StartupTalky

Tag: revenue

  • How much do these Top 10 Companies make Every minute in the World

    The revenue earned by a company is the major source through which the worth of the company is decided. You would be surprised to know some of the top companies’ revenue earned per minute. Here are the list of the top companies and the revenue they earn every minute.

    Amazon
    Apple
    Alphabet
    Microsoft
    Facebook
    Tesla
    Netflix
    Walmart
    Sony
    Toyota Motor Corp
    FAQ

    Amazon

    Amazon.com Inc is an American based multinational technology company. It was founded in the year 1994. The company is located in Washington. It focuses on e-commerce, cloud computing, artificial intelligence and digital streaming. It is one of the big five companies in the U.S IT industry.

    The company earned a revenue of USD 386.064 billion in the year 2020 and a revenue of USD 955,917 per minute.

    Apple

    Apple Inc is an American based Multinational technology company. It was founded in the year 1976. The company is located in California. The company focuses on designing, developing and selling consumer electronics, online services and computer software. It is also one of the big five companies in the U.S IT industry.

    The company earned a revenue of USD 274.515 billion in the year 2020 and a revenue of USD 848,090 per minute.

    Can Epic Games win the Legal Battle Against Apple
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    Alphabet

    Alphabet Inc is an American multinational conglomerate. It was founded in the year 2015. Alphabet is the parent company of Google. The company has its headquarters in California. Alphabet is considered to be one of the world’s most valuable companies and the fourth largest technology company in the world. Alphabet’s Google is one of the big five companies in the U.S IT industry.

    The company earned a revenue of USD 182.53 billion in the year 2020 and a revenue of USD 433,014 per minute.

    Microsoft

    Microsoft is an American multinational technology company. It was founded in the year 1975. The company is located in Washington. The company focuses on developing, providing licenses, support, manufacturing and selling of computer software, personal computers, consumer electronics and related services. The company is also one of the big five companies in the U.S IT industry.

    The company earned a revenue of USD 143 billion in the year 2020 and a revenue of USD 327,823 per minute.

    Microsoft Vs. Apple Business Model
    Microsoft and Apple are the two largest companies in the world. The business model of Apple is based on customer-centric devices and innovation. Microsoft’s business spanned across Windows, Office products, Gaming (Xbox), Hardware, Web search engine (Bing), Cloud, LinkedIn, etc.
    StartupTalkyATHUL C K

    Facebook

    Facebook is an American based multinational company. It is social media and social networking service. The company was launched in the year 2004. It is located in California. Facebook was the most downloaded app during the 2010s.

    The company earns a revenue of USD 85,965 million and a revenue of USD 213,628 per minute.

    Tesla

    Tesla Inc. is an American based Electric Vehicle and Clean energy company. It was founded in the year 2003. The company is located in California. The company has a wide range of products which include electric cars, solar panels, solar roof tiles, battery energy storage from home to grid scale and various other products and services.

    The company earned a revenue of USD 31.536 billion in the year 2020 and a revenue of USD 81,766 per minute.

    Most valuable brands worldwide in 2021
    Most valuable brands worldwide in 2021

    Reasons Why Tesla Chose Bangalore for its Manufacturing unit
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    Netflix

    Netflix is an American based company. It is an over-the-top platform and a production company. Netflix was founded in the year 1997. The company has its headquarters in California. Netflix is a member of the Motion picture Association (MPA). It is involved in producing and distributing contents across the globe.

    The company earned a revenue of USD 25 billion in the year 2020 and a revenue USD 50,566 per minute.

    Walmart

    Walmart is an American based multination retail corporation. The company was founded in the year 1962. It has its headquarters in Arkansas, U.S. The company operates a chain of discount department stores, hypermarkets, grocery stores, etc. Walmart is the world’s largest company by revenue.

    The company earns a revenue of USD 559.2 billion in the year 2021 and a revenue of USD 1,063,546 per minute.

    Sony

    Sony group is a Japanese based multinational conglomerate corporation. It was founded in the year 1946. The company has its headquarters in Tokyo. Sony is one of the world’s largest manufacturers of professional and consumer electronic products, the largest company for video game console, the second largest record company, the second largest video game publishing company, as well as one of the most comprehensive media companies.

    Sony earned a revenue of USD 80 billion in the year 2020 and earns a revenue of USD 152,207 per minute.

    The Indian Automobile Industry Analysis 101 :Everything you need to know
    The Indian automobile industry is the world’s fourth-biggest, auto mobileindustry after the USA. It is presently the world’s fourth-biggest producer ofvehicles and 7th biggest producer of industrial automobiles .The size of theIndian automobile industry includes aspect manufacturing which is anti…
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    Toyota Motor Corp

    Toyota Motor Corp is a Japanese based multination automotive company. It was founded in the year 1937. The company has its headquarters in Aichi, Japan. Toyota is considered to be the tenth largest company in the world in terms of Revenue generated.

    It is also the largest automotive manufacturer in the world. Toyota was the world’s first automotive company to manufacture more than 10 million vehicles in a year.

    Toyota Motor Corp earned a revenue of USD 275.4 billion in the year 2020 and earns a revenue of USD 489,726 per minute.

    FAQ

    What company makes the most money per minute?

    Amazon is an American conglomerate which makes USD 955,917 per minute.

    What the most profitable companies make per second?

    Big pharma companies like Johnson & Johnson and Gilead Sciences make more than $400 per second.

    How much does Jeff Bezos make a minute 2020?

    Jeff Bezos makes about $321 million a day, $13.4 million an hour, $222,884 a minute, and $3,715 a second in 2020.

