RE: Advertising Revenue and Distributions on the Steem Blockchain
Thank you for an excellent post, I think this is a conversation we should be having.
I think we will get advertising whether we promote it or not. (I don't think promoting it would be a terrible idea though)
I wrote about how it could develop even without development.
"The more people who gather here the more an economy will naturally happen - Here is an imaginary situation
At some point, Coke or Pepsi or another large company may purchase some Steem and create an account. (we aren't there yet)
Based on other Internet business models, my guess is they would get people to interact with their account by giving away sweepstakes, free services or products.
Some people on SteemIt will be upset about large corporations joining and will try to flag those companies.
This may work for a while, but if current users keep flagging, and there are enough eyes here to motivate Coke, they will buy into the "Stake Based System". (They could even buy enough stake to vote for their own witnesses)
Many users may become angry and leave, so Coke has to be careful to retain the "eyes" if they want their purchase to provide returns in name recognition or sales.
It is all a balancing act
Whether you think it is a good thing or a bad thing, the more eyes we have on SteemIt, the more value and potential it will gain from creative, motivated people."
In my opinion, it is all about getting and keeping "Eyes" on the platform. If that happens the rest will follow.
I think there are many things we could do to improve and shorten the timeframe, and you mentioned some of them in your post. It will be interesting to see how the site develops.
In a sense there already is advertising, but it is built into the system and not really sustainable in my opinion. I see people use their steam dollars to advertise on the promotions tab, but it only cost like 50 bucks in sbd to have your post in the top 10 usually, and those posts make way more than that. There isn't enough sbd actually being used for these things to make it worth while, also it only really enriches the richer earlier steemians who were here first.
While you may put some money into the system itself to advertise, unless a ton of whales or dolphins upvote your post, only a few hundred people or a thousand will see it is the down side. To spend 50 dollars ona post only a few thousand see is pretty expensive if it does not getthe upvotes, which a lot of them also don't because it is new people with almost no following. Especially if the whole point is to get people to click into your site and buy a product. Steemit is not advertising friendly for getting views, for example on reddit it is quite literally 10 dollars for 50,000 views and you can get between 100 to 1,000 clicks yto your site(much better return)
We need more normal regular poeple here first for the views before the advertisers can come in, but i think we are all on our way. Isee a lot of new accounts lately.
The promotion was an attempt at that and many accounts are also using their "posts" to advertise". For example randowhale, booster, whaleshares. Many of the "Give-Aways" are also a form of advertising.
I keep watching for people who sell Mary Kay or some type of product to post, to see how it goes. :)
It is a challenging balance for the community to try to retain new users.
The promotion section is a nice idea, but having it separated in that tab just kind of prevents it from getting views. Better implementation of it could potentially be a nice revenue stream.
Yea but if they bought that much Steem it wouldn't really serve any purpose of further selling their product. People have millions of Steem, I don't see how it really helps Coca Cola to have more than ten thousand to 100,000 or so. It would primarily be used to keep themselves from being flagged because they upvote their own blog post and they would upvote other people and reward them for logo designs or contests or something.
Icould see a lot of people signing up for stuff like that. I guess.
I don't exactly see why almost any large corporation would put millions into Steem, but if they did I think the original creators still have a large portion of Steem between themselves to flag abusive stuff at least, +the community would like you say above.