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What wikipedia, YouTube, Airbnb and other Internet companies earn

What wikipedia, YouTube, Airbnb and other Internet companies earn
What wikipedia, YouTube, Airbnb and other Internet companies earn

The cost of Airbnb – a company that does not have a single hotel owned – $ 30 billion. This is almost twice as expensive as Marriott – a network of more than 6,500 hotels. The world has changed.

In this article we will talk about the business models of the five largest Internet companies: YouTube, OLX, eBay, Airbnb and Wikipedia. Each story is evidence that serious money can be earned where, at first glance, it seems completely impossible.

YouTube was created in 2005 by three programmers as a dating site – those who wanted to find a couple or just a friend needed to record video recordings. A year later, Google bought the service for $ 1.65 billion.

Today, YouTube is the largest video sharing site and the second largest search engine. In total, visitors spend a billion hours on watching videos.

The platform earns most of the money not on content, but on the attention of viewers – 30 million visitors per day. Here are ways to monetize:

1. Sponsored advertising

When you are looking for a video, several videos with the label “Announcement” are shown at the top of the list – this is a paid advertisement. The service receives money from advertisers for the promotion of their materials. The amount depends on the number of views received.

What wikipedia, YouTube, Airbnb and other Internet companies earn

2. Embedded Advertising

Embedded ads are ads that are played before the start of the video or at the time it is viewed, as well as pop-up banners. The owner of the channel on whose video an advertisement is placed receives his share of the earnings.

3. Ads on the home page

If the user is not logged in to their account, a banner with an image or video will be displayed on the YouTube homepage. In some cases, its conversion can reach 80%.

4. YouTube Red (Premium)

This is a subscription service ($ 10 per month) that provides a person with expanded access to YouTube:

  • The ability to use YouTube Music and YouTube Gaming;
  • View videos without ads;
  • Access to exclusive YouTube Red content;
  • Background music playback when other applications are running and when the screen is off;
  • Free subscription to Google Play Music.

5. Paid content

YouTube eagerly collaborates with content creators who want to charge for watching their video clips. In this case, the user has to pay for a subscription or buy the right to access the contents of the channel. Exact figures are not disclosed, but according to rumors, revenues between the content owner and the platform are distributed in the proportion of 55:45.

6. YouTube TV

This is an exclusive live broadcast of channels, available to subscribers on a subscription basis. A monthly subscription costs $ 35. There are also premium channels, subscription to which is charged separately. YouTube TV can be broadcast on any device.

7. Affiliate program

Under some of the commercials may appear advertising thematic products. These products are affiliate ads. If you buy a product, YouTube will receive a percentage.

OLX was founded in 2006 in Argentina. Today she works in 40 countries. In India, Brazil, Pakistan, Portugal, Poland, Ukraine, Nigeria, the Philippines and Kenya, the site ranks first in the free classified ads market. And it is controlled by the South African media group Naspers.

Here are some features and achievements of OLX:

  • The site is the largest online ad market in many countries, one of which is India with a population of over 1 billion;
  • The success of OLX led Google to shut down its Google Trader ad site;
  • At home – Argentina – OLX in popularity is on the same level with leading social networks;
  • The number of transactions OLX is more than 8.5 million.

OLX, unlike other online markets, does not earn anything on the transaction itself. Here are the main sources of revenue portal:

1. Google AdSense

The lion’s share of the company’s revenue comes from monetizing through Google AdSense. The portal attracts many visitors to the site and monetizes this influx of customers by displaying ads from the Google advertising network.

What wikipedia, YouTube, Airbnb and other Internet companies earn

2. Selected listing (raising the product to the top of the list or highlighting it)

When the seller adds an ad, it is placed at the top of the list. But over time, the message drops lower and lower, and the number of views, respectively, decreases. To ensure that the product is displayed at the top, the seller can pay OLX. After all, on the first page views are much more than the second or even further. And of course, the probability of selling is also higher.


Friends, a small digression.

. Soon, Oles Timofeev will hold a free online master class “10 trends for effective Internet promotion in 2018-2019 . You will learn:

  • The difference between the old school of online promotion and the realities of the market;
  • How are you looking for customers on the Internet (not the way you think);
  • 7 trend areas, focus on which will attract new customers in 2018-2019;
  • . And much more .

: You can register for the webinar and get acquainted with the full program at the link :

What wikipedia, YouTube, Airbnb and other Internet companies earn


The company was founded in 1995 as an auction for collection items. Realizing the prospects of the idea itself, the owners dramatically changed the main vector. Now the site is one of the e-commerce market leaders. On the platform, the goods are sold both for a fixed price (Buy It Now) and as an auction.

