The platform substantially increased Facebook functionality by adding posting and monitoring for Events and Groups, plus improved Pages and Profiles with photo uploading, geo-tools and search of all public updates within a HootSuite stream.
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A panel at Freemium Summit East in New York Monday, “When Free Isn’t Enough — Transitioning from Free to Freemium in the Consumer Space,” featured Ning vice president of business operations Anne Driscoll, SlideShare co-founder and chief technology officer Jonathan Boutelle, and HootSuite founder and CEO Ryan Holmes discussing their companies’ experiences in transitioning users from free services to paid models.
Driscoll started out by discussing the basic premise of Ning: Every group, business, and organization needs a Web site. Social has gone mainstream. Every Web site will be social. She added that Ning brings to the table creative freedom and control; seamless local integration; a robust, scalable open platform; turnkey monetization solutions; data and insights; and privacy control.
In detailing why Ning decided to transition from freemium to a paid model, Driscoll said that in April, Ning contained 325,000 networks, but the 15 percent that were paying some sort of premium represented 80 percent of its traffic. So the company reset its goal to build the very best product for its customers and align its resources to support profitability.
She went into detail on dealing with advertising, saying that it turned Ning into an über-publisher and adding, “When you run advertising, you have to do a variety of different things. You have to make sure your platform and everyone on your platform is safe. If abuse happens, you don’t get paid.”
Ning’s schedule: On April 15, it announced the end of free networks. On May 4, Ning announced new plans, as well as sponsorship plans for its educational users. On June 16, the company detailed its new revenue channels. On June 24, it revealed its partnership with Pearson, and ditto for WEGO July 19. Finally, on. July 20, it launched its Mini, Plus, and Pro plans.
Driscoll’s four takeaway points: It’s OK to ask for money if you offer a great service. You will never make everyone happy. You need huge volume or differentiated audiences to make ads work. Free didn’t enhance our product positioning
