marc · 1 year ago

Where they will make money is games, 17% of their revenue came from 24 million $1 gifts that people sent to eachother. I outlined on my blog how the value in the social web is games.

http://www.trumptheniche.com/2008/01/27/online-...

Steven Bradley · 1 year ago

It's hard to think with the size of the audiences some social networking sites have that there won't be some way for them to earn more revenue. No one seems to have found that way yet.

Advertising seems like an obvious approach, though it hasn't been working as well as the sites would like.

Still with the amount of users the sites have you'd think that sooner or later someone will figure it out.

Marc · 1 year ago

@Steven
Games, it's all about games. Be it sending someone a $1 gift and comparing your gifts to someone else's or playing Scrabble it all boils down to games.

Nobody cares about Johnny's tweet that he just went to a concert, and you cant monetize someones musings at the bottom of the pyramid of followers. So that leaves you with "what do you actually DO with your friends on a social network"...that DOING is Playing Games!

http://www.trumptheniche.com/2008/01/27/online-...

Nicole · 1 year ago

Makes a lot of common sense. I am a regular user of facebook. While I do notice the ads in the left column, I have never ever been inclined to click on them. I always wondered how these social media sites made money. What is the income model of del.icio.us for instance?

Leo · 1 year ago

Good point Nicole. The same thought has crossed my mind. It is fine for branding. I would not use it to be perfectly frank. Word and mouth is still the most powerful marketing too.

Paul Brain · 1 year ago

Social networks is a soap bubble, which quickly will burst. Therefore I would not believe such optimistical forecasts...

Utah SEO · 1 year ago

I agree with Paul. Has high potential to be short-lived.

Seomotion · 1 year ago

I can't agree with Paul, Social Networks is a real way to communicate people. And Communication is always relevant.

I can say, that Web 2.0 model is a soap bubble, but not social networks.

bhavik · 1 year ago

social networking is good idea but i dont know how much revenue google will give.....its better to go for nice topic like health or finance really good payout i am making $50 a day with this topic....

Marc · 1 year ago

@Seomotion
Exactly, the communication will always be there, but, the major social networks do a whole lot more. Simply communicating wont bring in the revenues, the users have to be able to interact with each other in terms of culture and or entertainment. There is a reason these sites have API's. It wont be long before you see social networks doing buyouts of applications.

Alexis · 1 year ago

I think the future is in social networking and social marketing. Personalization of the net is the next big trend.

Anal Shah · 1 year ago

I have a doubt on how this community sites makes money likewise google's orkut has not advertisements directly in such cases what is the benifit to run this venture??

Can anybody please elaborate something on this...?

What do they get out of all the scraps made and images uploaded?

Caribbean Social Network · 1 year ago

I own a FaceBook marketing tool that is a desktop application that nets me $4000 per month. I could only imagine what a social network could earn. Rupert Murdock said that MySpace makes him 20 million a month on advertising. I'll be happy with 10% of that. I think games, API's and targeted ads are the key in making money on social networks.

Feet blisters · 7 months ago

$450 million in 2 years????...Facebook????...what a joke!