Surprise, Surprise. Sex doesn’t sell online

In what appears to be a light-hearted effort to take everybody’s mind of the challenges facing the global economy for the weekend Business Insider has posted 15 things you need to know about internet porn. or, everything you wanted to know about the online sex industry but were afraid to go looking for the stats.

The headline stats are simply 12% of all web sites (i.e. 24.6 Million) are porn sites and the global market is worth just $4.9 Billion.

The next question is do these numbers represent a beautify set of figures? (pardon the pun) Continue reading

So how much can you make producing YouTube vidoes?

A friend of mine asked me over the weekend why I hadn’t crunched the numbers on making money out of creating content for YouTube. After all I’d exposed the long tail of Blogging, eBooks, online games,  iPhone Games, iPad Apps and Freemium Software. Why not YouTube?

The answer is simply that a. A part from the occasional success story in Mashable (Think Rebecca Black) there isn’t a lot of data around to qualify how robust or valuable the market for YouTube content really is and, b. having discovered a “Long Tail” pattern across all the other mobile and online media “Get Rich” schemes I suspect that creating YouTube videos would hardly prove to be the exception to the rule. Continue reading

Some thoughts on the Google wallet strategy

As well as adding few Billions and Millions to my last post Greg Pudewell was kind enough to get in touch and ask a few questions about the blog.

For example Is there only one MobCon or multiple authors? Why has the direction changed from exploring the MobCon to exploring the So.Me? and what do I think of Google’s Mobile Wallet strategy?

Let’s start with the easy question. Yep there are only two index fingers typing furiously here and they are much shorter now than they were before I started this exercise.

Now onto the subject of Google’s Wallet. Continue reading

So how much money can you make out of developing iPad apps?

Today there are over 80,000 iPad Apps and an estimated 250,000 iPad compatible iPhone Apps available for download in the App Store . Each day over 600 Apps are submitted to the App Store for approval. So I guess the question needs to be asked: Can you make money out of developing iPad Apps?

Well I don’t have any up to date figures to share with you but back in December when there was 40,000 iPad apps in the store I did some thumbnail numbers based on some numbers published by IA and Apple Insider that suggested if you take Tomi Ahonen’s estimates of $30,000 as the average cost of developing an iPhone app to be the benchmark for developing an iPad app and then placed it in the App Store with a RRP of $0.99 then it would take less than a week in the Top Spot in the App Store to achieve an ROI. As we move further down the app store’s long tail we discover that it would take a couple of weeks in the Top 10, 6 Weeks in the Top 50 and 9 months in the Top 100.

These estimates of course did not account for the marketing and promotion costs that have the potential to increase the cost of entry somewhere between 2-10x the development costs.

Since then the number of Apps has doubled while the number of iPads has grown from 15 to 20 Million.

So although the number of iPads has increased the probability of success has actually been reduced. If you consider the raw stat that you have a 1 in 800 chance of making it into Top 100 then it is fairly obvious it doesn’t need a coin toss to figure out that a night out at the casino is offering better odds at the moment for the average wannabe App Store developer.

Having said that even a cursory glance at the Top 100 Paid iPad Apps would reveal that the overall quality of market is relatively poor by Windows standards. There appears to be a lot of “shareware” developers sitting it out on the long tail of the App Store Economy.

This in itself suggests that anyone who enters the market with a “Killer” iPad App is going to do very well. The challenge is to discover that special “something” – be it an App or a Game – that proves itself to be indispensible to those 20 Million iPad owners.

Just how important has click fraud been in shaping the growth of the web economy?

To be honest I think I have just about completed this circumnavigation of the Google and So.Me Advertising Economies.

It’s probably time to start thinking about recompiling all these disparate threads into some kind of logical structure.

But, before I do, no discussion on the growth of online advertising over the past 15 years and the disruption of the print industry would be complete without taking a brief look at the problem of click fraud. Continue reading