Buy It Now – the most common way to work trading platforms on the Internet. But on eBay, the concept of Buy It Now has three different variations:

  • The client can participate in the auction or purchase the desired position directly. The difference will be that the Buy It Now price is at least 30% higher than the starting auction price;
  • In auctions with reserve prices, the Buy It Now option is displayed only after the reserve price is reached;
  • The third option – Buy It Now without participation in the auction. This option is standard for all trading platforms. The product is bought for a fixed price.

For buyers, most functions are provided free of charge or included in the final price of the product. Sellers also have to pay for some services:

1. Accommodation fee

Each seller is charged a fee for placing an ad on the platform. Also, the seller pays for the listing, the price varies from product category (from 5 to 30 cents). Each has 50 free listings per month.

2. Sales commission

eBay also charges sellers a commission for each sale. Depending on the product category, it varies from 3.5% to 10%.

3. Extended listing rates

In addition to the standard listing service, eBay provides other promotion options: selection, replication of an item on the platform, and so on. These features are available for both classic and auction trading.

4. Income from subsidiaries

eBay receives significant revenues from subsidiaries. GittiGidiyor is a Turkish shopping center, eBay Enterprise is a multinational e-commerce corporation specializing in the creation, development and management of websites of online stores, Corrigon is a visual search engine.

Wikipedia now has about 6 million articles, 33 million registered users, 32.5 million active editors. At the same time, about 600 new materials appear only in the English-speaking segment every day.

This is a very successful and profitable project that earned $ 91 million in 2017. At the same time, not a cent was earned on advertising, affiliates or paid services.

Wikipedia is an encyclopedia written in collaboration with people who use it. This is a special type of online tutorial designed to simplify collaboration and data creation, where volunteers from all over the world contribute and edit content from reliable sources.

Due to the fact that the main content is provided by volunteers for free, the organization focuses its activities only on the maintenance of the site, servers and administration. The owner of the resource is the Wikimedia Foundation – a non-profit organization that supports not only Wikipedia, but also other educational and knowledge sites.

There are only three sources of income:

  • The company receives the bulk of the funds in the form of donations from millions of people and companies around the world;
  • Kind Services is in-kind donations in the form of supplies, equipment and services;
  • фирменные товары под своим брендом: футболки, кружки, ноутбуки и многое другое. The organization sells branded products under its brand: t-shirts, mugs, laptops and more.

What wikipedia, YouTube, Airbnb and other Internet companies earn

Wikipedia Store

All profits go to support Wikipedia, its subsidiary projects, awards and grants.

Airbnb is an online platform for hosting, searching and short-term rental of private housing around the world.

The founders created a simple website with a bed and breakfast map. As more and more people began to use it, the owners began to improve the platform.

Today, Airbnb is present in 34 thousand cities in more than 190 countries around the world. Since its inception, the service has helped find housing for 35 million guests. In 2012, Airbnb overtook Hilton Hotels in the number of nights booked. In March 2017, the company was estimated at $ 30 billion, and the personal fortunes of its three founders were estimated at $ 1 billion each.

For the traditional hotel business, millions have to invest in the construction, development and maintenance of their facilities. The Airbnb resource is people, and therefore, none of the above should be done.

Airbnb allows travelers to chat with their hosts and pay for their stay at home, saving money instead of visiting expensive hotels. Personal profiles and rating / review systems help to make an informed decision about the owners and what is offered to them. The owners, in turn, can also choose whom to rent their housing.

The company receives income in two ways:

1. Commission from homeowners

Airbnb will charge a 10% charge to homeowners for each reservation. Also, the receiving party must pay 3% for processing guest payments.

2. Transaction fee from travelers / guests

6-12% of the booking amount is the travelers’ fee for each confirmed stay. This amount is not refundable. And depending on the legislation of the country, VAT is charged.

Also, the company receives a share of the proceeds from the sale of the Airbnbmag magazine and travel guide and organizing business trips of managers of various companies with the provision of all the necessary reports.

***

. Soon, Oles Timofeev will hold a free online master class “10 trends for effective Internet promotion in 2018-2019 . You will learn:

  • The difference between the old school of online promotion and the realities of the market;
  • How are you looking for customers on the Internet (not the way you think);
  • 7 trend areas, focus on which will attract new customers in 2018-2019;
  • . And much more .

: You can register for the webinar and get acquainted with the full program at the link :

What wikipedia, YouTube, Airbnb and other Internet companies earn

What wikipedia, YouTube, Airbnb and other Internet companies earn

What wikipedia, YouTube, Airbnb and other Internet companies earn
What wikipedia, YouTube, Airbnb and other Internet companies earn

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