    Conclusion

    The above are some of the top companies in the world and the revenue they generate every minute.

  • How to Create an Effective Revenue Model for Startups

    Revenue model is how a business makes money. It is important for the company’s long term projections. It provides Current and future potentials to earn profit. Building a great revenue model convinces investors that you are worth investing in. Designing an effective and profitable revenue model for startup is difficult but is significant.

    What is a Revenue Model ?
    How to Create an Effective Revenue Model for Startups?
    Top 10 Most Effective Revenue Model For Startups
    FAQ

    What is a Revenue Model ?

    The Revenue model is a strategy for managing company revenue. It will determine the types and sources of revenue that your business will generate. It projects how a product and service will generate revenue.

    How to Create an Effective Revenue Model for Startups?

    Choose a Revenue Model that is suitable for your startup and your Market

    Research the market you are entering extensively. Study your customers, address subscription options to them. Analyze how your product will fulfill the customers. On the other hand, if you are looking to sell your product to larger companies licensing is the fittest option for high returns.

    Revenue is a key component of the business model. Also While identifying your market, analyze your competitors as well.

    Create a Revenue model that expresses the value of your startup

    Your revenue model should communicate your value. How different your products and services are from the competition. A prominent selling point is to stand out your product that people will sign up for.

    Build a Revenue that helps you find the top investors for your startup

    Build a great revenue model that convinces investors that you are worth investing in. Focus on investors that will be in for the long haul. The investors should get a complete idea of your business values by just looking at your revenue model. Investors also focus on how profitable your revenue model is.

    Determine your revenue model

    An important point to figure out is how you’re going to charge your customers. There are two comprehensive types to charge your customers.

    Transactional: You can Charge customers on a per transaction basis. Once the customer purchases the product from you they don’t need to pay again. Examples: Tesla, Apple (hardware), Starbucks

    Recurring: You can charge your customers a monthly or annual subscription fee for the ongoing service. Examples: Netflix, Blue Apron

    Determine your customer acquisition model

    There are many customer Acquisition models but we will shortlist three important customer acquisition model

    • Direct: Does Your company has direct contact with the customers of your product. This typically means contracting salespeople who engage directly with and sell the product to customers. This tends to work best for products that demand a high price. Examples: Tesla, Palantir, Boeing.
    • Indirect: If your company does not has direct contact with the customers of your end product. Indirect customer acquisition includes retail sales, channel partnerships, independent dealerships, consultants, etc. Examples: Mattel, Ford, Oracle, Coca-Cola.
    • Inbound: Customers have no or little contact with your company. This typically entails driving traffic to a website or app with  sign-up and payment interfaces. This works best for low price products or services that customers understand easily. Examples: Netflix, Amazon Prime, Spotify.

    Top 10 Most Effective Revenue Model For Startups

    1. Ad-Based Revenue Model

    Ad based revenue models require creating ads for product, service, or app and placing them on high traffic channels. Google’s Adsense is one of the most practical and common tool to get ads for your website. For most websites, AdSense will make about $5-10 per 1,000 page views.

    Revenue model
    Google Adsense 

    Top Websites For Earning Money Online
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    2. Affiliate Revenue Model

    Affiliate revenue is an affiliate web-based revenue model in which you signup with a company to promote their products via links. You receive a small commission for the sales of the product or if someone executes the desired action.

    Affiliate revenue model
    Affiliate Revenue Model

    3. Subscription Revenue Model

    The subscription revenue model is a model where the company earns revenue by charging customers a recurring fee at regular intervals. A quite common and popular example of the subscription Revenue Model is a popular streaming platform Netflix.

    Subscription Revenue Model
    Subscription Revenue Model

    4. Arbitrage Revenue Model

    An arbitrage revenue model is a model that is followed by traders since ancient times. This is a quite simple revenue model. In the arbitrage revenue model, a product is purchased from a market or a region to be sold at high profit in a different market.

    5. Direct Sales Revenue Model

    In the Direct Sales Revenue Model, The business or brand directly interacts with the customers for selling their products. There are two types of Direct Sales

    Inside sales – When the customer calls to place the order for the product.

    Outside sales – When the brands sell their product using face to face sales transaction.

    6. Licensed Revenue Model

    The licensed revenue model is quite a profitable revenue model that is commonly used by music industries for licensing their songs. The brands or companies earn revenue by licensing their products. It is quite common in media industry and for patents, copyrights, trademarks.

    Examples of Best Brand Licenses

    • Angry Birds & Star Wars.
    • Microsoft & Fuji Xerox.
    • Microsoft & Canon.
    • Victoria Secret & NFL.
    • Lego & Star Wars.
    • Lego & Warner Bros.
    • Monopoly & McDonald

    7. Data Sales

    Data sales can be explained by a simple phrase “If you can’t see how the money’s made, you’re the product”. The data sale revenue model is a complicated revenue model and is hard to maintain. In this revenue model, the data is sold to the business or consumers.

    Specific companies use data sales as their primary revenue model while some use it to augment another revenue model. Data should be handled with care an proper public concern if you decide to go with it as your revenue model.

    8. Retail Sales Revenue Model

    In the Retail sales revenue model, you have to set up a traditional department store or retail store in which you offer physical goods to your customers. A retail business generates revenue from sales of the product with the help of its retail stores.

    Top Profitable Retail Business Ideas in India (Categorized by investments)
    Retail industry in India has emerged as fast paced industries due to many newretailers. Retail business in India accounts for 10% of GDP and 8% ofemployment. India is one of the top 5 retail markets in the world by economicvalue. It is one of the fastest growing retail market in the world. On a …
    StartupTalkyArbaaz sayed

    9. Channel Sales(or Indirect Sales)

    Channel sales are the most complex pursuance in the world of sales and marketing. In simple words, brands or companies rely on a third party to sell their goods.

