Sugar Inc., the 61st most valuable company on our Digital 100 list, created a business model built on page views and e-commerce.
Increasingly, however, the group of sites targeting 18-to-40-year-old women is a force in the online video space as well.
Views increased from 200,000 per month in January 2010 to 13.5 million this month, David Grant, VP of PopSugar Studios, told us in a phone call on Wednesday afternoon.
Grant, who produced shows including “The Shield” and “Temptation Island” when he ran Fox TV Studios, heads a 20-person unit that produces around 125 videos per month.
The videos are distributed across Sugar’s brand of sites as well as other places. In fact, the majority of the views come from non-Sugar affiliated sites.
“The nice thing about video is that once you are watching it, you are inside of our experience,” Grant said of the model that puts a premium on showing clips where the audience is, not forcing the viewers to come to Sugar.
The next step is building a video e-commerce arm to match the one that accompanies sites such as Pop Sugar and Fit Sugar. Before coming to Sugar, Grant co-founded and served as CEO of Shopflick.com. The site was an attempt at video e-commerce, and he is taking that experience to Sugar, whose founders Brian and Lisa are well-versed in the space as well.
You may be familiar with the model already.
“When we take a page out of the brilliant business that QVC has built and learn how to do that in a more niche, specific way online that will open up a whole new avenue,” he said. “We’re looking very hard at that. And I think we’re probably better positioned than most to do that. Certainly, it’s in my bones.”
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