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]]> By: John http://www.borthwick.com/weblog/2007/03/10/web-20-firms-face-unusual-problem-too-many-customers/#comment-5280 John Wed, 14 Mar 2007 15:07:26 +0000 http://www.borthwick.com/weblog/2007/03/10/web-20-firms-face-unusual-problem-too-many-customers/#comment-5280 Advertising networks can scale internationally without having feet on the street / the usual constraints you see with traditional media. Data suggests that is happening. Additionally, the shift of ad dollars from off-line to online seems to be happening in burst internationally -- different from the consistently positive but gradual trend line we see in the US. In 06 the shift in the UK was explosive, not gradual. I also believe that there are other monetization paths available to broad/international media networks like Flog. Micropayment based models are working for QQ, Cyworld and Mixi -- no reason they shouldn't work for Flog. Advertising networks can scale internationally without having feet on the street / the usual constraints you see with traditional media. Data suggests that is happening. Additionally, the shift of ad dollars from off-line to online seems to be happening in burst internationally — different from the consistently positive but gradual trend line we see in the US. In 06 the shift in the UK was explosive, not gradual. I also believe that there are other monetization paths available to broad/international media networks like Flog. Micropayment based models are working for QQ, Cyworld and Mixi — no reason they shouldn’t work for Flog.

]]> By: soxiam http://www.borthwick.com/weblog/2007/03/10/web-20-firms-face-unusual-problem-too-many-customers/#comment-5228 soxiam Sun, 11 Mar 2007 03:38:29 +0000 http://www.borthwick.com/weblog/2007/03/10/web-20-firms-face-unusual-problem-too-many-customers/#comment-5228 John. Nice write-up. In addition to thoughts you shared, how would you characterize the current climate in investment/vc community when it comes to trying to raise capital for start-up's where most of its traffic is flowing in from regions that are hard(er) to monetize? We know their significance both in advertising market share and the overall leverage are growing but it will clearly take longer than most of short-term profit oriented partners would like. Is it just a matter of finding the right kind of partners who share your long-term visions? Or do you think there are ways to accelerate profitability in developing markets? John. Nice write-up. In addition to thoughts you shared, how would you characterize the current climate in investment/vc community when it comes to trying to raise capital for start-up’s where most of its traffic is flowing in from regions that are hard(er) to monetize? We know their significance both in advertising market share and the overall leverage are growing but it will clearly take longer than most of short-term profit oriented partners would like. Is it just a matter of finding the right kind of partners who share your long-term visions? Or do you think there are ways to accelerate profitability in developing markets?

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