Description
This is a business plan for internet marketing and use of blogs.
INTRODUCTION
Flow of the presentation
Blogging Scenario – India Enlighten about Blogging Marketing
Monetization Models
Blogging Scenario in IndiaA Survey
? 50 Respondents ? Key Findings ? 62% were aware about blogs ? 34% read blogs regularly ? 12% write blogs ? 22% comment on blogs
Promoting Blogging A ‘Laundry’ List
? Presentation/Seminars regarding importance of blogging in school,Tech schools, B-schools, IT companies and other organizations like NIIT, promoting as an effective medium for flow of thoughts.
? Best blog articles printed in newspapers/ journals/ magazine for promotion of blogs.
? Use of multiple languages applications to promote blogging over regional and language barriers.
Laundry List Continues
? Organization of contests for best blogs and rewarding the
?
?
? ? ?
contestants with incentives. Advertise on social networking sites, email alerts, email advertising. Encouraging existing bloggers to influence their friends. Encourage existing bloggers to promote for e.g. by putting a bumper sticker on your car. Hand out business cards that identify you as a blogger, a bit about your blog and the address of course. Use your social networking sites and chatting windows to promote your blog by updating your status messages with our blog URL.
Still Continues…
? Get personalized t-shirts about blogs printed to promote existing blogs.
? Blogs are informative, enlightening, thought provoking and entertaining and not just for geeks and other bloggers. ? Email Signatures: Add your URL to all of your outgoing email. Try adding your mission statement, or a catchy phrase to help people understand what you do. Change it a several times a year so people notice it again.
Marketing
Marketing-Categories/Segments
I start from zero
I monitor blogs
I read blogs often
I own a blog
You didn’t know about blogs You knew about blogs but did nothing
Become aware of them Search what is being said about you, and your industry Identify key blogs
You understand how powerful they are You are keen to have a try yourself and market your business & tourism destination
Set up a blog Write articles
Encourage other stakeholders in your region to participate
Convert them into fourth category
Marketing Strategy
I start from zero
I monitor blogs
I read blogs often
I own a blog
You didn’t know about blogs You knew about blogs but did nothing
Become aware of them Search what is being said about you, and your industry Identify key blogs
You understand how powerful they are You are keen to have a try yourself and market your business & tourism destination
Set up a blog Write articles
Encourage other stakeholders in your region to participate
Positioning Strategy
? Emphasis on Customer ? iBlog- The name sets the positioning and gives a personal touch and ownership of the blog ? Its about the blogger within you ? Selling the blogger service as a platform to people to
come, share, speak, communicate their views.
? We don’t just position it to people who are geeks or
tech-savvy,but we position it to people who think and have things to share.
Differentiation
? Positioning Strategy – Different from conventional
service providers like blogger & wordpress
? Platform for vernacular languages
?????? ?
?????? ????
Blog
?????
?????? ?????
Online Marketing
Advertisements Social Media Integration and Advertising Search Engine Optimization(SEO) Affiliate Marketing
Email Marketing
Open Source Strategy
Online Marketing Advertisements
? Targeting through Ad network Example – Google Ads, Adbrite & Kontera
?
?
Serve internet Ads on various websites. Target Categories: 2 & 3 (who already are aware about blogs)
Online Marketing Understanding Ad Networks
? An advertising network or ad network is a company
that connects web sites that want to host advertisements with advertisers who want to run advertisements ? Put ads promoting the Blog Service targeted towards category 2 and 3 on various Blogs. ? Keywords like ‘Blog',' Blogs’, ‘Free Blogs’, ‘Blogs in India’ should be bought from Google Adwords ? Ads could be well targeted to all netizens equally( Category 1,2 and 3) ? Monthly budget and CPC(Cost per Click) should be designed to optimize the whole Ad based marketing.
