Showing posts with label Business model. Show all posts
Showing posts with label Business model. Show all posts

Monday, December 21, 2009

The missing revolution

Image representing Contenture as depicted in C...
Image via CrunchBase
What if you threw a revolution and no one came?

Contenture is shutting down. No, you probably never heard of them and probably won't miss them. And since I didn't even know of the company until I saw notice of their demise, I won't presume to offer cogent reasons why their business model never got off the ground. But here's the key reason they gave on their blog:

[W]e were unable to get any big publishers to use the service, which was going to be the key to our success. Without any large publishers, the economics just don’t work.

I bring this news up here as a cautionary tale in two parts:

Labels are important.
Contenture billed their service as "The Micropayment Revolution". That phrase was part of their logo on their blog. That revolution lasted exactly 192 days from launch-date to shut-down announcement. And as they say above, the revolution wasn't adopted by key entities. Revolution is a pretty serious word. It brings up serious connotations.

Lesson: Be sure the words you use match the reality of your intent.

Don't ignore the Convenience Arrow
After reading the links above that describe the business model, it seems to go backwards. Sure, blocking ads would be nice, but it does little to enhance convenience. And it's certainly not worth paying for. At least not to me. And obviously, not a lot of other people either.

Lesson: There exists a difference between annoying and intruding. One I'll pay you to get rid of. The other I'm really good at ignoring.

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