When you browse the World Wide Web, you’re definitely encountered an infamous ‘404 error’, indicating that the web page is ‘not found’. What you do not see is a similar code 402, which requires ‘payment’. Tim Berners-Lee and his team were left unfinished while fashioning the web decades ago. The original intent was that every visitor would pay anything to view the web page, but the schema was never built and even now there is no standard encoded way to send or receive money online.
The fact is that the ‘user-pace’ is not a business model of the web. Initially, it was mostly free. Then, Yahoo and others raised publications and advertising as a business model that took Google and Facebook to another level. Unlike ‘advertiser-payments’, another business model has begun to take shape — commerce, Amazon has begun to dominate. Recently, we started revisiting the payments and trading business model. The reason: all advertising is 70 470 billion a year, e-commerce 10 times, at tr 5 trillion, despite the narrow margins. E-commerce accounts for 18% of the total retail market and is growing rapidly.
Companies like Square, PayPal and platforms like Unified Payments Interface (UPI) in India are building online payment infrastructure to fix the original 402 error. But a San Francisco-based line that makes it as simple as Berners-Lee. It has gained $ 95 billion in importance with its latest round of funding, making it the most valuable unlisted private company to date. With its ambitious mission statement to ‘increase the GDP of the Internet’, it heralds a very dramatic shift from advertising to payments and subscriptions in the business model of the World Wide Web. There are signs. ‘Teklash’ and its impact on privacy are very prominent against the prevailing data monetization. Facebook has added shopping tabs on Instagram, launched payments on WhatsApp in India and Brazil, and even launched its own cryptocurrency. Twitter is testing a way for users to charge for content, entering into e-commerce by partnering with TickTalk Shopify.
But this titanic change is called the ‘creator’ or ‘passion economy’. The concept, which allows online followers to make money from sales, was initially popular in China. Then came Twitch, who did it in gaming; Patrian, which launched crowdfunding for artists; And then there’s the substock, which helps authors monetize their blogs. Pioneer, maybe YouTube, kids in the US are three times more likely to want YouTubers than astronauts.
The term was coined by Andrన్ssen Horowitz in Li Jin’s The Passion Economy and the Future of Work, in which she talks about how this trend transforms the current mass standardization into a “money-making personality”. Kovid turbocharged the economy, saying that the new ‘economy’ had 50 million creators, 2 million of whom were earning more than 000 100,000 a year. ATC, the original creator of the financial institution that allowed individuals to sell artisanal goods, had 6,346 million in mask sales. Chris Anderson reversed this trend in 2006 in his book The Long Tail. His theory is that low-demand products can collectively equal the market share of blockbuster rivals: “When production tools are available to everyone, everyone becomes a producer. “Fifteen years later, his prophecy is coming true.
The short live broadcasts on Twitch compete with the Oscars. More than watch blockbusters, fan users only pay for niche conversations and people’s views. YouTube has 30 million channels, earning more than $ 10,000 and growing at 40%. The top 10 authors in the substock earn over 15 million a year. The top content creator on the podium earns more than 000 100,000 per month. NFTs or non-fungal tokens that help digital artists make money from their offerings, another branch of the creator economy, which is also growing in India, creating platforms that help startup artists like Gossole to monetize their wares. The ‘long tail’ is getting longer and more rewarding.
“In the future, everyone will be world famous for 15 minutes,” Andy Warhol said in an exhibition of his works in 1968 at the Modern Museum in Stockholm. He never foretold that everyone would experience fame at the same time and make good money. .
Jaspreet Bindra is the author of ‘The Tech Whisper’ and the founder of Digital Matters