I got a lot of questions about a recent post on "freemium" business models asking what Web 2.0 companies dependent on advertising revenue can do to weather the storm.
The short answer: generate revenue from the service you provide.
To clarify: if your company provides an online service that people use consistently and you are dependent on advertising for all of your revenue, you should figure out a way to directly monetize the user base. That is, charge for something that is perceived to be valuable to the user.
This advice is no different for Web 2.0 than it is for open source. If you are a business, you exist to make money. Adoption is not enough in a down economy. You need to get revenue traction in conjunction.
So, how can Web 2.0 or other ad-driven businesses make money?
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