Chris Trottier

Big Social is moving a way from ad-subsidized free to a subscription model. For example:

1. Meta Verified
2. Twitter Blue
3. Snapchat+
4. Reddit Premium
5. Tumblr ad-free

If this is going to become the pre-eminent method of Big Social's revenue generation, then this is a game that the Fediverse will probably win against Big Social.

Yes, it's hard to compete against "free" -- but Big Social isn't exactly offering "free" anymore.

https://techcrunch.com/2023/02/27/social-media-apps-adopting-subscription-models

TechCrunch is part of the Yahoo family of brands

Feb 27, 2023 at 8:39pmWeb
Show threadNot a Spring OnionFeb 27, 2023

@atomicpoet But that means (hopefully) that people will come to realize that all this "online stuff" costs _someones_ money.

Personally, I rather pay a small amount for several services (in fedi's case part of the instance costs) than viewing ads and getting analyzed.

(And, yes, I am in the position so I can pay a bit, I would neither assume nor expect every user to pitch in.)

Show threadMaisie Pubblechook, Esq.Mar 5, 2023
@wakame @atomicpoet This is the first platform I've paid for. I always use ad blockers because the ad model was so intrusive I felt fully justified in thwarting it.
Show threadNot a Spring OnionMar 5, 2023
@MaisiePubblechookEsq @atomicpoet
One big difference is: If you are being shown ads, your aren't the customer. The customer is the one paying for the ads.
Show threadEmelia 👸🏻Feb 27, 2023
@atomicpoet tumblr ad free is actually a good deal though, unlike the rest.
Show threadCharlie StrossFeb 27, 2023
@atomicpoet The fediverse isn't free—someone has to pay for those instances' servers and bandwidth, even if they're run by and moderated by volunteers! (So find out who physically owns your instance and give them a recurring kickback, okay? Otherwise you might find yourself back on FB or Twitter by and by …)
Show threadChris TrottierFeb 27, 2023

@cstross I wasn't referring to the Fediverse being free, I was referring to Big Social.

But yes, let's get into the weeds a bit 🙂

Running a Fediverse server is free *if* you're running it on your hardware and doing all the day-to-day operations yourself.

Which most people won't do. But then again, that's not even an option for Big Social.

But in terms of *price* (which is what the OP is about), the Fediverse once again out-competes Big Social's subscription plans.

Show threadCharlie StrossFeb 27, 2023

@atomicpoet

Yes in terms of price—b/c the Fediverse isn't owned by a multinational corporation on a quest for profits. Never underestimate the parasitic cost of an overpaid C-suite!

But cheaper does not mean free and sweat equity comes at a price in terms of opportunity cost (if nothing else, in terms of foregone income generating hours), too. (I've run a blog and social hub for about 20 years now, as a hobbyist/marketing for my books. It probably costs me a novel a decade. So not free!)

Show threadMike GaruccioFeb 28, 2023

@cstross @atomicpoet

One thing I think may help a lot of those instance operators is a set of best-practices/architecture guidelines. I’ve seen some discussion on hosting costs and the numbers tend to be wildly divergent and rarely seem to align with user count or instance activity. A set of recs for personal instance/family instance/small community/large community that optimize for cost and independence may help with that

Show threadJiSeFeb 27, 2023

@atomicpoet I don't think this will (or is supposed to be) a pre-eminent method of revenue, but I think it is their effort to try and sustain some fiction of growing revenue a year or two more.

After it proves to produce only a little they migth go for the Gaming route and try to figure out a system where they could attract whales who wish to invest heavily into their social media presence.

Show threadChris TrottierFeb 27, 2023

@JiSe Point is that this *could* become a pre-eminent method of revenue -- especially if the bottom falls out of advertising. And that's possible, because advertising is a fickle beast. Whenever a recession happens, the first thing on the chopping block are ads.

If this is where Big Social is going, then it is difficult for them to out-compete the Fediverse.

