Business Models =============== Advertising ----------- Models | Examples :----------------------------|:------------------------- Display ads | Yahoo! Search ads | Google Text ads | Google Video ads | Hulu, Twitch.tv Audio ads | Pandora, Radio, Podcasts Promoted content | Twitter, [Tumblr](http://www.quora.com/Tumblr/How-does-Tumblr-make-money) Paid-content links | Outbrain Recruitment ads | LinkedIn Lead generation | MoneySuperMarket, ZocDoc Affiliate fees | [The Wirecutter](http://www.nytimes.com/2012/12/17/business/media/buffeted-by-the-web-but-now-riding-it.html?ref=business&pagewanted=all&_r=1&) Classifieds | Craigslist Featured listings | Yelp, Super Pages; E-mail ads | Yahoo, MSN Ad-retargeting | Criteo Real-time-intent ad delivery | Location-based offers | Foursquare Sponsorships/Site take-overs | Pandora Lifetime, unique ad space | [NSFWCORP Conflict Tower](http://blog.paulcarr.com/porous-paywalls-are-not-the-answer-to-anything-cartoon-towers-on-the-other-hand/), milliondollarhomepage.com Sponsorships | [Twitch.tv users](http://gamecannon.com/monetize-twitch-tv-stream/) Commerce -------- Models | Examples :------------------------------|:------------------------- Retailing | Zappos Marketplace | Etsy Crowd-sourced marketplace | Threadless Excess-capacity markets | Uber, AirBnB Vertically-integrated commerce | Warby Parker Aggregator | Lastminute.com Flash sales | Gilt Groupe, Vente Privee, Fab Group buying | Groupon Digital goods/downloads | iTunes Virtual goods | Zynga Training | Cloudera(?), -> Coursera Pay what you want | Radiohead Commission | SharesPost Commission per order | Seamless, GrubHub Auction | eBay Reverse Auction | Priceline Barter for services | SwapRight Subscription ------------ Models | Examples :----------------------------------|:---------------- Software as a Service (SaaS) | Salesforce Service aaS | Shopify Content aaS | Spotify, Netflix Platform aaS (PaaS) | dotCloud, Heroku Infrastructure aaS (IaaS) | Freemium SaaS | Dropbox Ethical premium | Proposed by [Clayton Cubitt](http://claytoncubitt.tumblr.com/post/38164739490) Donations | Wikipedia Recurring donations (w/ rewards) | [Patreon](http://www.patreon.com/carbotanimations) Sampling | Birchbox, [BarkBox](https://barkbox.com/) (sic) Membership services | Amazon Prime Support and maintenance | 10gen, Red Hat, [Cloud66](http://www.cloud66.com/pricing) Paywall | New York Times, [Andrew Sullivan](http://www.poynter.org/latest-news/mediawire/208300/andrew-sullivan-tweaks-paywall-model-after-initial-subscriber-surge-slows/) Strict Paywall | [The Information](https://www.theinformation.com/Letter-From-the-Editor1) Porous Paywall | [NSFWCORP](http://blog.paulcarr.com/porous-paywalls-are-not-the-answer-to-anything-cartoon-towers-on-the-other-hand/) Voice and video conferencing | Uberconference Newsletter | [Ricardo Bueno](http://www.ricardobueno.com/running-a-paid-subscription/) Fremium video subscription | Twitch.tv, [YouTube](https://support.google.com/youtube/answer/3249127) Peer to Peer (P2P) ------------------ Models | Examples :-------------------------|:--------------------------- P2P lending | Lending Club P2P gambling | BetFair P2P buying | Etsy P2P insurance | P2P computing | CrasPlan storage, SETI@home P2P service | Mechanical Turk, TaskRabbit P2P mobile WiFi/tethering | Transaction-Processing ---------------------- Models | Examples :-----------------------------|:------------------------------------------------- Merchant acquiring | PayPal (On-/Offline), Stripe (OnL), Square (OffL) Intermediary | IP Commerce (POS 2.0), CardSpring Acquiring processing | Paymentech Bank transfer | Dwolla Bank depository offering | Simple, Movenbank (spread on average deposits) Bank card issuance | Simple (interchange fee per transaction) Fullfilment | Amazon Messaging | Peer-to-Peer SMS, IM, Group Messaging Telephony (public networks) | Skype out/in Telephony (private cloud) | Native Skype Mobile payment gateway | Braintree Platform monetization (“tax”) | Facebook Credits, iOS 30/70 cut Licensing --------- Models | Examples :------------------------|:---------------------------------------- Per seat | Sencha Per device/server | QlikView Per application instance | Adobe Photoshop Per site | Private cloud on internal infrastructure Patent | Qualcomm Brand | Sesame Street Indirect | Apple Volume Purchasing Data ---- Models | Examples :------------------------------|:-------- User data | BlueKai Business data | Duedil User intelligence | YouGov Search Data | Chango Real-time consumer intent data | Yieldbot Benchmarking services | Comscore Market research | GLG Mobile ------ Models | Examples :--------------------|:-------------------- Paid-app downloads | WhatsApp In-app purchases | Zynga Poker In-app subscriptions | New York Times app Advertising | Flurry, AdMob Digital-to-physical | Red Stamp, Postagram Gaming ------ Models | Examples :---------------------------|:------------------ Freemium (virtual currency) | Zynga Subscription | World of Warcraft Premium | Xbox games DLC (downloadable content) | Call of Duty Ads | addictinggames.com Open Source ----------- Models | Examples :---------------------------------|:------------------ Consulting | Red Hat, Nginx, Revsys Support | Hosting/Infrastructure | WordPress Free for some, but not for others | Ads | Mozilla Bundled features (e.g. search) | Mozilla, Opera