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A lot of tech industries seem to be winner-take-all, so aiming for 30% might not be a sustainable plan in many cases.
by alex_c 8y ago
A lot of tech industries seem to be winner-take-all, so aiming for 30% might not be a sustainable plan in many cases.
- AJ007 8y agoWell at least that’s what companies that are losing lots of money like to tell their investors. I’ve heard it many times and can’t think of any definite examples.
- bduerst 8y agoNot really. Vimeo shows that you can corner niche markets successfully. Profitability and growth aren't dependent on market dominance, even in tech.
- trjordan 8y agoYouTube Vimeo is more like 1% / 99%. By almost anybody's definition, that's winner take all. Vimeo aims for $100mil this year: https://www.reuters.com/article/us-iac-interactive-vimeo/iacs-vimeo-aims-for-100-million-in-revenue-this-year-ceo-idUSKCN1G71PN https://www.reuters.com/article/us-iac-interactive-vimeo/iac... YouTube Could be a $15 billion business this year: https://www.fool.com/investing/2018/02/18/youtube-could-be-a-15-billion-business-this-year.aspx https://www.fool.com/investing/2018/02/18/youtube-could-be-a...
- bduerst 8y agoAgain, success isn't measured by marketshare, but profitability and growth. Vimeo has 15% of the embedded market by domain, and has managed to be profitable. Even in your article it talks about how Youtube isn't exactly profitable, and is dragging down Google's average CPC for the business.
- mcv 8y agoA massive difference indeed, but by any other standard, $100 million is not bad at all.
- AJ007 8y agoThis isn't a good comparison. Netflix, Twitch, Snapchat, Facebook/Instagram are.