On 21st of October 2014, there was launched new social network tsu.co which gives 90% from advertising revenue back to the users who owns the economics behind their content & Network, so they can monetize it.
You can see video about tsu here:
And below you can read why this network will (very probably) succeed:
I know there is lot of doubts about this new social network. However, I would like to clarify some facts about social media and show you the numbers. I think this is the way people should look at tsu - see the numbers, see the facts. And then, they can make their own decission.
- Facebook revenue for the full year 2013 was $7.87 billion, an increase of 55% year-over-year. (http://investor.fb.com/releasedetail.cfm?ReleaseID=821954)
- more than 85% of the Facebook revenue comes from advertising (same source)
- there is approximately 1.339.742.000 Facebook users now (http://www.internetlivestats.com/watch/facebook-users/), which means every user is worth cca $5.87 per year for Facebook.
- Facebook can earn that amount of money thanks to its users who create all the content - Facebook monetize that content. And the more popular the content is, the more worth it is, too. Interesting thing is that Facebook owns all the content (not users) and that they re-sell it and use the information from users to target advertising.
For example - if you are browsing Make Up related content on Facebook, you will get Make Up related advertising on your Facebook's feed/stream. Facebook tracks all the data about you and your behavior. They give you advertising based on that.
This is the way how it works and I guess you know that.
Facebook keeps 100% from advertising revenue which is created thanks to your content. In contrast, for example YouTube has different business model - you own the content and if you are succesful with your videos, you recieve revenue share from advertising shown in your videos. Currently it is arround 55% of money for content creators and 45% for YouTube. This business model has proven to be right.
- Facebook signed first 1 million users in 10 months (http://www.businessinsider.com/one-million-users-startups-2012-1?op=1). Facebook was founded in 2004, in that year there was about 900.000.000 active internet users. (http://www.internetlivestats.com/internet-users/). Converted to the todays number of internet users, Facebook would reach 1 million users in 3 months = 90 days.
- Twitter signed 1 million users in 24 months, founded 2006, in todays numbers it would take 9.2 months = 276 days.
- Instagram signed 1 million users in 2.5 months, founded 2010, in todays numbers 1.68 Months = 50 days.
- tsu signed 1 million users in 5 weeks = 35 days. (http://www.zdnet.com/article/new-social-network-tsu-signs-one-million-users-in-just-five-weeks/). Public start of tsu was on 21st of October 2014. When I'm writing this post, there is another 17 days and they have already signed another 0.5+ million users. The growth is exponencial.
- Alexa global traffic rank is today 2.970 - this means tsu is the 2.970th most popular website in the World (http://www.alexa.com/siteinfo/tsu.co). Pretty impressive in just 2 months.
How does it work?
- tsu is full-fledged (fully featured) social network, usually described as a hybrid between Facebook and Twitter. You can do everything you do on Facebook or Twitter - post, like & share content. You can make friendships, people can follow you. You can also connect/link your Facebook and Twitter account, so everything you post on tsu will appear on other social media, too.
- tsu gives 90% from advertising income back to users. Read this post to understand tsu's algorithm.
- once you understand the algorithm, you will find out that 50% of your tsu income comes from your own content and 50% from your Family Tree.
- you can build your Family Tree by inviting people on tsu - tsu is invite only. It is free to join and everything is for free, tsu just gives the sign up process to the users and their invitations, so they can just maintain the platform and focus on payments.
What is the Family Tree and how does it work?
"Half of a user’s earned revenue comes from the growth and activity of their personal network. All users on tsū have their own Family Tree, which indicates the number of users they’ve brought to the platform and the overall network growth they’ve provided. When viewing the Family Tree, a user’s network is organized as such:
Friends - The tsū members that are your friends. (You may or may not have invited them to join tsū).
Children - All of the members you’ve directly invited to join tsū via your shortcode. (they automatically becomes your Followers)
New Children - The newest members you’ve invited to join tsū via your shortcode.
Network - The overall members that stem from your invitations to join tsū. This includes anyone that has joined directly via your member shortcode, as well as the users that have joined one or more ‘generations’ away from your member shortcode. Please note, members who join directly through your shortcode are qualified as your ‘Children’, and the members your ‘Children’ invite are called your ‘GrandChildren’ and so on.
Followers - The tsū members that Follow you. (You may or may not have invited them to join tsū)." (quote from tsu's FAQ)
What can be the benefits for you?
- if you have Followers on Twitter and friends on Facebook, you can definitely build your own network on tsu and you can monetize the same content you publish on Facebook for free now. You can do the same you already do on Facebook, you will just get paid for that. Connect your social accounts and that's all.
- we are in the beginning of tsu. The site is only 2 months old. The growth is huge and there is a big chance tsu will become next Facebook. Why not to try to build a network like this? (I suppose you can recruit 100 Children and they do the same, up to only 3rd level. And each of the person generates just net $1.)
The numbers can be much higher if you consider following:
- average Facebook user has arround 200 friends (http://www.pewresearch.org/fact-tank/2014/02/03/6-new-facts-about-facebook/)
- if your audience comes from developed countries, the value of user in advertising should be much more than $5.87 per year.
- there can be infinite number of levels in your tsu Family Tree.
However, if my calculations are completely wrong - let's suppose you can grow your network only to the 2nd level with only $0.50 price per user per year -> you will earn arround $572 per year, which is still much more than Facebook has ever paid you.
Please keep in mind, that you can earn those numbers once there is enough people in the network. However, we are now in the innovators stage of the picture below, which means there is huge upside potential for profit. The possible downside is zero because everything is for free. Just your time and effort can be the cost.
Tsu circulates over the world in waves. That is why it's sometimes called tsunami:
- The first wave of interest was the idea itself. Huge amount of people joined so quickly. That is the first wave.
- The second wave will come when people who joined tsu in the first wave will get paid from tsu. I guess there can be a bigger amount of people getting paid in 30-60 days from now. This wave will be much bigger because people will finally understand that tsu is not a scam. They will realize it really works. Imagine you will go out on a Friday's evening with cash and real paid check from tsu. I guess all of your friends will be interested once they see it.
- The third wave will come once those people in the second wave will get paid, too.
- etc, etc.
That is how I see it. If you have any comments, please join the discussion below.