Business Models- Amazon- Traffic Agregator- They want your eyes on the screen. -Wall Street Journal- News and Content Provider
Revenue Model- Amazon- Commision, Advertising, E-Commerce -WSJ- Subscription, Advertising. -Application Service Providers- Income Taxes
Different Types of Models- Fund Raisers, Info Mediary, Machine to Machine.
Revenue Models make money by internet access, advertising and sponsorship, donations, memberships, subscriptions, sale or licensing of systems, software-based services, syndication or licensing, transactions, value-added services. Internet has lots of information. Convert, Obtain, Retain. Word of Mouth on the internet is really important. Next best thing is testmonials. Critical Strategy Elements from Direct-Response Perspective-The offer-The Email List-The service & support- the creative execution- the media. Aston Martin vs. Camry High Income vs. Low- Income James Bond Factor. People who like Bond will be emailed to get them interested in the car he drives. Drop Shipping- Selling Things you don’t have you job is to process the order. 3 things you want a customer to do on your website-Stay on it as Long as Possible.-On your site there not on some elses site. Involvement Goes Up. Content is good if on for a while. Commerce. Stickiness. Landing Page- When you type in a www. .com where does it bring you. Customer Lifetime Value- loyalty, brand recognition. You want customers that don’t switch between companies are the most valuable customers. Ratings on Ebay, Business Model. Unrated you can’t sell something so you go to a guy who does this all the time.
Testing Vs. Market Research-Why do people do things? What are they thinking? Price, Banner Ad, Color. Two exposures. Who your targeting? Email List. How Random will it be? Easy on Internet What people do? The testing Process table 4-4.