Seduced by the success of YouTube, far too many people are mimicking the online video pioneer. But a lot of companies are finding out that it is tough to catch lightning in a bottle. That includes giants like Sony, who invested $55 million in a user generated web video site called Grouper six months ago.
The Grouper experiment has failed. “User-generated video is dead to us,” Grouper founder Josh Felser told an interviewer.
“The same content is on every site,” Felser complained. “Equally as important, you can’t monetize it. Advertisers don’t want to be associated with unpredictable content.”
Grouper, which going forward will be known as Crackle, is bidding to become an online movie studio instead. And that’s a smart move, as they become a site with a specific purpose, making it more likely that they will intelligently use Sony’s resources and skill sets.
A specific purpose is a must. When I first conceived of the idea of Free IQ, the specific purpose was clear, providing visitors with useful, meaningful, skill-building information. Free IQ has a powerful revenue model as well, offering experts on all subjects the opportunity to sell their intellectual property on our site.
Free IQ users don’t have to be content providers to make money with us. By registering as an affiliate, they can profit from the purchases of any users they refer, as well as share in the revenue of sales made by any content providers they introduce to the site.
Web video is here, and will do nothing but grow. But many big players in the industry are discovering that they aren’t going to be the next YouTube. They’re learning that you need to focus on doing something specific and do it well in order to profit from it.
We’re pouring significant resources into making Free IQ an important source of knowledge for visitors. Doing so will provide our content providers and affiliates with a considerable opportunity to profit along with us.
That’s Free IQ’s purpose. And while we’ll never be YouTube, each and every day we’re getting a little bit closer to being that indispensible resource that we know that Free IQ can be.