Online Marketing Targeting through Social Media
Such kind of Online Marketing will specifically target Category 1 (non blogger or followers) in addition to other categories
Example – Through Facebook ? Create Facebook Fan Page ? Create a Facebook Ads for the page Twitter ? Use Twitter ? Keep the account buzzing with news about the iBlog
Facebook Ad (A form of Affiliate Marketing)
Designing the Ad
Target Group Selection
Price bid per click/fan
Twitter as a Marketing Tool-An Example
Online Marketing YouTube
YouTube can be used as a media to showcase our creative ads and videos about the service ? Create an small Ad about the blog and upload it free of cost on YouTube. ? Create a YouTube Channel for further ads ? Informative ‘How to do’ videos can be uploaded on the channel showing many technical things about the Blog service. ? Create a Google ad for your YouTube Video or channel at a CPC format(Can use Google Ads for Videos)
Online Marketing Wikipedia Page
? Wikipedia is a way of making a free information page
about anything under the Sun.
? We can use this platform to create a info page about
the blogging service.
? This will add to the brand image and will give more
professional image to the whole project.
? On wiki we can have everything about the service.
Example Blogger Wiki Page
Online Marketing Existing Blogger Communities
? Indiblogger : Communities like Indiblogger can help
the service reach all the relevant bloggers in india.
www.indiblogger.in
? International networking sites that has to be used to
market the SaaS are
Online Marketing Indian Networking Sites
? There are many indian sites similar to Digg & Yahoo !
Buzz which are being followed by many indian blog writers as well as readers. ? Examples of such sites are
? More sites such as humsurfer.com,Sify etc can also be
used to create the necessary BUZZ on the arrival of iBlog.
Online Marketing Search Engine Optimization
? Search engine optimization (SEO) is the process of
improving the volume or quality of traffic to a web site from search engines via "natural" ("organic" or "algorithmic") search results
SEO can be used as a very important Marketing Strategy for making iBlog as a successful venture : 1) When people search about ‘free indian blogs’,’Indian blogs’ ,’Blogging India’ etc,our homepage should be the first to figure in the search results. 2) All the Search Engines Google,Yahoo,bing,altavista,MSN etc shoud be informed about the site through proper url addition and sitemap submission.
Online Marketing Search Engine Optimization
Search Engine analysis
Improvement in Site Placement
Online Marketing Affiliate Marketing
? Sponsored links on Google.com
Affiliate Marketing-Referrals
Referral Programs for Free and Premium accounts ? We can have referral system through our existing customers. ? They just have to get a Referral Id by registering for Referral program ? We can track new users derived from these referrals through the unique Ids ? For each referral we will give some ‘Credits’ to the users which can be exchanged for host of features like extra hosting space or Unlimited file upload etc.
Online Marketing Email Marketing
? Email is largest online tool used in the world today
? Email can be effectively used to market blog ? Mails about the Blogging service can be floated across
all major campuses and corporates in India
? Information about website,facebook page, twitter
account and newsletter should be attached.
Online Marketing Open Source Strategy
Free Download of the blogging platform ? This can be used as a marketing strategy ? Downloaded platform should be open source so that people can recode it for unlimited possibilities ? This would give more attention to the blogging service in totality ? Open Source will also enhance the Brand Image
Offline Marketing
Pagalguy Model Blogger Meets Seminars Best Blog Contest
Offline Marketing PagalGuy Model
The PagalGuy Model
PagalGuy in its initial days tied up with B-School events and gave the events a banner space on their website in return of their logo placement and url on the actual event banners.
The iBlog service can replicate the same model for outer brand visibility and use it to promote the website.
Offline Marketing Blogger Meets
Sponsorship of Blogger Meets
? The trend of blogger meets is increasing in India ? Communities like Indiblogger.in keep organizing
regular Blogger Meets in Tier 1 and Tier 2 cities ? Sponsoring such meets will help iBlog get popularity among active bloggers ? Active Bloggers are the biggest influencers and early adopters.
Offline Marketing Seminars
Seminars across Reputed Campuses
? Seminars across reputed campuses will help establish
the brand to the right audience. ? Techies,business graduates refer to lot of content on media and are aware about blogs ? Motivational seminars about blogging might just make them have a Blog of their own and iBlog would be right at the top in their mind.
