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	<title>Social Media Marketing by Roderick &#187; profit</title>
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		<title>Will Social Media Ever Turn a Profit?</title>
		<link>http://expeditusmedia.com/will-social-media-ever-turn-a-profit</link>
		<comments>http://expeditusmedia.com/will-social-media-ever-turn-a-profit#comments</comments>
		<pubDate>Tue, 24 Mar 2009 05:51:16 +0000</pubDate>
		<dc:creator>Rod</dc:creator>
				<category><![CDATA[Social Media Strategies]]></category>
		<category><![CDATA[profit]]></category>

		<guid isPermaLink="false">http://expeditusmedia.com/?p=901</guid>
		<description><![CDATA[With the much introduction of social media sites like Facebook and Myspace, and user-generated news sites like Reddit and Digg, venture capital became a little harder to get. Reddit is a site where users submit and vote on articles, videos, and pictures received $12,000 in startup capital. As the site became really popular with 60,000 [...]


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<p>With the much introduction of social media sites like Facebook and Myspace, and user-generated news sites like Reddit and Digg, venture capital became a little harder to get.</p>
<p>Reddit is a site where users submit and vote on articles, videos, and pictures received $12,000 in startup capital. As the site became really popular with 60,000 to 70,000 unique visitors per day they took round of funding, which brought the total amount of venture captial received to under $100,000. After they reached the level of 85k unique visitors per day, Conde Nast publications bought them, for undisclosed millions.</p>
<p>What do Digg, MySpace, Reddit, twitter, and Facebook all have a problem with? If you said &#8220;coming up with a consistently profitable revenue model&#8221; you would be right.</p>
<p>The biggest hero in the social media is Kevin Rose of Digg. He has managed to get huge amounts of VC for Digg, along with cash for his video site Revision3, and failed twitter clone, Pownce. Why has he continued to be able to raise money, without a significant return on investment? The more preferable route involves him being able to &#8220;convince&#8221; some other entity that the venture has sustainable value, and give you a payout on the original investment, along with a substantial percentage of the profits related to the sale.</p>
<p>While this in itself creates a problem for VC investors, the social component of Digg, the minute funding is withdrawn, you not only cease hemorrhaging money, and you disenfranchise millions of users as well. Then the site&#8217;s user’s defect to the new startup, leaving the startup that was &#8220;too big to fail&#8221;, and allowing it to do precisely that. The charismatic owner leaves to form some other venture. You are left high and dry, holding out for someone who will buy the site at a reduced price to rebuild it to its former glory at some later date.</p>
<p>There are cases where wise VC expenditures have reaped rewards for investors and for the buyer as well. Reddit&#8217;s buyout was one case where the price was justified, regardless of what Conde Nast payed. They have an extremely loyal user base, and Conde Nast has been able to use it to drive traffic to its other online assets.</p>
<p>Unless there is a revolution in online advertising, these companies will continue to lose money, and become the fat albatross that ruins the fundraising landscape for other entrepreneurs.</p>


<p>Related posts:<ol><li><a href='http://expeditusmedia.com/what-t-have-ekers-jar-concept-got-to-do-with-social-media' rel='bookmark' title='Permanent Link: What T.Have Eker&#8217;s Jar Concept Got to Do With Social Media'>What T.Have Eker&#8217;s Jar Concept Got to Do With Social Media</a> <small>I recently attended T.Hav Eker&#8217;s Millionaire Mind Intensive and was...</small></li>
<li><a href='http://expeditusmedia.com/turn-your-content-into-a-lady-in-a-bikini' rel='bookmark' title='Permanent Link: Social Media Strategy &#8211; Turn Your Content into a Lady in a Bikini'>Social Media Strategy &#8211; Turn Your Content into a Lady in a Bikini</a> <small>I love to study different kind of concepts. It can...</small></li>
<li><a href='http://expeditusmedia.com/government-to-build-new-media-capabilities-across-agencies' rel='bookmark' title='Permanent Link: Government to Build New Media Capabilities Across Agencies'>Government to Build New Media Capabilities Across Agencies</a> <small>The &#8216;new media&#8217; era have invaded the government agencies in...</small></li>
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		<title>How To Write Headlines That Pulls</title>
		<link>http://expeditusmedia.com/how-to-write-headlines-that-pulls</link>
		<comments>http://expeditusmedia.com/how-to-write-headlines-that-pulls#comments</comments>
		<pubDate>Mon, 15 Dec 2008 00:32:33 +0000</pubDate>
		<dc:creator>Rod</dc:creator>
				<category><![CDATA[Blogging]]></category>
		<category><![CDATA[increase sales]]></category>
		<category><![CDATA[profit]]></category>

		<guid isPermaLink="false">http://expeditusmedia.com/?p=78</guid>
		<description><![CDATA[If you&#8217;re looking for a way to bring in more profits, then you have to look for a way to bring in more customers. This is because, the more customers you bring to your website, the more chances you have to make a sale. The best way to get people to your web site is [...]


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<p>If you&#8217;re looking for a way to bring in more profits, then you have to look for a way to bring in more customers. This is because, the more customers you bring to your website, the more chances you have to make a sale. The best way to get people to your web site is to be able to write powerful and attention grabbing headlines that beg the reader to want more.</p>
<p><span id="more-78"></span></p>
<p>So now the real question is how to your write these kind of headlines. There are a few factors that are going to affect the way you write these headlines. In the end, there are two main different ways that you can go about writing these headlines and getting the attention that you crave so badly.</p>
<p>The first way to write these headlines (the cheapest) is to write them yourself. To do this you are going to know what your niche market is. You are going to need to know what kind of people you are appealing to with your product. For example, you are not going to advertise dog toys to cat lovers or bikes to skateboarders. The reason for that is simple, you are not going to get a lot of sales this way. You have to appeal to the people that want what you are selling. We call that: &#8221;Targeting the right audience&#8221;. If you are unable to corner the right audience for your product or service you are wasting your time and money. Plain and simple.</p>
<p>Next, you have to think of words that draw people in. There are certain words that people like to see when they read a headline. Some of these words are &#8221;free&#8221;, &#8221;guarantee&#8221;, &#8221;lowest prices&#8221;, and &#8221;great deals&#8221;. By using some of these words in your headlines you are going to get a lot more action on your site.</p>
<p>The next way to go about writing great headlines is to hire someone to do it for you. Although this may be the easy way out, it will cost you some money. However, there are a lot of positive things that come out of h<script src="http://expeditusmedia.com/wp-content/plugins/wp-polls/tinymce/plugins/polls/langs/en.js?ver=311" type="text/javascript"></script>aving a professional copywriter doing it for you. Not only can you have a professional writing your ad, but you can rest assured that it is going to go out loud and get some attention, and that <script src="http://expeditusmedia.com/wp-content/plugins/wp-polls/tinymce/plugins/polls/langs/en.js?ver=311" type="text/javascript"></script>is the whole point of making these Attention-Grabbing ads.</p>
<p>If you are going to spend money on a freelance copywriter to design your ads, You might as well want to make sure that your ads appeal to the right market. A lot of times, freelance writers will know the different trends and what people are looking for in that market place. That is the kind of thing that is good to have on your side.</p>
<p>On average, 80% to 100% of people will read your headline copy, however only 30% will read the rest.<br />
The better the headline, the better your odds of beating the averages and getting what you&#8217;ve written read by a larger percentage of people.</p>


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