    Revenue model
    Indirect Sales Revenue Model

    10. Freemium Model

    Fremmium Revenue model is a model in which the consumers are offered service for free of cost but additional cost is charged for premium features. Many companies use this type of revenue model for example Skype, Zoom, Spotify and many more.

    Freemium model
    Spotify Freemium Model

    FAQ

    What does a revenue model include?

    A revenue model includes the offerings of value, the revenue generation techniques, the revenue sources, and the target consumer of the product offered.

    What are examples of revenue streams?

    Subscription fees, Renting, leasing, Licensing content to third parties, Brokerage fees, and Advertising fees.

    What is the best revenue model?

    Subscription-Based Business Revenue Model is one of the best types of revenue models for startups.

    Conclusion

    Build a revenue model for startup that is equipped for the future. Research the market you enter effectively. Creating a revenue model might seem challenging but not having one is not an option. The revenue model for startup is crucial to driving the success of your company.

  • Apple Delivers Record-Breaking $111 Billion Revenue in Quarterly Sales

    Apple finished 2020 with a bang as it posted another massive quarter, pulling in $111.4 billion in revenue. Its revenue rose over 21% as it logged its most profitable quarter ever despite numerous restrictions created by the pandemic.

    It’s the first time Apple crossed the symbolic $100 billion mark in a single quarter. The company reported $15.7 billion in services and $95billion in sales from products. To put things in perspective, Apple in the same quarter of 2019, posted revenue of $91.8 billion.

    The holiday quarter is always essential for tech giants like Apple and accounts for about 30 percent of its annual product sales. The stakes were even higher this time, as the COVID- 19 outbreak delayed the production of the iPhone 12.

    The pandemic even forced Apple to delay the launch date of its new product to October instead of its traditional September release. This meant that different models of the new iPhone didn’t start shipping to customers until November, cutting down the number of weeks Apple usually has to capture sales ahead of Christmas.

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    However, the revenue number posted by Apple beat analysts’ expectations of $103.2 billion. Many analysts had expected Apple to do well thanks to the holiday season and the debut of the iPhone 12 in October. The latest model featured a new look with 5G capabilities as well as different models of various sizes and prices.

    Tim Cook noted that the results would’ve been better if not for the pandemic. The outbreak had forced Apple to close down many of its stores around the world.

    Apple makes record gains as iPhone and iPad sales surge
    Apple makes record gains as iPhone and iPad sales surge

    He also pointed out the strong growth across all Apple products – not just iPhone sales to be the reason for such massive earnings. As the pandemic increased demands for home computing services and products, Apple boasted double-digit gains in all of its product categories.

    To breakdown earnings across product categories, booming iPhone sales were responsible for $65.59 billion in revenue while Mac and iPad sales delivered $8.68 billion and $8.48 billion, respectively. Its burgeoning services division like Apple+ TV and Apple music jumped 24% to $15.8 billion.

    “This quarter for Apple wouldn’t have been possible without the tireless and innovative work of every Apple team member worldwide,” Cook said in a statement.  “We are also focused on how we can help the communities we’re a part of build back strongly and equitably, through efforts like our Racial Equity and Justice Initiative as well as our multi-year commitment to invest $350 billion throughout the United States.”

    What is App tracking Transparency and Why Facebook is objecting to it?
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    Apple’s revenue increased across all geographic areas, especially in China where its year-over-year revenue jumped by more than 56%.

    To make up for the pandemic Wedbush securities analyst Dan Ives says that the new iPhone will launch a sales “super cycle”, in which consumers who have older iPhones will be able to upgrade their phones and get access to 5G connectivity with iPhone 12.

    Apple also introduced another hardware product in 2020, the AirPods Max which received mostly positive reviews.

    Even though there were fears of Apple’s bottom line taking an enormous hit due to the COVID lockdown, its financial performance over the last nine months has shown that Apple’s business can even withstand a global pandemic.

    Analysis About Global Mobile Manufacturing Market
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  • The Subsidiaries That Make Reliance Industries Successful

    Reliance Industries Limited is an Indian multinational conglomerate company that is headquartered in Mumbai, India. Reliance owns businesses across India engaged in energy, petrochemicals, textiles, natural resources, retail, and telecommunications. Reliance is one of the most profitable and the largest publicly traded companies in India. The subsidiaries of Reliance Industries is what makes it successful.

    It is also known to be the largest company in India as measured by revenue after recently surpassing the government-controlled Indian Oil Corporation. In the year 2020 Reliance Industries became the first Indian company to exceed US$150 billion in the market capitalization after its market capitalization hit  ₹11,43,667 crore on the BSE. It is ranked as 8thamong the top 250 Global Energy Companies by Platts as of 2016.

    Reliance Company Highlights

    Company Name Reliance Industries
    Headquaters Mumbai, Maharashtra, India
    Founded On 1973
    Founded by Dhirubhai Ambani
    Chairman Mukesh Ambani
    Annual Revenue ₹6,59,205 crore
    Products & Services Petroleum, Natural gas, Petrochemicals,Textiles,Retail, Telecommunications, Media, Television, Entertainment, Music, Banking, Software

    The company is ranked 96th on the Fortune Global 500 list of the world’s biggest corporations as of 2020. Reliance continues to be India’s largest exporter as it accounts for 8% of India’s total merchandise exports with a value of ₹1,47,755 crore and access to markets in 108 countries. 5% of the government of India’s total revenue comes from Reliance’s customs and exercise duty. It is also the highest income tax payer in the private sector in India.

