What are the political underpinnings of the internet and can they have an impact on the wider political discourse?
Yesterday, I looked at which parts of a company can use metrics. Today, I start delving into the types of metrics those different groups can use. For the purpose of this on-going discussion, I’ve divided metrics into two categories: Hard Metrics and Soft Metrics. The main difference betwen the two is that hard metrics can easily be measured while soft metrics are more amorphous. One could also say that hard metrics are more traditional, by nature, than soft metrics. Let’s go into more details… Revenue One of the easiest metrics to measure, in terms of assessing the value of a business, is the revenue lines and other items, such as profit and loss (also known as P and L), which one can cull from balance sheets. While the raw numbers, in and off themselves have some value, it is important to look at distribution. On the revenue side, distribution could be spread across a number of areas: for example, a site could receive some advertising revenue (both through an internal sales force or via an advertising network like Google Adsense or Yahoo! Publishing Network), derive revenue from paid subscriptions, receive dollars for syndicating content to another source, or manke money…Read More
Jeff Jarvis says that scale doesn’t scale. Fred Wilson follows up by talking about the new scale. While I agree that new markets can be born out of aggregation, I disagree with the concept of scale not scaling. The problem is one of, well, scale. Let’s say that I want to make a movie that will rival Star Wars in terms of special effects and will have a plot that will take the story all over the world. So I can look at the aggregated model to make that movie. I’ll put the word out on my site and, hopefully, people will contribute money and/or services. Granted, this process will take time as I’m not a movie insider and have no proven track record in terms of making movies. So, I now have to limit my ambition and make a short demo. I do that and it’s good enough to convince some people but not good enough to convince enough people to raise the funds. Let’s assume, for argument’s sake that I manage to aggregate 10,000 people and they are all willing to chip in $100 towards making the giant movie. That’s really great, I now have a fund of…Read More