Offline Marketing Best Blog Contest
Best Blog Contest
? A Best Blog Contest can be floated across various
campuses in the country(similar to the case study competition) ? The blog should be made on the Blogger Service being marketed here(e.g. name.iblog.com) ? Best bloggers from the contest should be awarded lucrative prize money and certificates
Public Relations Activities
? To start a PR activity we can sign up a celebrity
? Announce in an event about the new celebrity and his
/her blog on the blogging service(iBlog)
? Examples of few celebrities that can be thought of 1) Genelia D’Souza(huge fan following) 2) Rajeev Masand(Famous Film Critic,has 5400
followers on Twitter) 3) Shashi Tharoor(Very internet savvy and respectable figure)
Monetization Models
Model 1 Model 2 Model 3
• Revenue through Advertisements • Premium Accounts
• Corporate Blogging
Model – I
? REVENUE THROUGH ADVERTISEMENTS
Revenue Through Ads
Existing Advertisers (Google Ads)
Main Page Corporate (Direct Ads)
Revenue through Advertisements
Blog Page
Ads (Incremental revenue sharing) – to incentivize bloggers
Revenue Through Ads – cont.
? Revenue through advertisements on MAIN PAGE
? Main Page-Ads by Google
?
? ? ?
? Main Page- Direct Corporate
?
? ?
Assumptions: Google’s cut: Number of clicks: Revenue per click: No of Ad units:
50% 25 /day $ 0.3 3
Assumptions: Number of clicks: 25 /day Revenue per click: $ 0.3 Sales Team Cost: Based on per Ad basis brought from Corporates
? Note: Cut by Google has been shown just to show the benefit from getting the ads directly from corporate
Revenue Ads – Main Page
Existing Advertisers Corporates
Year
Existing Advertisers Cut by Google
1
2
3
4
5
1
2
3
4
5
Revenue
Price Passed on No. of Clicks / year
Price from Corporates directly 196425 235710 282852 339422 407306 approached Sales Team Cost (Incremental Salary)
327375 392850 471420 565704 678844
Pitching to get corporate ads
100000 100000 150000 150000 200000
196425 235710 282852 339422 407306
No. of Clicks / year 27000 32400 38880 46656 55987 Revenue 392850 471420 565704 678844 814613
27000 32400
38880
46656
55987
Revenue No of Adds units on the blog 3 Total Revenue
327375 392850 471420 565704 678844 No of Adds
.3*48.5* No of clicks
Total Revenue
196425 235710 282852 339422 407306
3 227375 292850 321420 415704 478844
Revenue Through Ads – cont.
? Revenue through advertisements on BLOG PAGE
? Blog Page-Ads by Google
?
? ? ?
? Blog Page- Direct Corporate
?
? ?
Assumptions: Google’s cut: Number of clicks: Revenue per click: No of Ad units:
50% 3 /day $ 0.25 1 / user
Assumptions: Number of clicks: 3 /day Revenue per click: $ 0.25 Sales Team Cost: Based on per Ad basis brought from Corporates
? Note: Cut by Google has been shown just to show the benefit from getting the ads directly from corporate
Revenue Ads – Blog Page
Existing Advertisers Year 1 2 3 4 5 Years 1 Corporates 2 3 4 5 Passed to Customer Revenue to Google
Revenue passed to customers
2749950 3574935 5004909
Passed to 7507364 12011782 Customer
5499900
7149870 10009818 15014727 24023563
No of 9166500 11916450 16683030 25024545 40039272 Users
700
910
1274
1911
3058
Revenue passed
Revenue 1833300 2383290 3336606 5004909
Sales Team Cost (Incremen 8007854 tal Salary)
Number of Users
100000 100000 150000 150000 200000
No. of Clicks / year
Revenue Total Revenue
756000
982800
1375920
2063880
No. of Clicks / 3302208 year
Total 8007854 Revenue
756000
982800
1375920
2063880
3302208
9166500 11916450 16683030 25024545 40039272 Revenue 1833300 2383290 3336606 5004909
9166500 11916450 16683030 25024545 40039272 9066500 11816450 16533030 24874545 39839272
Model – II
? FREE AND PREMIUM ACCOUNT SERVICE
Account Service
Domain
Premium Account
• Domain Name – .com, .co.in, .in, .info • Hosting Space – 200MB: Rs. 1000/= • Bandwidth –Unlimited: 500/= • Includes free blog setup
VIP Hosting
Account Service
Assumptions for premium package offered
Fixed Cost
Variable Cost per user
Bandwidth Cost is Fixed Cost: Rs 11,00,000
Technical Cost: Rs 715 Domain Name Cost: Rs 500
Hosting Space Cost: Rs 800
Premier Account
Year Number of Users Total Bandwidth Engineer Cost Domain name/user Hosting space Cost Fixed Cost 1 700 1100000 500000 650000 910000 1365000 2184000 637000 955500 1528800 1019200 1528800 2446080 2 910 3 1274 4 1911 5 3058
Variable Cost
350000 455000 560000 728000
Revenue Variable Cost Contribution
2240000 2912000 1410000 1833000 830000 1079000
