Comments on: Why scale doesn’t come before revenue, or at least for most http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/ Enabling a Reliable, Consistent and Trusted Experience Fri, 12 Mar 2010 01:57:11 +0000 http://wordpress.org/?v=2.6.2 By: The Indian Online Advertising Enigma « Sukshma http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-272516 The Indian Online Advertising Enigma « Sukshma Sat, 05 Jan 2008 06:00:41 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-272516 [...] Why scale does not come before revenue? - Paul Walsh. [...] [...] Why scale does not come before revenue? - Paul Walsh. [...]

]]> By: Never mind what are Twitter costs, whats the cost of Twitter? at Roam4free http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-272097 Never mind what are Twitter costs, whats the cost of Twitter? at Roam4free Fri, 04 Jan 2008 22:56:17 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-272097 [...] we have seen lots of posts on the cost of running Twitter from such luminaries as Jason Calacanis, Paul Walsh, Marc Canter, Dave Winer , Fred Wilson and Allen Stern Myself and my business partner Florian [...] [...] we have seen lots of posts on the cost of running Twitter from such luminaries as Jason Calacanis, Paul Walsh, Marc Canter, Dave Winer , Fred Wilson and Allen Stern Myself and my business partner Florian [...]

]]> By: Paul Walsh http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270695 Paul Walsh Fri, 04 Jan 2008 00:06:45 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270695 Hi Mike, I remember when you first launched your Web site ;-) We should collaborate as we look to expand in the US quite aggressively. It's best to work with each other. We currently have a few partners of whom, I believe you know Customer Respect Survey? Partner list can be found at http://partner.segala.com/partners/ we're completely open and transparent in every respect. Hope we can work together for mutual benefit. Hi Mike, I remember when you first launched your Web site ;-)

We should collaborate as we look to expand in the US quite aggressively. It’s best to work with each other. We currently have a few partners of whom, I believe you know Customer Respect Survey?

Partner list can be found at http://partner.segala.com/partners/ we’re completely open and transparent in every respect. Hope we can work together for mutual benefit.

]]> By: Mike Paciello http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270661 Mike Paciello Thu, 03 Jan 2008 23:32:22 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270661 Paul - Interesting business historicity demonstrating accessibility as a value proposition. Our paths are quite similar in construct and connections. Thanks for sharing. Paul -

Interesting business historicity demonstrating accessibility as a value proposition. Our paths are quite similar in construct and connections. Thanks for sharing.

]]> By: Paul Walsh http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270404 Paul Walsh Thu, 03 Jan 2008 17:59:54 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270404 @Marcus - regarding your point about our personal investment being responsible for the survival of the business: 1) We didn't invest the money until year 3 - after we had generated a few million quid. 2) If we didn't have the money to invest, we might have sought angel funding, or we would have done something differently. It's all about being agile for me and having the instinct to change as and when necessary. I honestly don't think I was more cautious with my own money. In fact, I'm very confident that I'll be much more cautious with VC funding. I'm not just saying that because we're now seeking VC funding either - honest!!! :) @Marcus - regarding your point about our personal investment being responsible for the survival of the business:

1) We didn’t invest the money until year 3 - after we had generated a few million quid.
2) If we didn’t have the money to invest, we might have sought angel funding, or we would have done something differently. It’s all about being agile for me and having the instinct to change as and when necessary.

I honestly don’t think I was more cautious with my own money. In fact, I’m very confident that I’ll be much more cautious with VC funding. I’m not just saying that because we’re now seeking VC funding either - honest!!! :)

]]> By: Marcus Mac Innes http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270396 Marcus Mac Innes Thu, 03 Jan 2008 17:49:18 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270396 Paul - very interesting post. I'm left wondering if your point of view with regard to ensuring the long term survival of the company is directly connected with the fact that the initial investment in Segala was a personal one from you and your partner. I've seen so many companies get VC money and take what I consider to be massive risks, the sort of risks that might be much more difficult, if not impossible, with your own money. Some win, some loose. Personally invested companies always seem to take a more cautious route. Paul - very interesting post.

I’m left wondering if your point of view with regard to ensuring the long term survival of the company is directly connected with the fact that the initial investment in Segala was a personal one from you and your partner.

I’ve seen so many companies get VC money and take what I consider to be massive risks, the sort of risks that might be much more difficult, if not impossible, with your own money. Some win, some loose.

Personally invested companies always seem to take a more cautious route.

]]> By: Paul Walsh http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270018 Paul Walsh Thu, 03 Jan 2008 12:55:20 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-270018 @liam You could be right Liam. Although on Twitter, they, and others, left out those caveats. Perhaps I should have mentioned that in my post. Perhaps my get out of jail free card is my comment 'out of context' ;) @liam You could be right Liam. Although on Twitter, they, and others, left out those caveats. Perhaps I should have mentioned that in my post. Perhaps my get out of jail free card is my comment ‘out of context’ ;)

]]> By: liam http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-269992 liam Thu, 03 Jan 2008 12:31:21 +0000 http://segala.com/blog/why-scale-doesnt-come-before-revenue-or-at-least-for-most/#comment-269992 Not sure this post was required as both Gents were already in agreement with you? Calacanis said "if you're not a player like Ev, and you don't have unlimited access to capital do not take this advice and focus on building revenue streams." Wilson said similar "The scale I was talking about is the audience size you need to generate returns on venture investments. I think staying small, getting profitable, avoiding vc investment, and keeping the cash flow to yourself is a very wise approach and is probably best for 90pcnt+ of all web businesses" Not sure this post was required as both Gents were already in agreement with you?

Calacanis said “if you’re not a player like Ev, and you don’t have unlimited access to capital do not take this advice and focus on building revenue streams.”

Wilson said similar “The scale I was talking about is the audience size you need to generate returns on venture investments. I think staying small, getting profitable, avoiding vc investment, and keeping the cash flow to yourself is a very wise approach and is probably best for 90pcnt+ of all web businesses”

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