There is another music streaming service that we didn’t mention in our Top 10 free music streaming services and that is Spiral Frog. Spiral Frog is an ad-supported music download service which has had a huge amount of hype since launch.
Today it has been reported that Spiral Frog might be in a bit of trouble and heading towards the deadpool. These reports come from executives within the struggling company. Why is Spiral Frog in trouble? When launching Spiral Frog was in a growing advertising market in which was still yielding good CPM (cost per 1000 ads) rates, however now in the economic downturn these rates are quickly dropping. Therefore, companies need to keep increasing pageviews and presence to stay ahead of the curve. Spiral Frog has been losing a lot of traffic of late and this combined with the big licensing fees they had to pay upfront for major label catalogues means their in a lot of trouble.
There are only a couple of options that will save Spiral Frog. Firstly, a miracle could happen and they could turn around the traffic and the revenues, but that’s not going to happen. Secondly, they could get more funding and sell part of the shares, but they are running out of shares so I don’t think this would happen either. Finally, the only real option is for someone to step in and purchase the company just before they run out of money and get a bargain basement price.
To be fair in the past Spiral Frog has had a lot of issues and they have been in trouble a couple of times. This is probably what has lead to Spiral Frog getting a lot of media attention. I think Spiral Frog will be acquired by the end of 2009, its the only decent option of the company.
Over the last few weeks there has been a surge of blog sales at various prices, but will your blog be next and what will your site actually be worth.
We have seen the Bloggy Network sell off their most popular blogs to Splashpress Media (Bloggy now to focus on Blogflux), Blogging Fingers sold for $6000, Ryan Shamus sold for $2500, OneMansGoal sold for $8500, NxE sold for $8200 and Shylock Blogging for $4000.
These sites have had a great mixture of statistics with relevance to visitors, pageviews, subscribers and blog life. At present because of this a lot of bloggers are trying to work out how these blogs have be evaluated, with mixed views. 45n5 divides subscribers by the sale amount and then average the amounts per subscriber, thus averaging about $30 per subscriber. This $30 per subscriber seems to be a great amount to judge if you should place advertising on your site for the little income in the short term compared to the value you will have from subscribers in the long term.
If you site currently has 100 subscribers and has been making $200 per month ad revenue, but your subscriber growth has been slow. Wouldnt it be a better idea to remove the ads if your goals are set beyond 6 months so that you can allow subscriber numbers to grow at its full potential. There is no point monetizing your blog as much as possible in the early days unless you are looking for an income or getting ready to sell.
Additionally, how come there isnt a place online that specifically provides auction space for blogs that are trying to sell?
For a few months now i have been subscribed to SiteFever.com. I first came across SiteFever when JohnChow posted about SiteFever trying to see how much money they could make from not using advertising networks. After 11 weeks of the test, they have $1136.78, quite good in a short amount of time.
SiteFever has now been sold to Avi an Isreali, but will he be able to keep all the readers and grow site fever into a must read site. I have also noticed since taking control of the site he has already added Google Adsense! Interesting!