4076800 6115200 9784320 2566200 3849300 6158880 1510600 2265900 3625440
Premier Account
Break Even Analysis
9000000 8000000
7000000
Revenue/Cost 6000000 5000000
4000000
3000000 2000000 1000000 0
Total Cost
Revenue Fixed Cost
Number of Users
Account Service – ROI
? The Return on Investment in 5th Year is 34.8%
Year 3 4 5
ROI (%)
11.20
23.55
34.79
(Contribution-Fixed Cost) / (Total Cost) (1510600-1100000) / (1100000+1833000)
(Contribution-Fixed Cost) / (Total Cost) (3625440-1100000) / (1100000+6158880)
Model – III
? CORPORATE BLOGGING – PAY PER POST
Corporate Blogging
? Pay Per Post: Marketing for Corporates via 2 modes
Freelancers • Company would hire freelancers to write blogs for promoting corporates • Marketing for Corporates via blogs Customers’ contests • Contests would be floated to bloggers • Best blogs would be chosen for marketing & prizes would be given to bloggers • Marketing of Corporates via blog competition & blogs
Corporate Blogging
Revenue/Corporate for managing account/year No. of Corporates
Revenue from Corporate Account Freelancers salary / Contest Prize (Assuming 10,000/yr on avg) Revenue from PPP 50000 Year 1 Year 2 20 1000000 Year 3 Year 4 Year 5
30
45
2250000
70
3500000
105
5250000
1500000
Revenue from corporate per year 200000 800000 300000 1200000 450000 1800000 700000 2800000 1050000 4200000
Just before we end …
Thank You
doc_612825099.ppt
This is a business plan for internet marketing and use of blogs.
INTRODUCTION
Flow of the presentation
Blogging Scenario – India Enlighten about Blogging Marketing
Monetization Models
Blogging Scenario in IndiaA Survey
? 50 Respondents ? Key Findings ? 62% were aware about blogs ? 34% read blogs regularly ? 12% write blogs ? 22% comment on blogs
Promoting Blogging A ‘Laundry’ List
? Presentation/Seminars regarding importance of blogging in school,Tech schools, B-schools, IT companies and other organizations like NIIT, promoting as an effective medium for flow of thoughts.
? Best blog articles printed in newspapers/ journals/ magazine for promotion of blogs.
? Use of multiple languages applications to promote blogging over regional and language barriers.
Laundry List Continues
? Organization of contests for best blogs and rewarding the
?
?
? ? ?
contestants with incentives. Advertise on social networking sites, email alerts, email advertising. Encouraging existing bloggers to influence their friends. Encourage existing bloggers to promote for e.g. by putting a bumper sticker on your car. Hand out business cards that identify you as a blogger, a bit about your blog and the address of course. Use your social networking sites and chatting windows to promote your blog by updating your status messages with our blog URL.
Still Continues…
? Get personalized t-shirts about blogs printed to promote existing blogs.
? Blogs are informative, enlightening, thought provoking and entertaining and not just for geeks and other bloggers. ? Email Signatures: Add your URL to all of your outgoing email. Try adding your mission statement, or a catchy phrase to help people understand what you do. Change it a several times a year so people notice it again.
Marketing
Marketing-Categories/Segments
I start from zero
I monitor blogs
I read blogs often
I own a blog
You didn’t know about blogs You knew about blogs but did nothing
Become aware of them Search what is being said about you, and your industry Identify key blogs
You understand how powerful they are You are keen to have a try yourself and market your business & tourism destination
Set up a blog Write articles
Encourage other stakeholders in your region to participate
Convert them into fourth category
Marketing Strategy
I start from zero
I monitor blogs
I read blogs often
I own a blog
You didn’t know about blogs You knew about blogs but did nothing
Become aware of them Search what is being said about you, and your industry Identify key blogs
You understand how powerful they are You are keen to have a try yourself and market your business & tourism destination
Set up a blog Write articles
Encourage other stakeholders in your region to participate
Positioning Strategy
? Emphasis on Customer ? iBlog- The name sets the positioning and gives a personal touch and ownership of the blog ? Its about the blogger within you ? Selling the blogger service as a platform to people to
come, share, speak, communicate their views.
