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Notes on Mixergy interview with TwitPic founder Noah Everett
- Readmore 17y agoWe know that Twitter makes money off the search deals with Google and Bing, and it's a lot more than $5 million.
- axod 17y agoAnd it could disappear in a second. idk. Big money deals with a single or maybe 2 customers is insanely high risk. How do we know how much they make from their deals? How do you know it's more than $5m?
- breck 17y ago> And it could disappear in a second. How so? I'm guessing they have contracts, and MSFT and GOOG aren't the type to renege on their signed deals.
- axod 17y agoI just mean that they could both decide to cancel the contracts when not beneficial for them to do so any more. Say buzz takes off (don't laugh). I'd just rather have millions of paying customers (advertising) than 2 customers.
- davidedicillo 17y agoYes, and Twitter could start hosting images. Nothing is safe and eternal.
- axod 17y agoMost people don't use Twitter.com they use 3rd party clients, so twitters control is limited.
- marketer 17y agoYeah, they're just selling different levels of access to their data stream. Besides the firehose, they have streams of things like all links and retweets, which require some kind of partnership.
- blhack 17y agoIt's about $25 Million a year.
- axod 17y agoOf course the other factor: Twitter: funding $160m, you say rev $25m Twitpic: funding $0, rev $5m So I think twitpic comes out pretty fantastically well.
- Readmore 17y agoThat is one way to look at it but the headline says. 'Twitter makes nothing.' So the comment is about setting the record straight, not comparing business models.
- jfarmer 17y agoThat's daft. Funding isn't a liability (in the financial sense), and those numbers don't say anything about growth prospects.
- axod 17y agoIt'll be interesting to see how Twitter grow their revenue. The number of customers who will pay $m's to do a deal seems reasonably small.
- blhack 17y agoFantastic point. In terms of scaling, how much larger is twitter than twitpic? $160 Million larger?
- johnrob 17y agoFor me, the most amazing thing is the "time to hockey stick": Friday night he starts hacking, and by Monday it's getting blogged about and going viral. That is an amazingly short amount of time to build something people want. Most of us have to iterate a long time to achieve that.
- rythie 17y ago
- nirmal 17y agoI may be mistaken but no where in this article does it say that Noah Everett makes $5million a year. It does say "revenue projections: $3-4 million" and "#1 – have a company worth 8 figures by 24, #2 – have a company generating 7 figures/year in revenue by 25"
- travisjeffery 17y agoNo you're correct, just a typical Mixergy puff-piece line.
- pg 17y agoMixergynotes is not associated with Mixergy.
- Mc_Big_G 17y agorevenue took off when they moved from Adsense to other ad promoters For those of you struggling with adsense, take note.
- Tichy 17y agoWhen is a good time to switch, and where to? Does it make sense for smaller sites, too?
- idoh 17y agoSo, my 2 cents: First, sign up with as many ad networks as you can. Then, note the CPMs that you are getting with each ad network. Finally, chain the ad tags together using minimums and redirects. For example, say you've tried 5 ad networks: A, B, C, D, and AdSense. Put ad tags from A on your site, and redirect to B if A goes below a certain minimum. Then redirect to C if B goes below another lower minimum. Keep redirecting until you get to AdSense, the internet's remnant provider. Every once in a while, check in and make sure that your redirects and minimums are making sense. If you do this, then you'll be capturing a pretty high CPM. To my knowledge, almost all networks support this structure, except for AdSense, which doesn't redirect and therefor goes at the end of the chain.
- axod 17y agoYeah that part was very interesting. We all know adsense revenue is a sort of lower end mark of what is achievable, but it's not always obvious what other ad promoters to try. Any good ad networks people recommend?
- replicatorblog 17y agoAll of the financial data is neat, but am I the only one surprised by the line: - Moved to South Carolina because of The Patriot, the warm weather, and the beach The Patriot?! I liked "Braveheart goes to America" as much as the next guy, but I'm not sure I'd up and move to SC because of it. An answer that bizarre deserves a followup.
- starkfist 17y agoAn answer that bizarre deserves a followup. It's not that bizarre. I moved to San Francisco because of all the skateboarding videos I watched when I was 13. I'd bet that 90% of the people who move to NYC move here because of an idea of the city that is based on movies or tv shows.
- replicatorblog 17y agoOk, but SF and NY are world capitals, tech/biz hubs. Skateboarding was part of the cultural zeitgeist for decades. The Patriot was a big budget "B" movie that featured the carnage of a bunch of innocents. I actually like the movie as a guilty pleasure. To put it another way, I wouldn't move to Minnesota because of Wayne's World.
- starkfist 17y agoWayne's World was somewhere in Illinois. I would totally move to Minnesota if it was really like Purple Rain. (It's not - it's more like Mall Rats)
- pchristensen 17y agoWayne's World was set (not filmed) in Aurora, IL, where I now live. (I did not move here out of Wayne's World nostalgia).
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- _pius 17y agoI wish this site linked back to the original Mixergy videos from the notes, both for ethical and practical reasons.
- smiler 17y agoThe guy turned down a minimum of $10,000,000. Is he stupid? (I should add, I would take that deal, because if twitter add in any kind of image service or some other service gets popular...)
- ryanhuff 17y agoWhether turning down $10M was a bad idea depends on a number of factors, from expected revenues to his own life goals. $10M would certainly provide for a lot of freedom. The 800lb gorilla is Twitter, and if/when they start to cannibalize the third parties in an effort to build their own revenues. Twitter certainly isn't at that point yet, but it will happen eventually.
- ivankirigin 17y agoTwitter makes about $25M yearly from search deals, and has a more sustainable business than TwitPic. When can we kill the meme that twitter and facebook are not making money or are not profitable?
- dschobel 17y agoWhen they go public and we can see the balance sheets and not just press releases.
- ivankirigin 17y agoIn the context of an interview with a tiny private company built on a clearly much bigger private company, I don't think your comment makes much sense.
- dschobel 17y agoIt was a direct answer to your question which was explicitly about fb + twitter. What's not to get?
- ivankirigin 17y agoIt was not at all a direct answer to the title of the original post, which implied twitter makes no money. It also doesn't make much sense, considering there are an inordinate number of profitable private companies.
- brown9-2 17y agoTotal investment into Twitpic was $5,000 Does this mean that Noah Everett's total investment as of now is $5000, or that at one point in time (possibly before he"rebuilt the site from the ground up to run on a scalable platform") his total investment was $5000? The past tense on "was" makes it hard to tell which it is; it would be even more interesting of a story if the answer is the former.
- ryanhuff 17y agoI think it means his out of pocket investment to bootstrap the company.
- flavio87 17y agoin the interview he says around 1.5 mio in 2009 a quick look at quantcast shows that US traffic (which is by far the most monetizable) hasn't grown at all since july 09 (though there is a nice bump in intl. traffic) http://www.quantcast.com/twitpic.com http://www.quantcast.com/twitpic.com so i would say 2-3 mio is a more reasonable assumption than 5 mio. which is still fantastic.
- wmblaettler 17y agoThis is my first time seeing MixergyNOTES, and I must say I really enjoy this concise cliffsnotes version of the interview. I was able to take in all the key points within 5 minutes' time.
- mixergyNOTES 17y agoThank You!