Saturday, November 20, 2010

Sponsors | Don't apologize: Every dollar counts

Via snail mail, I recently received a $5 bill from a reader somewhere in Gannettland. It was wrapped inside a hand-written note bearing an apology (see, above). Then, a long-time Nevada reader sent $10 through PayPal. Soon after, a California reader sent another $10, and a New Yorker, $6.

In the microfunding economy, small amounts really add up. Consider this: I've got well over 10,000 monthly readers. If each one gave just $5 a year -- less than 2 cents daily -- I'd earn $50,000 annually. Yikes!

To be sure, I don't expect to make that much. Indeed, so far in the current quarter, which ends Dec. 31, I'm slightly more than halfway to my $4,000 quarterly goal. The breakdown so far:
  • Reader donations: $569
  • Advertising: $1,463
Related: What Hopkins and Obama have in common

I'm trying to earn $4,000 quarterly, mostly through sponsorships of $5 per reader, plus limited ad sales. Please use the "Donate" tool in the green rail, upper right. Or mail cash/checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

14 comments:

  1. Wow great business model. Now how do you live in SF on a couple of thousand a year? You must have another source of income.

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  2. I have savings, plus my partner is employed.

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  3. 6:51 -- You should note that this is a better business model than Gannett has in place for its digital news properties. Since almost every one is populated by newspaper content, they would most likely be money losers if you charged the cost of the newsgathering to the Web sites themselves.

    Jim's blog makes money ... not a lot, but it does turn a profit.

    Gannett still hasn't figured out that the only way to make money on the Web -- at least right now -- is to have sites with very broad reach and few employees.

    If Gannett shut it's papers down, the whole community publishing division -- including the digital properties -- would fold. That's the problem.

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  4. 2:27 are you kidding. Really?if you think this business model makes a profit then go back to business school. Even Jim has to be chuckling at that statement

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  5. I haven 't said this lately.
    Thanks for all you do, Jim.

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  6. 3:28 a.m. If profit is revenue exceeding expenses, Gannett Blog makes a profit. But it's very small.

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  7. You don't draw a salary. Pay your self a low level Guild wage for the Bay Area and tell us your margin.

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  8. Dividing my anticipated income for the year (about $10,000) by the number of hours I work weekly -- 20-28 -- I'll just barely earn the federal minimum wage this year. But I don't get any paid vacation or health insurance.

    However, I hope to begin direct sales of advertising in the near future, and that could boost my revenue.

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  9. Passer Jim if you earn $10,000 a year and work those hours you are not making Federal or CA min wage. You should form your own union and call the dept of labor. The owner is violating all kinds of laws. Respect and Dignity!

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  10. I meant Psssst not passer. Sorrrry

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  11. 1. The federal minimum wage for covered nonexempt employees is $7.25 per hour, effective July 24, 2009.

    2. The minimum wage in California is $8 per hour, effective Jan. 1, 2008. (Interestingly, however, effective Jan. 1, 2008, the minimum monthly salary for sheepherders rose to $1,422.52!)

    3. I average 20 hours a week x 52 weeks, or 1,040 hours.

    4. So, $10,000 / 1,040 hours = $9.62 an hour.

    Not a lot, of course, but not entirely humiliating.

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  12. Jim, you just trolled yourself with the sheepherder stat. :)

    I can't quit you.....

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  13. Jim you said 20 to 28 hours. If this was a labor review they spud go ny the average, 24 hours. Plus you are the owner you'd be exempt so you are well under the exempt weekly salary. Bottom line you are not being properly compensated. I am going to start a blog so your under paid, over worked employees can bring light to the masses. Lol

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  14. Jim, as soon as I'm employed again, I'll make a contribution.

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Jim says: "Proceed with caution; this is a free-for-all comment zone. I try to correct or clarify incorrect information. But I can't catch everything. Please keep your posts focused on Gannett and media-related subjects. Note that I occasionally review comments in advance, to reject inappropriate ones. And I ignore hostile posters, and recommend you do, too."

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