? We don’t just position it to people who are geeks or
tech-savvy,but we position it to people who think and have things to share.
Differentiation
? Positioning Strategy – Different from conventional
service providers like blogger & wordpress
? Platform for vernacular languages
?????? ?
?????? ????
Blog
?????
?????? ?????
Online Marketing
Advertisements Social Media Integration and Advertising Search Engine Optimization(SEO) Affiliate Marketing
Email Marketing
Open Source Strategy
Online Marketing Advertisements
? Targeting through Ad network Example – Google Ads, Adbrite & Kontera
?
?
Serve internet Ads on various websites. Target Categories: 2 & 3 (who already are aware about blogs)
Online Marketing Understanding Ad Networks
? An advertising network or ad network is a company
that connects web sites that want to host advertisements with advertisers who want to run advertisements ? Put ads promoting the Blog Service targeted towards category 2 and 3 on various Blogs. ? Keywords like ‘Blog',' Blogs’, ‘Free Blogs’, ‘Blogs in India’ should be bought from Google Adwords ? Ads could be well targeted to all netizens equally( Category 1,2 and 3) ? Monthly budget and CPC(Cost per Click) should be designed to optimize the whole Ad based marketing.
Online Marketing Targeting through Social Media
Such kind of Online Marketing will specifically target Category 1 (non blogger or followers) in addition to other categories
Example – Through Facebook ? Create Facebook Fan Page ? Create a Facebook Ads for the page Twitter ? Use Twitter ? Keep the account buzzing with news about the iBlog
Facebook Ad (A form of Affiliate Marketing)
Designing the Ad
Target Group Selection
Price bid per click/fan
Twitter as a Marketing Tool-An Example
Online Marketing YouTube
YouTube can be used as a media to showcase our creative ads and videos about the service ? Create an small Ad about the blog and upload it free of cost on YouTube. ? Create a YouTube Channel for further ads ? Informative ‘How to do’ videos can be uploaded on the channel showing many technical things about the Blog service. ? Create a Google ad for your YouTube Video or channel at a CPC format(Can use Google Ads for Videos)
Online Marketing Wikipedia Page
? Wikipedia is a way of making a free information page
about anything under the Sun.
? We can use this platform to create a info page about
the blogging service.
? This will add to the brand image and will give more
professional image to the whole project.
? On wiki we can have everything about the service.
Example Blogger Wiki Page
Online Marketing Existing Blogger Communities
? Indiblogger : Communities like Indiblogger can help
the service reach all the relevant bloggers in india.
www.indiblogger.in
? International networking sites that has to be used to
market the SaaS are
Online Marketing Indian Networking Sites
? There are many indian sites similar to Digg & Yahoo !
Buzz which are being followed by many indian blog writers as well as readers. ? Examples of such sites are
? More sites such as humsurfer.com,Sify etc can also be
used to create the necessary BUZZ on the arrival of iBlog.
Online Marketing Search Engine Optimization
? Search engine optimization (SEO) is the process of
improving the volume or quality of traffic to a web site from search engines via "natural" ("organic" or "algorithmic") search results
SEO can be used as a very important Marketing Strategy for making iBlog as a successful venture : 1) When people search about ‘free indian blogs’,’Indian blogs’ ,’Blogging India’ etc,our homepage should be the first to figure in the search results. 2) All the Search Engines Google,Yahoo,bing,altavista,MSN etc shoud be informed about the site through proper url addition and sitemap submission.
Online Marketing Search Engine Optimization
Search Engine analysis
Improvement in Site Placement
Online Marketing Affiliate Marketing
? Sponsored links on Google.com
Affiliate Marketing-Referrals
Referral Programs for Free and Premium accounts ? We can have referral system through our existing customers. ? They just have to get a Referral Id by registering for Referral program ? We can track new users derived from these referrals through the unique Ids ? For each referral we will give some ‘Credits’ to the users which can be exchanged for host of features like extra hosting space or Unlimited file upload etc.