    Know all the about the following topics:

    Reliance Shareholders
    Various Operations of Reliance
    Major Subsidiaries of Reliance Industries:

    Reliance Subsidiaries – FAQs

    Reliance Shareholders

    The number of share of Reliance Industries are approximately 310 crores (3.1 billion) and plays a major role in the Reliance industries. The Ambani family only holds 46.32% of the total shares whereas the remaining 53.68% shares are held by public shareholders including FII and corporate bodies. The life Insurance Corporations of India is the largest non-promoter investor in the company with 7.98% shareholding.

    Various Operations of Reliance

    The companies petrochemical, refining, oil, and gas-related operations form the core of its business other divisions of the company include cloth, retail business, telecommunication, and special economic zone development. In July 2012 Reliance Industries informed that it was going to invest US$1 billion over the next few years in its new aerospace division which will design, develop, manufacture, equipment, and components including aircraft, engine, radars, avionic, and accessories for military and civilian aircraft, helicopters, and aerostats, etc.

    Major Subsidiaries of Reliance Industries:

    Reliance Group has 158 +  subsidiary companies and 7 associate companies. Here are some of the most popular Reliance Industries Subsidiaries:

    Jio Platforms Limited

    reliance subsidiaries list
    Facts on Jio | Reliance Subsidiaries List

    Jio is essentially a technology company that is a majority-owned subsidiary of reliance industries. It is one of the top reliance subsidiary companies lists. It was announced in October 2019 and has all digital initiatives and the telecommunication assets being housed under it. This new subsidiary holds all the digital business assets including Reliance Jio Infocomm Ltd.

    Jio Infocomm in turn holds the Jio connectivity business which includes Mobile, broadband and enterprise, and also the other digital assets. Jio apps are the tech backbone and investment in other tech entities like Haptic, Hathaway, and Den networks among others. In April 2020, reliance announced a strategic investment of ₹43,574 crores by Facebook into the Jio Platform.

    This investment translated into a 9.99% equity stake, on a fully diluted basis. Further in May 2020, reliance sold roughly 1.15% stake in Jio Platforms for ₹5,656 crores to the American private equity investor, Silver lake partner. Intel became the 12th company to invest in reliance Jio platform after it invested ₹1,894.50 crores. In July 2020 google announced that it will acquire a 7.7% stake in the Jio platform for ₹33,737 crores.

    Reliance Industries Limited Success Story [Case Study]
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    Reliance Retail

    Reliance Group Subsidiaries
    Retail Brands | Reliance Group Subsidiaries

    Reliance Retail is the retail business wing of Reliance Industries. In March 2013, it had 1466 stores in India. It is the largest retailer in India as it includes many brands like Reliance Fresh, Reliance Footprint, Reliance Time Out, Reliance Wellness, Reliance Trends, Reliance Autozone, Reliance Mart, Reliance iStore.

    Reliance Home kitchen, Reliance Home Kitchens, Reliance Market (cash n carry), and Reliance Jewels all come under the banner of Reliance Retail brand. Its annual income revenue for the financial year of 2019 was ₹1.62 billion.

    Reliance Life Science

    This company works around medical, plant, and industrial biotechnology opportunities. It specializes in the manufacturing, branding, and marketing of Reliance Industries products in Biopharmaceuticals, clinical research services, regenerative medicine, molecular medicine, novel therapeutics, biofuels, plant biotechnology, and industrial biotechnology sectors of the medical business industry. Reliance Institute of life science (RILS) was established by Dhirubhai Ambani Foundation as it is an institution offering higher education in various fields of life science and related technologies.

    Reliance Logistics

    It is a single-window company selling transportation, distribution, warehousing, logistics, and supply chain-related products. Reliance Logistics is an asset-based company with its own fleet and infrastructure. It provides logistics services to Reliance group subsidiaries and outsiders. Merged content from Reliance Logistics to here.

    List of Companies Acquired by Reliance Brands & Jio
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    Reliance Clinical Research Services (RCRS)

    It is a contract research organization (CRO) and a wholly-owned subsidiary of Reliance Life Science, specializes in the clinical research services industry. Its clients are primarily pharmaceutical, biotechnology, and medical device companies.

    Reliance Solar

    The solar energy subsidiary of Reliance was established to produce and retail solar energy systems primarily to remote and rural areas. It offers a range of products based on solar energy, solar lantern, home lighting systems, street lighting systems, water purification systems, refrigeration systems, and solar air conditioners.

    Network 18

    Reliance Subsidiary Companies
    Reliance Subsidiary Companies

    In the mass media company, it has interests in television, digital platforms, publication, mobile apps, and films. It also operates two joint ventures namely Viacom 18 and History TV18 with Viacom and A+E Network respectively. It also has acquired ETV Network and since renamed its channels under the Colors TV brand.

    Relicord

    This is a subsidiary for cord blood banking service which is owned by Reliance Life science. It was established in 2002 and has been inspected and accredited by AABB and also has been accorded a license by the Food and Drug Administration (FDA) Government of India.

    Reliance Jio Infocomm Limited

    Previously known as Infotel Broadband, is a broadband service provider which gained 4G licenses for operating across India.

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    Reliance Industrial Infrastructure Limited

    It is an associate company of Reliance Industries. It holds 45.43% of the total shares of Reliance Industries. It mainly engages in the business of setting up and operating industrial infrastructure. The company is also engaged in related activities involving leasing and providing services connected with computer software and data processing.

    The company set up a 200-millimeter diameter twin pipeline system that connects the Bharat petroleum refinery at Mahul, Maharashtra. The infrastructure company constructed a 71,000-kilolitre petrochemical product storage and distribution terminal at the Jawaharlal Nehru Port Trust (JNPT) Area in Maharashtra.

    Reliance Eros Productions LLP

    Has a joint venture with Eros International to produce film content in India.

    LYF

    It is a well-known 4G enabled Volte device brand from Reliance Retail. It is one of a Jio reliance subsidiaries, the consumer electronics arm of Reliance Industries Limited.

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    Reliance Subsidiaries – FAQs

    How many subsidiaries does Reliance have or how many subsidiaries of reliance?

    Reliance Group has six listed companies.

    Is Jio a subsidiary of Reliance?

    Jio Platforms Ltd is an Indian technology company and a subsidiary of Reliance Industries Limited. Established in 2019, the company owns India’s largest mobile network operator Jio and other digital businesses of Reliance.

    What companies does reliance own?

    Reliance Subsidiaries or subsidiary companies of reliance:  

    • Reliance Communications Limited.
    • Reliance Infrastructure Limited.
    • Reliance Entertainment.
    • Reliance Power.
    • Kokilaben Dhirubhai Ambani Hospital.

    Is reliance a multinational company?

    Reliance Industries Limited (RIL) is an Indian multinational conglomerate company headquartered in Mumbai, Maharashtra, India. Reliance owns businesses across India engaged in energy, petrochemicals, textiles, natural resources, retail, and telecommunications.

    How many branches of reliance company?

    Reliance Retail is the retail business wing of Reliance Industries. In March 2013, it had 1466 stores in India. It is the largest retailer in India.

  • Why Influencers Are An Integral Part Of Instagram: A Case Study

    Before Instagram Influencers became an essential part of Instagram, it was one of the most recent social media platform as it was established in 2010 and is a multi-channel platform that is available on both a mobile application and a desktop site. The website was created by Mike Krieger and Kevin Systrom and launched on the 6th of October 2010, however in April Facebook brought Instagram for $1 Billion.

    The photo sharing app allows its users to have their individual profile which is a user can make public or private based on their preference. The instagram users are able to post their photographers and videos on their profile, follow other users and gain followers in return. When Instagram was first launched it became sensation and garnered a million user within the first two months.

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    Instagram Influencers

    Now the platform has over 800 million active user on the platform from which 30 million brands and advertisers on the platform and around 500,000 active Influencers and 60% moving toward becoming an influencer. Most social media Influencers make a huge sum of money thorough this platform.

    Some of the top Earning from single post by Kim Kardashian who has grown into a millionaire and created an empire through Instagram. Influencer marketing allows brands to reach their target audience in a way that feels far more genuine than traditional advertising Instagram influencer have a strong and loyal relationship with their followers as they share many aspects of their lives with them.

    social media apps that people predominantly choose for influencer media campaign
    social media apps that people predominantly choose for influencer media campaign 

    Influencer’s posts have made users decisions much simpler by providing information of new product information, helping them researcher the product and finally buy them as well. Most people on Instagram spend at least 60% or more of their time trying to engage in content created by brands and influencers.

    A survey stats that after seeing these products on Instagram at least 79% of the people searched for these products online, 65% looked up the app or the website and 46% brought the product. These statistics makes the influencers a vital part of instagram revenue. Below here are the different ways the Influencers benefit from instagram

    Followers and Following of Instagram Influencers

    The distribution of the number of followers is incredibly skewed, so it’s very difficult to visualize it in a readable manner. This is because the great majority of profiles have a low number of followers (less than 1000) whereas there are profiles with hundreds of millions of followers. Profiles with a high number of followers are very rare as only 10 profiles have more than 100 million followers and 420 of them that have between the range of 10 and 100 million.

    There are 4.5 million profiles with less than 100 followers as, on average instagram accounts have 296 more followers than following, but for verified profiles this ratio is 17,910. Another important distinction is between micro and macro influencers. Micro influencers have lesser than 100,000 followers, while major influencers have more than 100,000 followers.

    The average followers to following ratio for micro influencers is 37,000 whereas for major influencers it is 18,104. This tells us that if a brand is trying to run a campaign across niche markets they should go for micro influencers while if the campaign needs major influencers you should search for profiles with a ratio greater than 20,000 which accounts to 8% of the total number of major influencers.

    Target Audience

    Finding or identifying the right set of users is an important step for most influencers as even the brands expect the influencers to find a niche audiences to identify the right set of users. It is important to narrow down the user base as much as possible because once you narrow down, find the users that would appreciate product. Once the target audience is found then they try to reach them through multiple modes.

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    Engagement with target audience

    This is an important metric as it can reasonably summarize an Instagram profile and its engagement rate. For each unit of content published by the profile as the ratio between the sum of the number or likes and replies and the number of followers of the profile. This helps in identifying the quality of a profile.

    A chart must be creates as it is useful to get an idea of which values of the engagement rate are average or better in order to make changes next time. There are considerable differences between micro and major influencers. For the former group, 11% is the average engagement rate, while for major influencers values are of course lower and the average is 3%.

    Problems faced by Influencers and the brands

    While everything will be working out in number there are still seem to be multiple problems that brands and influencers are facing. Some of these issues include is not having a platform for payment and tracking the campaign which is happening through other companies like ifluenz, scrunch, etc.

    The biggest challenges for managing influencer campaign
    The biggest challenges for managing influencer campaign

    This is one of the gaps that can be filled to make things a little simple for Business users. Other problem are on managing contracts as if they are too many accepted by the influences it is difficult to fulfill them all at once. Which is why the Influencers also face problems to time manage their contracts.

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    Images or Videos

    There is a noticeable difference in engagement between image posts and video posts, and the contrast is even more pronounced for major influencers. The post have a higher engagement than video posts. on average for a micro influencer image posts have 1.5 times more engagement than video posts, while for major influencers this multiple increases to more than 2 times.

    On Instagram, the number of likes is much higher than the number of replies. On average the profile of a major influencer will have 237 times more likes than compared to replies, while for micro influencers the multiple is lower at 42 times. Replies are usually considered stronger engagement than simple likes so this should be considered before deciding which influencer the brands should patner up with for sponsored campaigns.

    Some of the influencer marketing facts
    Some of the influencer marketing facts

    Locations and languages

    The geographical location of a profile is estimated by taking into account a variety of factors like the biography of the profile the posts and the location tags on each post. The countries with the highest number of instagram profile are USA, Canada, Australia, UK, and Indonesia. Followed by Russia, India, The principal European countries and South American countries like Argentina, Venezuela and Colombia.

    Location data can also be used to infer the language spoken be Instagram users. Languages like English and Spanish are the most common by a wide margin. French is in third place to Canada and all the African where it is the official language followed by Portuguese, Arabic, Russian and Indonesian and Hindi which are in the top ten.

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    Hashtags

    Hashtags are important part of an instagram post especially for an influencer because it is a way to connect social media content to a specific topic, event, theme or conversation. They also make it easier to discover posts around those specific topics because hashtags aggregate all social media content with the same hashtag.

    The most frequent ones in our database are also the most frequent ones on Instagram: #love, #instagood, #photography, #summer and #repost are the first five. In this analysis we focus our attention to the tags that signal sponsored or promoted content. With hashtags one can observe which topics are most frequent with the most common promotional hashtags.

    The blue circles represent the most frequent hashtags used in combination with the one that indicate sponsored content, but there is not enough space to label them all, so we just summarized the most common topics. The #ad hashtag is used in pretty much all contexts, and the same is true, to a lesser degree, for the #collaboration hashtag.

    In the beauty and cosmetics sector we see a predominance of the #collab and #collaboration hashtags. The #ambassador hashtag seems to be used almost exclusively for fitness, sports and summertime topics. The #partner hashtag appears for the most part in posts related to photography, nature and fitness again.

    Posting Frequency

    The great majority of the profiles post a few times a week on average. One may wonder if major influencers post more than regular profiles. That is indeed the case the biggest influencers post 4.2 times per week on average, while smaller profiles have an average of 3.2 posts per week.

    As to why a higher posting frequency correlates with a lower engagement rate there could be several factors at play, like more posting corresponds to lower quality overall; too much posting is penalized by Instagram’s feed algorithms.

  • Yelp Business Model: How Does It Make Money

    Every small startup requires has needed an opportunity that benefits them in the long term. Every startup needs to utilize any resources that they have in order to get more exposure and attract more customers to their businesses online. Similarly, Yelp is known to be a brand of its own and was created to enable people to access more businesses online. Yelp has been recognized as a verified and accountable entity in which people can place their trust and access good local businesses.

    Company Name Yelp
    Headquaters San Francisco, California, USA
    Founded On 2004
    CEO Jeremy Stoppelman
    Employees 6030 (as of 2018)
    Annual Revenue $942 Million (as of 2018)
    Products & Services Yelp Deals, Home Services, Beauty & Spa services, Food, Health and Medical

    Yelp users can not only search and review businesses but can also create a profile or become friends other users, chat on different online forums and can go for meet ups offline.  According to a report by the wall street journal, Yelp has set a price for their IPO which will sell at 7.15 million shares at a price of $12 to $14. That would value the company at $838.6 million at the high end of that range. The company has known grown because of getting users to write reviews of businesses, engaging them through social networking features and through search engine traffic.

    The logo of Yelp.
    The logo of Yelp

    Yelp is now known to have 66 million different monthly visitors and more than 5.7 million mobile devices and has collected a total of 25 million reviews since it came out in 2004. As of Dec 31, 2018, Yelp has a total of 177.4 million reviews of local businesses.It also generates almost all of its revenue from advertisements like for example in the year of 2011, 91.4% of its revenue came from advertising.

    Not only that, it generates its revenue from two different kinds off advertising. First is the local advertising from businesses that want to be featured on yelp which is 76.8% of total revenue and the second one being Brand advertising that displays ads on yelp.com in order to get more traffic from search engine.

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    Yelp Business Model

    Yelp has an average of 28 million mobile application visitors, 74 million unique mobile web visitors and 83 million unique desktop visitors. The yelp business model is something you should definitely be aware of because it is online business directory which lists and makes local businesses visible to users it also differentiates itself with the crowd sourced reviews of those businesses on its platform. Furthermore the company has expanded its business model by adding reservation services and food delivery and take out services. The business model includes factors like:

    Customers prefer to use yelp to find local businesses
    Customers prefer to use yelp to find local businesses 

    Customers of Yelp

    Yelp has 3 customer segments or target audience which include Local business, user and content creators/contributors:

    • Local businesses are segmented on the basis of Location, Type of service, Restaurant Cuisine, Price point, hours of operations, food delivery and takeout.
    • Users are divided into demographics, location, interests and spending profile.
    • Content contributors include the community of active reviewers that are constantly engaged in fun social exchanges.
    The different ways Yelp helps a customers along with the local businesses
    The different ways Yelp helps a customers along with the local businesses

    Value preposition of Yelp

    • Local businesses – when it comes to local business yelp is a trusted platform because it gives them the opportunity to engage with a large audience and increases their visibility while also sourcing their target audience. It gives the businesses an opportunity to increase their revenue, provide them business data and take care of reservation and wait list management.
    • Users – the platform helps uses by giving them an opportunity to browse local businesses, discover new places, save time and money, see pictures and videos, compare prices, read reviews and make better choices.
    • For the content creators – Yelp invests a lot in engaging and fun content which makes it easier for the users and businesses to interact with each other but when it comes to content creators it company offers them recognition in yelp elite and they can also get invited to special events and more.

    Customer service done by Yelp

    The high quality customer service is also one of the reasons why Yep business model is so successful as it offers services like:

    • Self-service platform, which makes it possible for its users to serve themselves anytime easily and effectively.
    • Yelp is also transparent when it comes to reviews, rating, tips, photos and ensuring that it is always easily accessible to its customers online.
    • Build a brand reputation for your local businesses and also makes considerable efforts in managing their brand image.
    • Yelp allows its users to place food orders directly without leaving the platform.
    • Yelp allows businesses to interact with their customers in a friendly and approachable manner with features like Request A Quote, a direct response to reviews, Yelp reservation, etc.
    • Yelp is successful when it comes to establishing a flourishing community of users, content contributors and other local business that interact with each other.

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    How does Yelp make Money

    The company makes most of its money through service programs which can be both self-service and full service. The other money making strategy is invested in its advertising and profile enhancement services that benefit the businesses greatly. The categories are as follows:

    Yelp provides businesses with both paid and free advertising products. It also utilizes its website and mobile app to deliver targeted search advertising to a broader audience. In 2018, 97% of its revenue was generated because it was dependent on advertisement. All the advertising products sold by their partners and business listings are recognized as yelp advertising revenue. It offers services that come under the umbrella of advertising, which are:

    The breakdown of Yelp Reviews
    The breakdown of Yelp Reviews
    • Enhanced – The purpose of this product is in order to prevent other business ads from appearing on the business listing pages of enhanced profile business customers.
    • Branded Profile – This feature is a business’s purchase a branded profile program to ensure that they are provided with premium features to increase their business listings. This allows the businesses to choose their preferred method advertising  done by videos or images which are best suited to portray their portray their slideshow feature or simply updating their listing information.
    • Yelp verified license – In this feature the yelp business listing page offers a paid upgrade license which appears like a badge. It is specifically only for the licensed advertisers and their local or home services category.
    • Ad Re-sales – Yelp can also resell some of its advertising products to generate more revenue and is done through their partnership with certain agencies like DexYP. It has also launched its yelp ads certified partners programs in 2018 to allow its collaborative agencies so they can manage to sell ad campaigns at the behalf of their business clients.

    Transaction revenue

    Yelp has come with other tools and features such as ensuring transactions between their consumers and businesses which are facilitated appropriately. This features accounts to 1% of yelps total revenue. These include services like:

    Revenue Dec 2018 (in million) % of revenue
    Advertising $907.49 97%
    Transactions $13.69 1%
    Other Servives $21.59 2%
    Total Revenue $942.77 100%

    • Yelp Platform – Through partner integration, the company enables its consumers to proceed with their transactions on the yelp website or app. Consumer can order any products they want in the ranging from show tickets to flowers.
    • Grubhub Partnership – The Company generates substantial revenue from their yelp Eat24 business. They did this by placing their orders through yelp Eat24 in which restaurants own arrangements with respective business and are paid a commission percentage fee.  Yelp sold this platform in 2018 and now offer the user to select from a wide range of restaurants.
    • Yelp Deals – This product has now created a large revenue for yelp especially when it allows the business owners to promote its services and products on the platform but at discounted rates.
    • Gift Certificates – The business owners can now sell gift certificates at a full price to the consumers that have yelp gift certificate products. The cost of this service however ranges from $10 up to $500.

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    Full service Program

    Yelp Full service program provide all Yelp free tools and self-service program tools plus targeted Yelp ads, upgraded business page features and dedicated support. The business who buy full service program get:

    • All the free tools – all the tools of the free suite to showcase the business and connect with the yelp community.
    • Video Production and hosting – Yelp sends a videographer to produce a professional video for the yelp business page on which businesses buy full service program.
    • All the self service program tools – it includes online shopping, reservations, profile enhancements and the deals and gift certificate
    • Dedicated Support – businesses which buy full service program are entitled to dedicate support by yelp staff.

  • These Facts and Statistics will help you optimize LinkedIn better.

    LinkedIn is known as one of the most prominent social networking site for the professionals around the world. These facts and statistics based on LinkedIn will guide you to successfully use the site for your benefits. The users of this platform can create online resume, list out their current and previous job roles, and most importantly their skills and education. This site connects the LinkedIn members to the jobs available based on their criteria. The LinkedIn website also allows its users to be endorsed by other users for their individual skills.

    The members can also further join professional groups that are relevant to their interests. LinkedIn also allows business to create their companies profiles and put out their current vacancies. Giving the members an opportunity to apply for these positions directly through its interface. It also provides a platform for publishing with the thought of facilitating leadership in the business world.

    Company Name LinkedIn
    Headquaters Mountain View, CA
    Founded On May 5th, 2003
    CEO Jeff Weiner
    Employees 16,000

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    The Demographics of LinkedIn

    Demographics are further divided based on sex, age and geographical location

    The LinkedIn user distribution worldwide.
    The LinkedIn user distribution worldwide.

    Age:

    • 37% of the users are from the age group of 30 to 49 years old, 28% of them are 18 to 29 years old and 24% of them are 50 to 64 years old while 11% of them are above 65 years old and above.
    • While marketers can only reach 12% of people aged 18 years or older with the help of adverts on LinkedIn.
    • 37% of the American adults and 51% of US college graduate are on LinkedIn.
    • Out of the 2 billion millennial globally, 87 million millennial are on LinkedIn with 11 million in decision making positions.

