Ask YC: Resources for learning about revenue models?

4 pointsaichcon17y ago3 comments

Does anyone have any useful reading about the fundamentals of generating revenue? My understanding is limited to choosing subscriptions vs. advertising, or a combination of the two.

How do you make money off of advertising? What are the advantages and disadvantages to both? Is there one that is better than the other depending on what stage your company is in? Is it as simple as asking potential users what they would pay for it?

Thanks very much.

3 comments

3 comments · 3 top-level

jlogic7717y ago

That's a tough one that I'm looking at too.

My thoughts on advertising is you need A LOT of traffic to make it worth your while. Or extremely good targeting. Which makes the ad model work for targeted blogs and sites with loads of content with some good SEO.

This is a great article on the topic in general: http://onstartups.com/tabid/3339/bid/170/Startup-Pricing-Mod...

This is also a fantastic video:

http://www.omnisio.com/startupschool08/david-heinemeier-hans...

bosshog17y ago

http://earlystagevc.typepad.com/photos/uncategorized/busines...

http://earlystagevc.typepad.com/earlystagevc/2006/07/busines...

tstegart17y ago

Um, there's no limit to what your revenue model can be. Basically, it can be anything you want that's legal. Seriously, don't limit yourself, study all the ways to make money and find a combination that works. Advertising and subscriptions are just two. What are you trying to sell?

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