Online Marketing Email Marketing
? Email is largest online tool used in the world today
? Email can be effectively used to market blog ? Mails about the Blogging service can be floated across
all major campuses and corporates in India
? Information about website,facebook page, twitter
account and newsletter should be attached.
Online Marketing Open Source Strategy
Free Download of the blogging platform ? This can be used as a marketing strategy ? Downloaded platform should be open source so that people can recode it for unlimited possibilities ? This would give more attention to the blogging service in totality ? Open Source will also enhance the Brand Image
Offline Marketing
Pagalguy Model Blogger Meets Seminars Best Blog Contest
Offline Marketing PagalGuy Model
The PagalGuy Model
PagalGuy in its initial days tied up with B-School events and gave the events a banner space on their website in return of their logo placement and url on the actual event banners.
The iBlog service can replicate the same model for outer brand visibility and use it to promote the website.
Offline Marketing Blogger Meets
Sponsorship of Blogger Meets
? The trend of blogger meets is increasing in India ? Communities like Indiblogger.in keep organizing
regular Blogger Meets in Tier 1 and Tier 2 cities ? Sponsoring such meets will help iBlog get popularity among active bloggers ? Active Bloggers are the biggest influencers and early adopters.
Offline Marketing Seminars
Seminars across Reputed Campuses
? Seminars across reputed campuses will help establish
the brand to the right audience. ? Techies,business graduates refer to lot of content on media and are aware about blogs ? Motivational seminars about blogging might just make them have a Blog of their own and iBlog would be right at the top in their mind.
Offline Marketing Best Blog Contest
Best Blog Contest
? A Best Blog Contest can be floated across various
campuses in the country(similar to the case study competition) ? The blog should be made on the Blogger Service being marketed here(e.g. name.iblog.com) ? Best bloggers from the contest should be awarded lucrative prize money and certificates
Public Relations Activities
? To start a PR activity we can sign up a celebrity
? Announce in an event about the new celebrity and his
/her blog on the blogging service(iBlog)
? Examples of few celebrities that can be thought of 1) Genelia D’Souza(huge fan following) 2) Rajeev Masand(Famous Film Critic,has 5400
followers on Twitter) 3) Shashi Tharoor(Very internet savvy and respectable figure)
Monetization Models
Model 1 Model 2 Model 3
• Revenue through Advertisements • Premium Accounts
• Corporate Blogging
Model – I
? REVENUE THROUGH ADVERTISEMENTS
Revenue Through Ads
Existing Advertisers (Google Ads)
Main Page Corporate (Direct Ads)
Revenue through Advertisements
Blog Page
Ads (Incremental revenue sharing) – to incentivize bloggers
Revenue Through Ads – cont.
? Revenue through advertisements on MAIN PAGE
? Main Page-Ads by Google
?
? ? ?
? Main Page- Direct Corporate
?
? ?
Assumptions: Google’s cut: Number of clicks: Revenue per click: No of Ad units:
50% 25 /day $ 0.3 3
Assumptions: Number of clicks: 25 /day Revenue per click: $ 0.3 Sales Team Cost: Based on per Ad basis brought from Corporates
? Note: Cut by Google has been shown just to show the benefit from getting the ads directly from corporate
Revenue Ads – Main Page
Existing Advertisers Corporates
Year
Existing Advertisers Cut by Google
1
2
3
4
5
1
2
3
4
5
Revenue
Price Passed on No. of Clicks / year
Price from Corporates directly 196425 235710 282852 339422 407306 approached Sales Team Cost (Incremental Salary)
327375 392850 471420 565704 678844
Pitching to get corporate ads
100000 100000 150000 150000 200000
196425 235710 282852 339422 407306
No. of Clicks / year 27000 32400 38880 46656 55987 Revenue 392850 471420 565704 678844 814613
27000 32400
38880
46656
55987
Revenue No of Adds units on the blog 3 Total Revenue
327375 392850 471420 565704 678844 No of Adds
.3*48.5* No of clicks
Total Revenue
196425 235710 282852 339422 407306
3 227375 292850 321420 415704 478844
Revenue Through Ads – cont.
