I am building a web application on a topic on which many static sites are there with very limited information. My application is a portal into all the existing content, as well as provides a lot of unique content on its own. My startup does not have any market reputation. Each month more and more content will be added and there will be high-value newsletters. But I want to block the whole site and show the content only to paid users (something in the order of $20 per-anum). Is it a good idea? Or should I just expose all the content, get popular in an year and then start selling ad-spaces? My content is unique and valuable - how do I make money? What are the models/options? I know this has an answer of "it depends", "too vague" etc but please interpret it the way you want and give me some hints at least. THANKYOU
I'd lean towards establishing a strong presence and authority first. This will be your best investment into your longer-term business goals (which I assume you have, and include continuing the site/information, and making money). Compare this to an offer of a 6 month free trial or something. You are establishing credibility, reputation and building the spectacular image that you will later leverage to when introducing streams of revenue. You can look at some of the most profitable and well-known companies to see what free information buys you: user-generated content on YouTube = ad dollars and market domination / WinAmp let us play MP3s the cool way, but offered pay-for services. AOL buys them / Digital Point ? Anyway, you get the picture. All of the above assumed you didn't/don't have much money to market or develop your business. You could essentially skip some things if you did have money, but being known as an expert on something unique is worth so much more than $20/year. Good luck. (If my 2 cents helps make you at least 4 cents, that's 100% profit from my advice!)
Hmmm.. the problem is not much of user generated content is possible but it is more of a one-way read function because a discussion forum as well as many blogs exist on the domain I am building on. However, there is a lot of missing content that my site provides, now and constantly in future. But good points for thinking though!
If I were the user, then I would pay huge money ONLY IF the site provide the content that's is NOT provided somewhere else for free, and will benefits me more that what I've paid. Well, that's only my 2-cents
IMO, if you are intending to charge money for your valuable content, atleast give the people some glimpse of what you offer. One way is a trail membership, another is a few examples of your unique content. Maybe even a free membership with an option to upgrade to a better and exclusive one for a fee. That way you get the visitors interested in your content, and they will want to stay for more - some of them will pay. BUT if you build your website only among the paying costumers - your popularity and reputation, and even income will be much less than you could essentially get.
how about blocking the whole site for 6 months and give access to only registered users (free registration) and later close the free registrations and make a mandatory paid service - interested users will pay and the other ones will ignore (or goto any other semi-competitive sites that would have come up by then, which i dont care because I also have a unique monthly letter - so content always gets created).
If you do that, alot of people will ofcourse lose interest, and a minority will stay. Given that, do you want to risk losing all your registered members for a number of paying members rather than keep on the free registration and give the members who are willing to pay premium content ?