Ultra Light Start Up: An Example of Asking the Wrong Question

So I was sitting in the back of the lofty room, listening to a multitude of monetization inquiries at the Ultra Light Start Up group.

The focus of this month’s meet up was “Online Video Monetization” and, as I suspected, a bunch of content creators were there asking how they could make money from their (pre-existing) video series.

This is the wrong question to be asking.

Instead of asking, “How do I make money off these videos” I think the better question is “How do I identify video topics that I can build a business around?”

A fundamental issue here is the pervasive tendency of web2.0 wunderkind to launch a project without first identifying the revenue or market prospects:

I’ll figure out how to make money later… after the market finds me and I “build value.”

Consequently, the overriding prospects of selling information were dismissed. Selling content is dead seemed to be the vibe. Well, I know a multitude of businesses that crush it by selling valuable, high quality content that customers happily purchase.

Unfortunately, this model isn’t viewed by most as sexy enough to pursue.

The takeaway here is that

We internet folks still need mucho training on how to identify and properly vet out business prospects
If you think you can pull in huge ad revenues via online video, then you are going to be disappointed
Before you start your video series, either identify a business model that doesn’t include sponsorship… or understand that what you’re doing is a hobby

That said, when I walked out of the room last night, I took with me (what seems like) a high potential idea for how you just might hit it big. And no, it doesn’t include sponsorship.

Mementum