If that sounds familiar, its because you’ve been paying attention to our brilliant readers.
Back in January, we hosted a “Fix Digg’s Revenue Model” contest after learning the company lost $2 million on revenues totaling $6.4 million over the first three quarters of 2008. Readers submitted lots of great ideas, but Digg seems to have liked one entry, from Dax Brady Sheehan, in particular. Here’s what it looked like:
Executive Summary: Digg should serve proxy-versions of stories that make the front page.
Entrant: Dax Brady Sheehan
Real old school but with a few mods digg could proxy every page, serve ads in frame.
benefit to user…
1. targeted ads
2. sites never suffer from digg effect
benefit to publisher…
1. revenue share
2. “digg effect” traffic handled by digg (do not have to scramble for server space)
3. targeted ads supplied by digg
(do not have to scramble to crappy “click here… punch the hiltons” CPM based banners)
benefits to digg…
1. extremely diverse content network (espn to nova)
2. sites aren’t “digg effected”
3. more cash for rose’s pilsner glass
Now, Dax writes us an email:
Long time reader, remember the digg content to fix there business model?
1. Thanks for including me.
2. Now that digg has implemented the tool bar (proxy hack) don’t you think you may want to rename the winner? Ha, had to rub it in, not sure that it will fix it and certainly they’re getting some serious blowback but it will be interesting to watch just how hard they push on the ads. Thanks again Nic. Keep up the kick arse content and anytime you need any other contests won let me know.