For the price of Meta Verified, you could be running your own full-managed server.

Show threadJiSeFeb 27, 2023
@atomicpoet Yeah, and even if it doesn't become the major source, the effort to "push" the paid variant can easily start a cascade of lost users.
Show threadMikeasaServiceFeb 27, 2023
@atomicpoet
And it seems like I’m most cases Big Social has a pretty different idea than I do of what’s “valuable.”
Show threadPaul GuinnessyFeb 27, 2023
@atomicpoet I think the other aspect is that they could still make a ton of money as free, but they wouldn’t see revenue growth without subscription revenue.
Show threadMaureen KelseyFeb 27, 2023
@atomicpoet I surely won’t be participating in that scheme
Show threadAndres JalintonFeb 27, 2023
@atomicpoet
If Big Social stops accepting "free" users, the majority will left out due to not having a credit card, being in debt or not wanting to spend their money that way. I know I wouldn't pay for a centralized service unless it returns me some financial value (Ex. Helps with work).
Show threadhusbandpanda 🐼Feb 27, 2023
@atomicpoet going paid is basically a death knell to their model and tell you they have some biiiig problems. Combined with layoffs, budget problems are immense.
Show threadsezduckFeb 27, 2023

@atomicpoet
I’ll never give a penny to those companies.

Meanwhile, I’ll gladly subscribe for access to a great Mastodon app like @ivory

And I’ll gladly contribute to support the Mastodon instance I’m on.

Show threadzeGolemFeb 28, 2023
@atomicpoet honestly, i'd rather social networks are paied through subscription models rather than ads and data harvesting. much more transparent, and much more direct. the gold standard would be kinda what discord is doing, a free tier for most people, including most basic features to socialize with people, and some novelty features behind a subscription (more profile customization, longer post, lesser media limits, maybe access to some recommendation algorith parameters?)
Show threadChris TrottierFeb 28, 2023
@zegolem Meta Verified won't exempt you from their data harvesting. You'll still see ads.
Show threadzeGolemFeb 28, 2023

@atomicpoet yeah, not saying the current companies are doing it this way... but i wish it'd move towards that

unfortunately, data collection can be invisible to most users, and earns them too much money, so i'd still be weary of anyone advertising themselves as directly financed by their users 'till they get investigated by the eu or something

Show threadzeGolemFeb 28, 2023
@atomicpoet oh, and wb reaction emoji? why isn't this everywhere?? such a neat feature, i wish it wasn't restricted to some fedi services...
Show threadClockwork ☃️✒️Feb 28, 2023

@zegolem @atomicpoet

Why would anyone be happy to pay rent on digital spaces, that are supposed to be common and public?

Show threadzeGolemFeb 28, 2023
@clockwooork @atomicpoet because maintaining those spaces isn't free... the only solution to this without any form of payment would be if the government payed for them, but that introduces a whole other mess of government having to moderate people's speech...
Show threadClockwork ☃️✒️Feb 28, 2023

@zegolem @atomicpoet

I agree with you that maintaining those spaces has a cost that must be borne by someone, but rent is a different thing. When paying rent,a minimal part of that sum goes into maintenance or upgrades, which is instead the case with supportive donations.

I guess I just hate the normalization of rental practices 😅

Show threadzeGolemFeb 28, 2023
@clockwooork @atomicpoet yeah, i see your point! i think discord's way of doing it is fine in that way, because you don't *have* to pay, you only do if you care enough about the service to have those extra features
also keeps the company on their toes, if they upset their userbase, they can directly cut funding away from them :)
Show threadThomas H Jones IIFeb 28, 2023
@atomicpoet Except that "big social" is going to continue to sell all the info of the paid subscribers. Yeah, you won't see it in on-site ads, but you'll continue to see it at every external site that integrates with the advertising platforms.
Show threadClockwork ☃️✒️Feb 28, 2023

@atomicpoet

Casually right after the EU has been toghtening their policies on data protection!