SpiralFrog was the music industry’s attempt to defeat iTunes. It failed miserably. Here’s a fascinating post-mortem. As a start-up guy who had no funding, these stories of start-ups pissing tens of millions of dollars up against the wall always make me sick. Why do these clowns get so much money? I know what I could achieve with just a single million to spend on my business and to see them waste $26 million just makes me furious.
Anyway, there are some interesting facts in here… such as “in order for a tier-1 account to place ads on a site like SpiralFrog, (it) needed a minimum of 5 million monthly unique (visitors).” Even a start-up with the amount of funding SpiralFrog had, struggled to make money from advertising. They bought their traffic through search engine marketing and had to keep spending to maintain it. Lots of lessons in here.
Read the article:
Here’s a 2007 interview with SpiralFrog founder Joe Mohen: