Ricky’s Online Business Blog

Have you been invited to join various specialized Facebook groups lately?  For example, “Malaysia Badminton Network” for badminton lovers and “Malaysia Web Designers” for web professionals?

Yes, I have been joining some of these groups. Also learning about this new way of making money – building recommender community groups on Facebook.

Correct me if I’m wrong. But it works like this:

1. Decide on your passion, such as table-tennis or reading books.
2. Create a Facebook group around your passion, such as “Malaysia Table-Tennis Network”. Decide on what you can offer your group members.
3. Invite your friends on and off Facebook to join your group. Aim for the number.
4. Keep posting useful messages to group members to build your credibility, and make sure they get something beneficial out of joining your group!
5. Once you have reached a critical mass, such as 1000 members in your group, start leveraging the number to make money!

For example, you can contact sport organizations and companies to sponsor events, contests and prizes for your table-tennis sport group. You can help these sponsors sell their products. In return, you may get a cut of the profit.

Another example I’ve witnessed a book love group are doing. They leverage on their high number of members to negotiate with MPH to gain discount for their members.

I don’t know exactly yet how to translate number of members into profits, since I’m not there yet. But since you are leading your many group members now, you have the influence over the group members and “recommendation power” to talk to businesses interested in your group as their target customers.

And once you have achieved success with one niche group, start another group (better be related, I supposed), and leverage on the first group to promote the second!

Just announce to the first group that you have created a second group, then many of them will join you since they already trust you!

Does this business model work? I don’t know. But according to one Internet guru, building recommender community groups is one of the most profitable ventures on the Internet.

And what do you think?

Some time ago, I was asked to join a closed group of fellow bloggers for a new startup.  It is a blog portal consisting of a few columns for different sub-topics.  Each fellow blogger is to blog for his or her own column.

I was initially skeptical of the business model.  The idea seems old and uninteresting.  But after getting to know that the startup was to be backed by one of the most visited web site in Malaysia, my perception changed.  Its very high traffic is going to spill over to the new portal and bring advertising dollars to the new business.

In fact, though the idea is not new, I think the startup is going to work.  Those who joined the group are going to earn, not only financially, but in reputation and authority as well.

But unfortunately, I am unable to fulfill their requirements.  Each blogger is to blog at least one post per day.  So it’s 7 blog posts per week, 30 blog posts per month, at least.

Not that they emphasize quantity over quality.  But the founder said most successful blogs have something new everyday to become successful, though it may not be long essay everyday.

I can’t join because I can’t commit myself to blog everyday.  Currently I’m blogging only once or twice per week.  I’m not a full-time blogger or problogger, but rather an occasional one.  I even consider myself still quite a newbie in blogging.

Furthermore, it’s going to be like a full-time job to blog everyday.  It’s not only the time spent to write, but it’s the time spent to read up, research, think and organize my thoughts that is going to consume most of my waking hours, every single day!

So it’s going to be a job for me to work in rather than a business, and it’s a pretty hectic job.  My personal mission is not to create a job for myself.  My mission is to create a business.  Otherwise, I might as well work for others.

When an opportunity knocks, no matter how great it is, one may still need to think whether it is in line with one’s life mission or not.  In this case, the blogging job is really not for me.

It’s a pity for me not being able to join this startup.  But it’s OK.  Opportunities abound on the Internet.  Our job is just to be ready when they come

I went to a shopping mall yesterday.  Parking for under 2 hours is free, and RM1 for over 2 hours.  It seems they encourage us to quickly do our shopping and go home.  Staying for more than 2 hours is discouraged.

I suddenly came up with this weird thought.  Why not reverse the charges?  Charge RM1 for parking under 2 hours, but give it free for over 2 hours?

The purpose is to get people stay longer in the mall, and hopefully spend more as a result?  Yes, there will be those who lepak (wander around) without spending a single cent.  But in overall, more crowd means more business.

Do you think this idea works?