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Modeling The Real Market Value Of Social Networks -
June 23, 2008
"It’s time to start comparing the big global social networks on something other than unique visitors and page views. I believe an effective way to value a particular user is based on the average Internet advertising spend per person in the country they live in. The higher the spend, the more value the social network can get out of the user by serving them advertising and other products. That means that, for now, users in a handful of key countries are worth far more in terms of revenue potential than those in the rest of the world." -
Why not assign different values to different users? aka someone who spends 3 hrs a day on facebook is far more valuable than someone who spends 3 hrs a week. It doesn't seem like it would be that farfetched to get that detailed... -
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