The Web 2.0 Business Conundrum.
1) Founders have a cheap, clever idea.
2) People use the idea because it meets a need, is free and uninterrupted.
3) Founders focus on serving their growing audience better.
4) Moneymen swarm around.
5) Founders claim that business model will emerge.
6) Sales organisations flock to the idea in order to exploit it for their ends.
7) Founders decide that advertising must be the business model.
8) Users begin to resent changes and fail to provide revenue.
9) Founders realise traditional tactics don't apply in a disrupted world.
10) ?????
posted by john dodds @ 5:57 AM
3 Comments:
So true... item 10 could "WTF" do we do now
You missed 6 1/2, which affects number 7.
6 1/2: Rupert Murdoch buys big stake
John, nice meeting you at the Geek dinner Friday night.
We talked about this a good eal on the photo walk... Provided 5 never becomes an issue due to the business model being clear and 7 never becomes necessary... the Web 2.0 business scene will remain healthy and viable.
Ad revenues can't float everything and in many cases are making less and less sense as a sustainable business model.
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