In working to develop social media creation concepts for businesses I’m constantly on the lookout for media creation models and, in particular, the incentives these models provide for participation.
Marktd poster jeffsg pointed to this interesting model from 3 22 year old entrepreneurs who started a company called AmieStreet.
Their write-up in Business Week provides insight into their content and revenue producing model:
“Amie Street, an online music retail site for independent content, uses a unique rating system where all songs are available for free at first. Then, depending on how popular a song is within a market, it goes up in price.
The site tries to engage users by giving them a set number of recommendations and rewards them with a set amount of free music they can download when their recommendations do well. “We try to turn every user into a talent scout,” says Elliott Breece, co-founder. The Amie Street guys keep 30% of each sale, giving 70% back to the artists.”
So far they’ve sold 30,000 tracks to 6,000 users. I wonder if portions of YouTube could work under a similar model…
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