bwagy, the blog of Ben Young

Here’s an idea.  A free one.  Take it and run with it.

Microfunding.  Microspends.  Micropayments. Whatever you want to call it.

Take the concept of the long tail and apply it to spending online.  Imagine the long tail of ‘small purchases’.

You could blow this wide open.  Here’s $0.05 for that interesting pdf on your website.  $0.10 for the youtube video i loved.  $0.25 for that podcast that entertained me for an hour.

Doesn’t sound much does it.  But imagine that 1 in 100 of your fans is a loyal fan whom will contribute $0.10/view.  Now 10,000 regular visitors translates to: $10/day.  Soon adds up.

Current ad rates ~$1cpm.  Equates to: $0.001/visitor.  If you could convince on average every visitor to contribute $0.01.  Increased revenue 10 fold!

Ok.

Now imagine you are the company that facilitates all these micropayments.

Tags: ideas, microfunding, monetisation strategy

This entry was posted on Sunday, July 27th, 2008 at 7:40 pm.