Showing posts with label Monetizing. Show all posts
Showing posts with label Monetizing. Show all posts

Friday, May 15, 2009

Revealing New Report on Monetizing Social Media Predicts Everyone Will Be Profitable Except Facebook

15 May 2009 15:30 Africa/Lagos

Revealing New Report on Monetizing Social Media Predicts Everyone Will Be Profitable Except Facebook

Noted analyst Lauren Rich Fine compares leading social network to a mall, suggesting "it might be time to start charging rent"

Breakthrough report launched at EconSM: Social Meets Mobile conference in San Francisco, hosted by paidContent and mocoNews

SAN FRANCISCO, May 15 /PRNewswire/ -- A revealing new report on monetizing social media predicts everyone but facebook stands to make money under the current business structure of leading social networks. The study, the latest from ContentNext Media, Inc. and authored by renowned analyst Lauren Rich Fine, compares the top social network to a local mall, suggesting "it might be time to start charging rent" to be on the platform, as mobile carriers already do.

As things stand, "there's a real danger that application developers who use the facebook platform will become quite profitable while the host corporation will not," says Fine. "Advertising on social nets will never be commensurate with the amount of time people spend on them. And facebook has made several failed attempts at innovative marketing efforts that members loudly rejected."

Other findings from the report:
-- There has been more than $25.5 billion in social media M&A and
investment activity in 902 transactions over the past 27 months.
-- Gaming is the largest sub-category in VC funding -- with more than
$800 million raised.

-- Outside of gaming, excitement around virtual currency could come to a
screeching halt given the predominant "novelty" factor present in the
enthusiasm.


"The merging of social and mobile is upon us," adds Fine. "And there are proven successful strategies that social network companies can adopt from the mobile carrier model."

In her analysis last month of the mobile industry, Fine warned not to expect mobile growth to be a panacea. "Concern and confusion over costs and hardware could mute near-term growth," she cautions.

"The Changing Mobile Industry and What It Means for Media Executives" is part of ContentNext Media's highly regarded report series that also includes in-depth looks at digital music, online news and political sites, online fantasy sports, Web content-management systems, and a piercing dissection of the latest online ad forecasts.

"With this pair of reports, ContentNext Media continues its leadership role in identifying and analyzing the most important issues and opportunities in digital media," said Nathan Richardson, CEO of ContentNext Media. "Lauren's seasoned and deep insights into the financial nuances of the media industry, combined with our comprehensive expertise in the most important business trends and issues in the sector, create an unparalleled level of insight and advice for the unique challenges facing decision makers in the media industry today."

"Following the Money: An Analysis of Business Strategies and Dealmaking in Social Media" is available now for $295.

About ContentNext Media Reports

ContentNext Media Reports are the most comprehensive way to gain access to key insights and extensive data on the digital media industry. Led by renowned former Merrill Lynch equity research analyst Lauren Rich Fine, each report includes an in-depth analysis into consumer and industry trends, major issues impeding growth, and where dollars are flowing, including a thorough review of the M&A and VC funding transactions within and related to the industry. The reports are prepared for decision-makers within the digital media, traditional media, entertainment, publishing, and advertising agencies, corporate strategy and business development teams, investment banks, venture capital institutions, private equity firms, and law & accounting firms. A complete list of reports is available at http://www.paidcontent.org/reports/.

About ContentNext Media, Inc.

ContentNext Media, Inc., a Guardian News & Media company based in Santa Monica, California and New York City, covers the business of digital media. The company operates paidContent.org, mocoNews.net, contentSutra.com and paidContent:UK. Founded by journalist Rafat Ali in 2002, the company's news sites chronicle the economic evolution of digital content that is shaping the future of the media, information and entertainment industries. Our belief is that in the near future, all media will be digital media, and we are helping define sustainable business models and innovation within this sector. ContentNext Media is online at http://www.contentnext.com/.

Source: ContentNext Media

CONTACT: Jennifer Harris, jharris@braincomm.com, or Sharon Oh,
oh@braincomm.com, Brainerd Communicators, Inc., +1-212-986-6667, both for
ContentNext Media

Web Site: http://www.contentnext.com/