The obligatory “Hot Air’s revenue stream goes up in smoke” post; Update: PJM speaks
posted at 1:18 pm on January 31, 2009 by Allahpundit
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Starting tomorrow, you too can read HA for the low, low price of $99.95 per year.
No, just kidding. Or am I?
As you know, last September Pajamas Media began a new initiative in Internet television called Pajamas TV. When we started with our RNC coverage from Minneapolis, we noted that we would be in a Beta Phase through the first quarter of 2009. In the last few months we have strengthened the PJTV lineup with shows covering Media Bias, Education Bias, Middle East Update, Sharia and Jihad, Powerline Report, Ask Dr. Helen, Hugh News, Poliwood, Conservatism 2.0, Economy and Finance, National Security, and others.
As the end of the first quarter approaches and we near the production phase of Pajamas TV, we will continue to build our emphasis in this area. As a result we have decided to wind down the Pajamas Media Blogger and advertising network effective March 31, 2009. The PJM portal and the XPressBlogs will continue as is.
Thank god I have that pothole-filling job in the new Obama WPA to fall back on.
Seriously, we think we’ll be okay. I figured traffic would crater after the election, settling somewhere around 350-400K hits a day by the inauguration. Thanks to you, we’re considerably better positioned than that. Things will be tight after April, as they are for everyone, which is why we hope/expect we won’t have to come begging for donations. But, er, stay tuned. As for PJM, Ace said it best: It was a good deal, it kept a lot of righty bloggers going during the election, and now circumstances have changed. Business is business, red in tooth and claw. I just hope there’s a conservative entrepreneur out there willing to snap up some of the talent that’s now on the market. Are there any new sites around flush with cash and looking to establish a presence in the blogosphere that could use full-time bloggers and the built-in audiences that would come with them? Hmmm.
Exit question via Atlas Shrugs: That PJM-sponsored blogger’s row at CPAC is going to be a little awkward, huh?
Update: You’ll know we’re in dire straits financially when you notice that every last post is comment bait about Palin and atheism, instead of every other post the way it is now.
Update: Another idea. If the man of Steele is serious about expanding the party’s reach online, how about hiring someone to blog for the RNC?
Update: Roger Simon weighs in:
Actually that part of our business has been losing money from the beginning, so the people getting their quarterly checks from PJM were getting a form of stipend from us in the hopes that advertisers would start to cotton to blogs and we could possibly make a profit. Didn’t happen. No wonder those people are kicking and screaming now that they are off the dole. I might too. [What's their beef? I thought most of them were free marketeer libertarians or something.-ed. Go figure.]
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Just keep slamming Limbaugh and Palin and you’ll do fine. I kid, I kid!
Jim Treacher on January 31, 2009 at 1:22 PM
So I’m just curious: how do HuffPo, DailyKos, etc. get their revenue? Are they financed by a high roller like Soros or something?
As an aside, I would pay an annual fee to access this site. It’s that good.
BardMan on January 31, 2009 at 1:24 PM
if this site charges, usage will decrease by 99%. or more. and pajama media will rapidly become worthless. such is the way of the internet.
Xolom on January 31, 2009 at 1:25 PM
I would have no problem donating money to you guys, as your commentary is great and I love what you do. I mean, I am here all the time, so yeah, I’d contribute.
Definitely worth it.
http://www.therightscoop.com
funsutton on January 31, 2009 at 1:25 PM
Good luck and stay positive.
JammieWearingFool on January 31, 2009 at 1:27 PM
Xolom on January 31, 2009 at 1:27 PM
Like I opined in the headlines.
Maybe someone should do a little more work with the store side of things. I mean the t-shirts and what not haven’t changed in years. I mean who buys the same t-shirt more than once?
homestarrunner.com supports two guys and their whole families on t-shirts and toys. Keep coming up with new ideas and self promote more.
And what Funsutton said, put up a tip jar or something.
- The Cat
MirCat on January 31, 2009 at 1:28 PM
I take it you’re new here?
- The Cat
MirCat on January 31, 2009 at 1:29 PM
Yeah. Maybe a few hundred people would pay. To make this a going concern out of a base that small, we’d have to charge exorbitantly. Asking for $5 donations, if need be, would produce much more revenue.
