Comments on: Growth, Money in Advertising? http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/ Modern Art makes me want to rock out Wed, 10 Mar 2010 05:05:33 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Jeremy Wright http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/comment-page-1/#comment-30 Jeremy Wright Wed, 21 Mar 2007 19:53:58 +0000 http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/#comment-30 Alex, it's certainly an interesting and uniquely challenging model. You'll see us come up with some unique offerings this year to extend our reach and leverage our platform, in addition to the natural growth that a network like ours creates :) Still too early to tell if it'll be a long-term, industry-defining success though ;-) Alex, it’s certainly an interesting and uniquely challenging model. You’ll see us come up with some unique offerings this year to extend our reach and leverage our platform, in addition to the natural growth that a network like ours creates :)

Still too early to tell if it’ll be a long-term, industry-defining success though ;-)

]]> By: Alex http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/comment-page-1/#comment-29 Alex Wed, 21 Mar 2007 16:19:18 +0000 http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/#comment-29 10M pages per month is pretty good from my experience. From what I can tell your organization is an aggregation of 100s of blogs, right? That can be a somewhat different equation since there is no single focused topic/application/user base you need to build. It will be interesting to see if you can continue that kind of growth or whether growing the network will become more difficult over time as many of the prime candidates have already been snapped up by one network or another. Nevertheless it sounds like you are doing great. 10M pages per month is pretty good from my experience. From what I can tell your organization is an aggregation of 100s of blogs, right? That can be a somewhat different equation since there is no single focused topic/application/user base you need to build. It will be interesting to see if you can continue that kind of growth or whether growing the network will become more difficult over time as many of the prime candidates have already been snapped up by one network or another. Nevertheless it sounds like you are doing great.

]]> By: Jeremy Wright http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/comment-page-1/#comment-23 Jeremy Wright Wed, 21 Mar 2007 14:49:58 +0000 http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/#comment-23 1B pages/year is only 80M pages/month, right? That seems pretty doable to me, over a period of 2-3 years. I'm not sure what average traffic in the Web 2.0 space is, but we're at around 10M pages 5 months after funding, putting 80M/month within reach within a couple of years. 1B pages/year is only 80M pages/month, right? That seems pretty doable to me, over a period of 2-3 years. I’m not sure what average traffic in the Web 2.0 space is, but we’re at around 10M pages 5 months after funding, putting 80M/month within reach within a couple of years.

]]> By: Jackson Fish Market » No Money In Advertising? http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/comment-page-1/#comment-10 Jackson Fish Market » No Money In Advertising? Tue, 20 Mar 2007 19:15:19 +0000 http://www.alexhopmann.com/2007/03/20/growth-money-in-advertising/#comment-10 [...] On IM (and in his blog) Alex pointed out that there are plenty of startups taking large investment who are targeting big markets. And even though winning is a longshot the payoff is worth it. I agree. And I think it’s great. I have no problem with high risk/high reward. And frankly, there may be some day where we have a product or a service that requires further investment where we would partner with a financing firm. My criticism is of startups that are not being honest with themselves about the real likely size of their business relative to the amount of investment they’ve taken. In these situations the multiple expected by the investors starts distorting the managers’ view of how to grow the business. And a business that might have been solid, healthy, and self-perpetuating, is now trying to scale beyond what’s possible, with often disastrous results. [...] [...] On IM (and in his blog) Alex pointed out that there are plenty of startups taking large investment who are targeting big markets. And even though winning is a longshot the payoff is worth it. I agree. And I think it’s great. I have no problem with high risk/high reward. And frankly, there may be some day where we have a product or a service that requires further investment where we would partner with a financing firm. My criticism is of startups that are not being honest with themselves about the real likely size of their business relative to the amount of investment they’ve taken. In these situations the multiple expected by the investors starts distorting the managers’ view of how to grow the business. And a business that might have been solid, healthy, and self-perpetuating, is now trying to scale beyond what’s possible, with often disastrous results. [...]

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