PR WEB — Jan 7 — Previously Metrodate was dependent on premium
membership revenue (~$19.95 per month).
The decision to make the site free came from
reviewing the needs of the consumers. Feedback from users indicated
that they were growing accustomed to the trend of web sites being free.
Instead, Metrodate.com's focus for revenue will be local, targeted
advertising. FULL ARTICLE @ PR WEB
Mark
Brooks: POF makes 30c CPM from Adsense these days. Far more is
possible with direct ad sales. But Metrodate would need to build to
millions of page views to justify hiring an ad sales person. Looks
like they're running 35k visits a month right now. That should bring
in about $15.
Why do so many dating sites that are failing at the subscription model think that the ad-supported model will work?
They all look at POF and figure if he can do it, so can they. Yet, POF is a statistical anomaly, as I am fond of saying (over and over). No other dating site has *ever* made it with this model. By “making it” I mean profitable (some make revenue, but don’t actually make any money).
All this talk about “free” being the way of the future reminds me of an earlier time, circa 1999. Free doesn’t pay the rent, staff wages, advertising, and all other costs. It actually pays, well, nothing. It’s free.
And, people don’t click on ads enough to pay anything unless you have that critical mass, as Mark points out. And, even then, no site (except POF) has shown it can be done profitably.
With over 10 years in the biz, I am forever amazed at how (some) single people don’t make the value connection between a 27 cent/day cost when it comes to the most important (earthly) decision they’ll ever make – a potential spouse.
They think nothing of spending $3 on a frappacino or $7 for a drink or $15 to see a movie or $90 for concert tickets or $150 for dinner with a friend or $900 for a blu-ray or – you get the picture. But, when it comes to that most important of biological imperatives – well! They spend their time looking for a “free” site rather than actually spending 100 bucks for a year-long membership (27 cents/day)!
And, it is not just about the 100 bucks – consider what you get for it – vibrant sites replete with great, user-friendly features and full of eligible members who are serious about find that special someone. Well, ChristianCafe.com is, anyway.
And, judging by the daily membership purchases that pour in, day-after-day, year-after-year (we are celebrating 10 years online next month), our members clearly see the value.
All starting at a mere $0.25/day!
Why do so many dating sites that are failing at the subscription model think that the ad-supported model will work?
They all look at POF and figure if he can do it, so can they. Yet, POF is a statistical anomaly, as I am fond of saying (over and over). No other dating site has *ever* made it with this model. By “making it” I mean profitable (some make revenue, but don’t actually make any money).
All this talk about “free” being the way of the future reminds me of an earlier time, circa 1999. Free doesn’t pay the rent, staff wages, advertising, and all other costs. It actually pays, well, nothing. It’s free.
And, people don’t click on ads enough to pay anything unless you have that critical mass, as Mark points out. And, even then, no site (except POF) has shown it can be done profitably.
With over 10 years in the biz, I am forever amazed at how (some) single people don’t make the value connection between a 27 cent/day cost when it comes to the most important (earthly) decision they’ll ever make – a potential spouse.
They think nothing of spending $3 on a frappacino or $7 for a drink or $15 to see a movie or $90 for concert tickets or $150 for dinner with a friend or $900 for a blu-ray or – you get the picture. But, when it comes to that most important of biological imperatives – well! They spend their time looking for a “free” site rather than actually spending 100 bucks for a year-long membership (27 cents/day)!
And, it is not just about the 100 bucks – consider what you get for it – vibrant sites replete with great, user-friendly features and full of eligible members who are serious about find that special someone. Well, ChristianCafe.com is, anyway.
And, judging by the daily membership purchases that pour in, day-after-day, year-after-year (we are celebrating 10 years online next month), our members clearly see the value.
All starting at a mere $0.25/day!
Mark, thank you for posting our press release. These numbers aren’t accurate in your comments, so I need to clarify them. These traffic numbers are inaccurate. We do in fact get millions of page views. Our CPM from AdSense is 5x what you indicate POF gets ($1.50 average over past 7 days). You also counted one visit as only one impression in your math. We are certainly not making what we’d like yet, and we’re still spending way more on marketing than we bring in, but our revenue is much higher than $15/month.
Mark, thank you for posting our press release. These numbers aren’t accurate in your comments, so I need to clarify them. These traffic numbers are inaccurate. We do in fact get millions of page views. Our CPM from AdSense is 5x what you indicate POF gets ($1.50 average over past 7 days). You also counted one visit as only one impression in your math. We are certainly not making what we’d like yet, and we’re still spending way more on marketing than we bring in, but our revenue is much higher than $15/month.
Guys,
VCs (in the USA) are now talking about the end of free and the Web2.0 boom/bubble. Instead, investors are looking for sites that make money in ways other than selling ads, like selling subscriptions or virtual goods.
Check this out:
http://www.nytimes.com/2009/01/05/technology/start-ups/05venture.html?_r=1&emc=eta1
Guys,
VCs (in the USA) are now talking about the end of free and the Web2.0 boom/bubble. Instead, investors are looking for sites that make money in ways other than selling ads, like selling subscriptions or virtual goods.
Check this out:
http://www.nytimes.com/2009/01/05/technology/start-ups/05venture.html?_r=1&emc=eta1
Hear hear Sam – I think free sites will crumble in 2009 – the numbers just don’t add up for all but the largest free site of all PoF – and even then, it has surely reached it’s ceiling.
Many sites are moving to free because they can’t make paid work – we’ve seen this and I suspect there will be other casualties here.
It’s difficult to make paid work unless you’re either a top5 site in your particular niche or you focus on just the brand and marketing and outsource the rest (eg. using a white label platform).
Free is a great way for people to try online dating who wouldn’t try it if it was paid – they then move to paid dating sites. That’s why PoF works – it’s the industry’s version of a try-before-you-buy and let’s not forget that PoD makes revenue from the paid sites.
Ross
Hear hear Sam – I think free sites will crumble in 2009 – the numbers just don’t add up for all but the largest free site of all PoF – and even then, it has surely reached it’s ceiling.
Many sites are moving to free because they can’t make paid work – we’ve seen this and I suspect there will be other casualties here.
It’s difficult to make paid work unless you’re either a top5 site in your particular niche or you focus on just the brand and marketing and outsource the rest (eg. using a white label platform).
Free is a great way for people to try online dating who wouldn’t try it if it was paid – they then move to paid dating sites. That’s why PoF works – it’s the industry’s version of a try-before-you-buy and let’s not forget that PoD makes revenue from the paid sites.
Ross
Ross, I know we see eye-to-eye, as we each run successful businesses:) You are just a tad larger than me, of course!
Nothing against metrodate.com, but it seems to me that any site which goes free *after* having had a paid model is a site in serious trouble – this is the final stretch before complete collapse…
Ross, I know we see eye-to-eye, as we each run successful businesses:) You are just a tad larger than me, of course!
Nothing against metrodate.com, but it seems to me that any site which goes free *after* having had a paid model is a site in serious trouble – this is the final stretch before complete collapse…