Funding the Blogosphere – or not?
Posted on : 07-10-2008 | By : admin | In : Business Opportunities, Communications, Internet, business
Although the monthly unique user bases of Corporate and Professional blogs are higher than Personal blogs on average (39,000 and 44,000 vs 12,000 respectively) the net revenues make personal blogs apparently more profitable, with figures of $50, $150 and $100 per annum respectively. This leads to respective 0.13c, 0.34c, and 0.83c Net Annual Revenues Per User (Net ARPU), assuming that the monthly average unique users stays roughly constant in a year. These have not been adjusted to strip out the non-Ad supported ones, which are about 45% on average. Stripping those out and upgrading gives respective Net ARPUs of 0.20c (Corp), 0.57c (Pro) and a whopping 1.57c (Personal).
The last column is of all Ad supported blogs – Net Revenue $100, 46,000 users on average (doesn’t make sense given that all the subcategories have smaller average user bases, but its here for reference anyway)
Moral – By these figures, Pro Blogging in any sense or form reduces wealth rapidly – rather do loads of Amateur blogs:)
>From the report one gets a slightly different view:
The majority of bloggers we surveyed currently have advertising on their blogs. Among those with advertising, the mean annual investment in their blog is $1,800, but it’s paying off. The mean annual revenue is $6,000 with $75K+ in revenue for those with 100,000 or more unique visitors per month. Note: median investment and revenue (which is listed below [See our Analysis]) is significantly lower. They are also earning CPMs.
Bloggers are sophisticated in using self serve tools for search, display, and affiliate advertising, and are increasingly turning to ad and blog networks. Many bloggers without advertising may consider it when their blogs grow – the inability to set up advertising will not be a factor.
In other words, that hit head is making nearly all the money, if the Mean revenue is $6,000 and the Median is $200.
Now we have committed all sorts of analysins, for eg dividing median annual revenues by mean monthly unique visitors, but the data is directionally correct albeit dimensionally useless – so we await Day 4 with eager anticipation 
Update – AVC gives another touchpoint – c150k visitors pm (I assume uniques by the way its written, c $30k max income pa – thats about 20c per year, an order of magnitude above the Thechnorati figures – the implication being, (as I stated above) that as you start to get to the bigger blogs, the values rise sharply.


