We often discuss the subject of revenue models in the online world. While there are a multitude of Internet businessess and offerings, the earnings that will support many of them are elusive. This is particularly so in the area of social media, where companies have innovative services being used by many, but the sources of revenue are a work in progress. Our recent guest from Nokia acknowledged that financial expectations are uncertain for its new online services; it was more important to provide these services and gradually see what practical models emerge.
As we’re also aware, the future of print publications is perpetually debated. So it is great to learn about a business that is successfully combining traditional publishing with user generated content. 8020 Publishing is running its travel and photography magazines in a cost-efficient manner by using online editorial and photo submissions. The San Francisco-based company produces its magazines based on the best material, and suggestions, of its online community.
8020 is creating these magazines and managing its websites with a staff of less than 20, a miniscule workforce compared to many other national print publications. Even better, the company is forecasting profits by next year.
This model has proven to be so effective, 8020 has plans for similar magazines dedicated to food and cars. With one small hitch, though… it will only proceed if its dedicated online community members say the new titles are worthwhile and that they will support it.
– Jody Chatalas