Business. Rules.
Jeff Jarvis has a great list of rules for new media. He wrote them for newspapers, but they're applicable to any business that wants to prosper online.
RULES FOR BUSINESS MODELS
* Tradition is not a business model. The past is no longer a reliable guide to future success.
* “Should” is not a business model. You can say that people “should” pay for your product but they will only if they find value in it.
* “I want to” is not a business model. My entrepreneurial students often start with what they want to do. I tell them, no one — except possibly their mothers — gives a damn what they *want* to do.
* Virtue is not a business model. Just because you do good does not mean you deserve to be paid for it.
* Business models are not made of entitlements and emotions. They are made of hard economics. Money has no heart.
* Begging is not a business model. It’s lazy to think that foundations and contributions can solve news’ problems. There isn’t enough money there. (Foundation friend to provide figures here.)
* There is no free lunch. Government money comes with strings.
* No one cares what you spent. Arguing that news costs a lot is irrelevant to the market.
* The only thing that matters to the market is value. What is your service worth to the public?
* Value is determined by need. What problem do you solve?
* Disruption is the law of the jungle and the internet. If someone can do what you do cheaper, better, faster, they will.
* Disrupt thyself. So find your weak underbelly before someone else discovers it. Or find someone else’s.
* The bottom line matters more than the top line. Plan for profitability over revenue, sustainability over size.
This entry was posted by Kevin Creighton, on
5.02.2011.
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