Bit.ly received $ 2 million. Reduction of links - a profitable business?
In a world limited to 140 characters, brevity is worth its weight in gold. That is why links reduction services are rapidly gaining popularity. One of them, Bit.ly , yesterday received venture financing of $ 2 million for 20% of the project, which means a total project valuation of $ 8 million.
At the same time, it should be noted that Bit.ly is the second most popular link shortening service on the Internet. He controls about 13% of the market, significantly inferior to the absolute leader TinyURL (75%), according to Tweetmeme statistics .
That is, if you extrapolate the Bit.ly estimate to TinyURL, then it can be estimated at $ 50 million. However, this is not entirely correct, because the popularity of TinyURL.com is frozen in place, while Bit.ly takes off like a rocket. The reasons are clear: 6 characters instead of 11, statistics and analytics tools, lack of contextual advertising, as well as the corporate mafia - Bit.ly and Twitter have only investors . But even if we take a score of several tens of millions - can the link reduction service bring such a profit? Due to what? No one can explain this yet.
')
Perhaps investors are thinking about the future. Controlling other people's links, these services actually control other people's traffic and, theoretically, can do anything with it, converting it into banner displays and showing contextual advertising. How real it really is is also unclear.
Bit.ly processed 20 million clicks last week, and this number is growing by 10% per week.
via TechCrunch
At the same time, it should be noted that Bit.ly is the second most popular link shortening service on the Internet. He controls about 13% of the market, significantly inferior to the absolute leader TinyURL (75%), according to Tweetmeme statistics .
That is, if you extrapolate the Bit.ly estimate to TinyURL, then it can be estimated at $ 50 million. However, this is not entirely correct, because the popularity of TinyURL.com is frozen in place, while Bit.ly takes off like a rocket. The reasons are clear: 6 characters instead of 11, statistics and analytics tools, lack of contextual advertising, as well as the corporate mafia - Bit.ly and Twitter have only investors . But even if we take a score of several tens of millions - can the link reduction service bring such a profit? Due to what? No one can explain this yet.
')
Perhaps investors are thinking about the future. Controlling other people's links, these services actually control other people's traffic and, theoretically, can do anything with it, converting it into banner displays and showing contextual advertising. How real it really is is also unclear.
Bit.ly processed 20 million clicks last week, and this number is growing by 10% per week.
via TechCrunch
Source: https://habr.com/ru/post/56001/
All Articles