Please enable JavaScript.
Coggle requires JavaScript to display documents.
Ch6 Monetization + Ch9 Metrics, G1 (IBS3 Evonne, IBS3 Jenny, EIPHD2 Casper…
Ch6 Monetization + Ch9 Metrics
Leaders need key metrics
Pipeline
Key numbers
Inventory turns
Operating income
Cash flow
Ancillary metrics
Overhead
Return on investment
Gross margin
Platform
New forms of measurement
Creation,Sharing,Value through eco-system
Rate of success interaction
Smart metrics design
:<3: 3 A metrics
Accessible
Audiable
Actionable
Are people happy to continue participating?
:red_cross:Vanity metrics
Total sign up
Who should you charge
users play multiple roles.
hard to decide (decision you make about one user category impacts others in ways may not be obvious.)
observe histories of successful platform
subsidize another to charge one side
A side : provide users
highly value the opportunity to make contact with users
B side : participate for free
the feeling is not equally reciprocated
Charging most users full price while subsidizing stars.
choose super- users
Charging all users (ex : NYC)
reducing or destroying network effects
serve as curating techniques to guarantee member quality
From Free To Fee
design decisions impact the transition to monetization
free using to expand network effect (users first, monetization later) :check:
create value
encourage participation
earn from create value and exchange results which are satisfactory to both producer and consumer :check:
"last nail in the coffin"
avoid charging for value that users previously received for free :green_cross:
Consider potential monetization strategies when making your initial platform design choices. :check:
avoid reducing access to value that users have become accustomed to receiving:green_cross:
ex: Fb cut down organic value when decided to provide premium content promotion to paying producers.
when charge，create additional value that justifies :check:
rushed to monetize their offerings prematurely :green_cross:
(ex : Myspace、Fb)
A good platform needs revenue model
ways to reducing network effect
charge from entered supplier
charge from cases
reduce potential interaction
charge from entered demander
the better monetizations
increase network effect
Get fees from value
Complementary Products : service is free , but get fees on its important ingredients
freemium :
Entice users to purchase the advanced version
two-sided market pricing
platform must ensure that the value it gives away to one side can be used to capture value on the other side
Users can only exchange
value
on the platform
The platform must fully control the value of the network and the final monetization
sources of excess value
Consumers can be satisfied on the platform
Suppliers can reach a larger market on the platform
Create a market that can enhance the interaction between supply and demand
The curatorial mechanism enhances the quality of bilateral interaction
Ways to monetize
1.charging a transaction fee
Charge after transaction
Reasonable fee rate
Does not hinder the entry of new users
2.charging for access
A display platform : Users gain popularity on the platform
ex : Dribble
3.charging for enhanced acess
Let users stand out from many competitors on the platform
4.charging for ehanced curation
Charge higher fees for high-quality demanders
the life cycle of the platform
growth
decision the face
producer-to-customer ratio
ex. okcupid
on the producer
frequency of producer, participation, listings created, and outcome achieved
producer fraud
on the consumer
frequency of consumption, searches, and rate of conversion to sale
airbnb, qingdao, wechat
maturity
high signal-to-noise ratio
facilitate resource allocation
driving innovation
change in the competitive and regulatory environment
ex.cisco
still customize
startup
main metrics
trust
central to market
both side have successfully curated
ex. airbnb comment
liquidity
the first and important milestone
how to measure
percentage the listings that lead to interaction with a given time period
include users total and interactions occuring
comparative: users & time
ex. inherently
matching quality
delivering value&stimulating the long-term and success
how to measure
sale conversion rate
the higher the better
people commitment to the ecosystem
time between interactions
percentage of active users
number of engagement
market access
the effectiveness to users to join and find or connect other
G1
IBS3 Evonne
IBS3 Jenny
EIPHD2 Casper
DCH3 Monica
