Case Study: Media Street Apps Limited (UK)

The name of the publication and / or company

Media Street Apps Limited

Established

November 2010 (previously Cut Media)

Web Address

mediastreetapp.com

Form of the company

Limited company

Describe your site or business in few words.

Jonathan Lloyd, the founder and owner:

“Media Street Apps is a start-up business developing a web application called Media Street, which is a software application to run local websites. Our case study pilot site is for my local area, King’s Road, in Chelsea, London (kingsroad.co.uk). Our second local website is fulhamroad.co.uk.

Any domain name can be plugged into the Media Street app. That means a local news website can be created very quickly. I can expand into other areas of London without having to reinvent the wheel. We can also license the app to others, but that’s not in my six-month business plan. I’m trying to nail and finish my two pilot sites first.

Media Street offers various media solutions to local business owners and brands. We sell a 12-month online marketing package for local businesses. One of our main products is banner advertising. We do Twitter marketing as well and we’ve done online video for clients. We are starting to do more content marketing for clients who are looking to drive traffic to their website, or we can feature their articles on our site. “

Staff numbers

Who’s creating the content

Content creators, paid freelancers

4 or 5

Are some of the content creators citizen contributors or interns?

“Some are budding journalists who write for free to add up to their portfolio. “

How is your time divided between doing business and content?

I do mostly commercial stuff. I like to structure it so that I’m publishing some content early in the morning so that people arriving at their desks can see a story in the morning. Rest of the morning I mostly do sales and marketing activities. In the afternoon I tend to be out and about seeing my local businesses and clients. In the evening I check content for the week and do development work.

Business, marketing & sales, paid full-time

1 (Jonathan Lloyd)

How they make money

Revenue models and sustainability

Would you say your business model is sustainable?

Yes, it’s sustainable, but it can grow as a business and take on more people locally to help run the websites.

How much is your yearly or monthly revenue?

Lats year 40 000 pounds in sales.

Where does your revenue go?

Fixed costs, like hosting and my accountant. Mobile telecommunications charges.

How much do you pay to your contributors?

“Last year we went through three paid editors. In hindsight, I have realised that I don’t need to pay editors yet. The business isn’t ready for that. For me, it’s more important to get an idea of the workflow and what the content model is – I don’t think the content model is clear at all yet. Whilst I don’t pay all my contributors now, I used to, and that was a lesson I learned: it was a waste of money, really. One of my contributors gets paid 75 pounds per story, but that arrangement delivers a couple of stories per day.”

What about profit?

“Obviously to pay myself more money, but also to launch other local websites and to push the Media Street brand out there. I would also want to increase content and publish investigative news journalism. “

What kind of advertising you sell?

Ad Networks, Cost Per Impression (CPM), CPA – Lead Generation, Sponsorship, Text links, Pay Per Post, Newsletter Advertising, Location-based ads, Ads through your Facebook page

Other revenue sources

Selling video and events, Affiliate Marketing – Individual Programs

Do you see your publication as your main product?

Yes. Through my flagship media brand, Kingsroad.co.uk, I have a captive audience that I can use to market other products with.

What would be the most important thing on your road to sustainability?

“I now have just over 100 clients. The question is, how can I get from a hundred to a thousand? I want to get to a certain point within six months and then the questions is can I have someone doing the content side so that I can continue developing the commercial side. That’s my focus until June 2012. “