    Sex:

    • 57% of the overall users are males and 43% of the overall users are female.
    • 29%of LinkedIn users are males and 24% of the users are females in an average session.
    • 43% the LinkedIn ads audience is female while 57% of their LinkedIn audience is male.

    Geographical location:

    • LinkedIn is spread out to more than 200 countries while representing 30 companies from all over the world by 2019.
    • 33% of the users come from urban areas while 30% are from suburban and 10% from the rural areas.
    • The countries with the greatest reach are: USA (167,000,000), India (64,000,000), China (50,000,000), Brazil (41,000,000) and UK (28,000,000).
    • More than 70% of LinkedIn users are from outside the USA.

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    User Statistics

    LinkedIn has an overall of 675 million users from all over the world, while 310 million of them are monthly active users. 38.6% of the LinkedIn traffic comes from the countries like US with 38.6% and India with 16.8%.

    Other facts based on the users of LinkedIn
    Other facts based on the users of LinkedIn
    • Out of those 4% of them engage on a daily basis. While most user only spend 17 minutes on LinkedIn per month.
    • According to the study done by Pew Research Center 2018 Social Media Use study, LinkedIn is popular among youth as 50% of the college graduates in the USA are LinkedIn users.
    • 44% of the LinkedIn users in the US take home more than $75,000 per year which about their national medium.
    • Although the US has most LinkedIn users at 167 million, 70% of the LinkedIn users come from outside the US.
    • Linked in has 2 new members every second, but their goal is to reach 3 billion users and also to be the hub for every job posting across the estimated 70 million companies worldwide.
    • LinkedIn profiles that have photos get 21 times more views and 36 times more messages.
    • LinkedIn users spend an average of 10 to 20 minutes on the site regularly; visiting 8 to 9 pages.
    • 122 million users have been invited to an interview through LinkedIn, with 35.5% million getting a job through someone with whom they are connected.

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    Financial Facts of LinkedIn

    In 2016, Microsoft acquired the company for $26.2 Billion after recognizing the value of LinkedIn. Since its acquisition, LinkedIn’s Financial have been consolidated with Microsoft’s. However, unlike other social media platform that rely on advertisements for revenue. LinkedIn services are something that users are willing to pay.

    • The annual revenue amounted to almost 6.8 billion U.S dollars.
    • In 2018, it contributed $5.3 billion in revenue. In 2019, revenue increased by 27%.
    • Linked generates more than $454.000 per employee.

    Most of LinkedIn Revenue is generated from three of its main major services

    Talent solutions:

    Before the acquisition of the company in 2016, 65% of third quarter revenue, totaling $960 million which came from recruitment services called Talent solutions. This service helped companies in hiring employees and learning and development (L&D) to the existing employees of the company.

    Marketing solutions:

    This solution provides a platform for the companies to advertise to LinkedIn users. In 2016, it accounted for 18% of the total revenue or $109 million from the combination of advertising to the online marketers and the sale of sponsored updates posted to a target audiences within the members of the LinkedIn feed.

    LinkedIn Premium:

    The four tiers of LinkedIn Premium
    The four tiers of LinkedIn Premium

    A total of LinkedIn users pay for LinkedIn Premium which now has four price tiers:

    • Premium Career – meant for those looking for job opportunities in any field. It includes in mail messages per month and in demand videos, as well as the ability to see who viewed your profile. The monthly subscription fee is $29.99/month and INR 1400 per month.
    • Premium Business – This service gives you additional information about business and unlimited people searches. The business owners, MSME and Startups prefer this as it’s pretty much a pocket friendly option for them. The monthly subscription fee is $59.99/month and INR 1900 per month.
    • Sales Navigator pro – This allows the user advanced search filters, access to different sales tools and the ability to make notes on the user profiles. It is mostly chosen by the companies who lookout for some good quality leads through LinkedIn products. The subscription fee is $79.99/month and INR 3900 per month.
    • Recruiter Lite – This service suggests them the top recruiters especially associated with the MNC’s go for this plan. The main purpose for them is to get a good amount of job application for the opportunities they have. The subscription fee is $119.95/month and INR 5000 per month.

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    LinkedIn Content Marketing Facts

    LinkedIn is the No. 1 B2B marketer because it distributes content at 94%. It makes up more than 50% of all social traffic to B2B websites and blogs. Only 3 million users share content on weekly basis, while 1 million users publish an article on LinkedIn.

    Content marketing done by LinkedIn
    Content marketing done by LinkedIn
    • 97% of B2B marketers utilizes it for their content marketing efforts.
    • The professional content posted gets 15x more content impressions than job postings with 57% consuming content on mobile.
    • 280 billion feed updates are viewers annually.
    • 92% of the B2B marketers includes LinkedIn in their digital marketing mix.
    • If the posts are split into 5, 7 or 9 headings perform the best on the site.
    • The articles titles between 40 to 49 characters perform the best on LinkedIn.
    • The articles perform better without video than compared to the ones that contain a video in them.
    • 45% of marketers have gained customers by using this platform, 65% of the B2B companies have LinkedIn paid ads services to acquire customers
    • 80% of the B2B leads come from LinkedIn then compared to 13% from Twitter and 7% from Facebook.
    • In LinkedIn the content that gets the most shared are the long form of content.
    • It is an effective platform for lead generator and customer acquisition. It is even 277% more effective than Facebook in generating leads.
    • Last but not the least LinkedIn is the most top rated paid social media platform with 76% of B2B content marketers using it.