? Revenue through advertisements on BLOG PAGE
? Blog Page-Ads by Google
?
? ? ?
? Blog Page- Direct Corporate
?
? ?
Assumptions: Google’s cut: Number of clicks: Revenue per click: No of Ad units:
50% 3 /day $ 0.25 1 / user
Assumptions: Number of clicks: 3 /day Revenue per click: $ 0.25 Sales Team Cost: Based on per Ad basis brought from Corporates
? Note: Cut by Google has been shown just to show the benefit from getting the ads directly from corporate
Revenue Ads – Blog Page
Existing Advertisers Year 1 2 3 4 5 Years 1 Corporates 2 3 4 5 Passed to Customer Revenue to Google
Revenue passed to customers
2749950 3574935 5004909
Passed to 7507364 12011782 Customer
5499900
7149870 10009818 15014727 24023563
No of 9166500 11916450 16683030 25024545 40039272 Users
700
910
1274
1911
3058
Revenue passed
Revenue 1833300 2383290 3336606 5004909
Sales Team Cost (Incremen 8007854 tal Salary)
Number of Users
100000 100000 150000 150000 200000
No. of Clicks / year
Revenue Total Revenue
756000
982800
1375920
2063880
No. of Clicks / 3302208 year
Total 8007854 Revenue
756000
982800
1375920
2063880
3302208
9166500 11916450 16683030 25024545 40039272 Revenue 1833300 2383290 3336606 5004909
9166500 11916450 16683030 25024545 40039272 9066500 11816450 16533030 24874545 39839272
Model – II
? FREE AND PREMIUM ACCOUNT SERVICE
Account Service
Domain
Premium Account
• Domain Name – .com, .co.in, .in, .info • Hosting Space – 200MB: Rs. 1000/= • Bandwidth –Unlimited: 500/= • Includes free blog setup
VIP Hosting
Account Service
Assumptions for premium package offered
Fixed Cost
Variable Cost per user
Bandwidth Cost is Fixed Cost: Rs 11,00,000
Technical Cost: Rs 715 Domain Name Cost: Rs 500
Hosting Space Cost: Rs 800
Premier Account
Year Number of Users Total Bandwidth Engineer Cost Domain name/user Hosting space Cost Fixed Cost 1 700 1100000 500000 650000 910000 1365000 2184000 637000 955500 1528800 1019200 1528800 2446080 2 910 3 1274 4 1911 5 3058
Variable Cost
350000 455000 560000 728000
Revenue Variable Cost Contribution
2240000 2912000 1410000 1833000 830000 1079000
4076800 6115200 9784320 2566200 3849300 6158880 1510600 2265900 3625440
Premier Account
Break Even Analysis
9000000 8000000
7000000
Revenue/Cost 6000000 5000000
4000000
3000000 2000000 1000000 0
Total Cost
Revenue Fixed Cost
Number of Users
Account Service – ROI
? The Return on Investment in 5th Year is 34.8%
Year 3 4 5
ROI (%)
11.20
23.55
34.79
(Contribution-Fixed Cost) / (Total Cost) (1510600-1100000) / (1100000+1833000)
(Contribution-Fixed Cost) / (Total Cost) (3625440-1100000) / (1100000+6158880)
Model – III
? CORPORATE BLOGGING – PAY PER POST
Corporate Blogging
? Pay Per Post: Marketing for Corporates via 2 modes
Freelancers • Company would hire freelancers to write blogs for promoting corporates • Marketing for Corporates via blogs Customers’ contests • Contests would be floated to bloggers • Best blogs would be chosen for marketing & prizes would be given to bloggers • Marketing of Corporates via blog competition & blogs
Corporate Blogging
Revenue/Corporate for managing account/year No. of Corporates
Revenue from Corporate Account Freelancers salary / Contest Prize (Assuming 10,000/yr on avg) Revenue from PPP 50000 Year 1 Year 2 20 1000000 Year 3 Year 4 Year 5
30
45
2250000
70
3500000
105
5250000
1500000
Revenue from corporate per year 200000 800000 300000 1200000 450000 1800000 700000 2800000 1050000 4200000
Just before we end …
Thank You
doc_612825099.ppt