Advertising and Communities - Developing a Business Plan

http://www.sergiutruta.com/2007/05/17/advertising-and-communities-developing-a-business-plan/

by sergiutruta • 19 years ago

1 8 19 years ago

sergiutruta.com

sergiutruta4• 19 years ago

I'll share with you the business plan for my startup.

yubrew3• 19 years ago

isn't SMS pricing controlled by carriers?

danw• 19 years ago

Yes, which is why we need to follow Japans example and switch to mobile email. Free + it enables scale-free networks.

sergiutruta4• 19 years ago

of course it is...but a service which sends 1.000 or more messages, can negotiate a good price for the sms. For example let's say 4 cents. If you charge the publishers 4 cents for each ad, you'll be able to pay for the messages. If you negotiate a better price or charge more for the ads, you'll make extra cash ;) Advertising on mobile phones is a really hot topic these days. But most of the implemented solutions are like this: you agree with the service to receive advertising messages, and you get something in return. This is not very efficient because the users can delete the messages without even opening them. I'll give more details in a dedicated article so stay tunned.

yubrew3• 19 years ago

right, if advertising revenue greater than cost of SMS, then there's potential for profit. that part is easy to get.

but i still don't understand technically how such a transaction would work. how will you get a carrier to not charge me when i send SMS to someone? where is it that you step in the process? will i need to SMS you, and then it parses the number and message, and sends from you to my intended recipient?

sergiutruta4• 19 years ago

the carrier will charge for the sms. but the user won't pay for sending the sms. I/my service will pay for the sms. The money will come from those who'll want to insert ad messages.

yubrew3• 19 years ago

meaning, you will need to contact and gain compliance with carriers. this could be a very substantial barrier. how do you plan to overcome this? --hopefully you don't take this negatively, i'm curious what you come up with :)

sergiutruta4• 19 years ago

there are several services here (and I'm sure in other countries too) where you have a web page and can send messages for more or less money. look for "send sms" on Google and I'm sure you'll find some. The carrier may offer a web based service to which you can connect and send messages to. Sending sms from a web page is nothing new, not paying for it is :). Try to understand the idea of giving stuff for free to your users. The number of the users will increase exponentially (well, depending on the service you're giving) .

Advertising and Communities - Developing a Business Plan

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