Allahpundit on January 31, 2009 at 1:29 PM
you have ethics and are not a mouthpiece as other sites are for billionaires who use make a small investment to intimidate politicians.
rob verdi on January 31, 2009 at 1:29 PM
I think Huffington Post is in worse shape they actually don’t have a lot of bloggers they even had to stoop so low to have Bill Ayers guest blog GRIN.
Dr Evil on January 31, 2009 at 1:31 PM
People get paid to blog?
Dr Evil on January 31, 2009 at 1:31 PM
I think there is a lot of money to be made from this site. I guess I’m surprised that so much of the Internet is free.
WisCon on January 31, 2009 at 1:32 PM
In the current age of FireFox and AdBlock, the standard banner advertising business model is not very viable anymore anyways.
KSgop on January 31, 2009 at 1:32 PM
Allahpundit on January 31, 2009 at 1:29 PM
Xolom on January 31, 2009 at 1:33 PM
Well, AP, If you all have to cash in, I hope Ed restarts Captain’s Quarters. I would give to that.
Old Country Boy on January 31, 2009 at 1:33 PM
why can i never get that damn quote button to work right.
Xolom on January 31, 2009 at 1:33 PM
Woah woah woah. You’re NOT asking for a bailout from Congress? What kind of age are we living in here?
/sarc
Meric1837 on January 31, 2009 at 1:34 PM
Not sure I understand all this. All I know is I visit HotAir so many times a day, I couldn’t count. And I visit Pajamas Media less.
Much less.
pbundy on January 31, 2009 at 1:34 PM
You mean you get money to blog ?
I have to pay for my own site. Maybe Im just too slow to catch on to the bizz.
William Amos on January 31, 2009 at 1:35 PM
I wanna get paid to comment.
rbj on January 31, 2009 at 1:35 PM
I’d pay if you let me censor Poptech!
:-)
hawkdriver on January 31, 2009 at 1:35 PM
Is there any more info about who made the decision or the reasoning behind it? Do they really think PJ TV will work? I’d rather read for the most part.
Protein Wisdom said this:
He obviously feels he got the shaft.
INC on January 31, 2009 at 1:36 PM
We are going to get *some* ads; we have too much traffic to be ignored entirely. Blogads will help, as will Google AdSense. The question is, how much of a shortfall will there be between the ad revenue and donations? If it’s only $10-20K, I bet we could raise that among our readers.
I can certainly take a steep pay cut, too. Michelle is ludicrously generous with compensation.
Allahpundit on January 31, 2009 at 1:36 PM
As Lorein would say
William Amos on January 31, 2009 at 1:36 PM
Thank God PJM soent so much money on sending everyone’s favorite populist hack to Gaza.
It's Vintage, Duh on January 31, 2009 at 1:37 PM
Easiest way to get it to work. Highlight what you want all blocked up. Then click quote. It’s put the blockquote /blockquote around what you made blueish
- The Cat
MirCat on January 31, 2009 at 1:37 PM
Whoa! 675,000 hits per day?! Geez!
Um … is that good? It sure sounds good.
Tony737 on January 31, 2009 at 1:38 PM
I’m guessing that Instapundit gets most of his revenue from all the Amazon associate links he puts up. HotAir could start plugging beta-male grooming products. Hmmm, yeah, $5 donations would be better.
pedestrian on January 31, 2009 at 1:38 PM
First I’d like to say that Hot Air is a great website and I know Allah, Ed and media savvy Michelle will come up with an idea to keep the money flowing.
But on that note, the problem with the internet is that everyone expects everything for free. Hence why all newspapers are dying. It’s not that people are reading less, they are just going to the web to read what most people use to pay for and no one has figured out how to make money on venture.
It’s a tough call, I can’t think of any major blog out there that has a subscription base.
Like you mention Allah, maybe HA can team up with Big Hollywood or something.
Allah, you are like crack, you can’t go anyway, where will I get my fix. AHHHHHHHHHH!!!!!
PS. On that note, I knew in the back of my mind that Sending Joe the Plumber to Israel was a cheap media act to try to get people to buy into PJTV. Way to go Roger.
Lance Murdock on January 31, 2009 at 1:39 PM
Why don’t you guys ask the republican senators for a bailout they could add a 1 or 2 sentence line somewhere in the 687 page America’s Toast Deal. Noone will ever know it’s there and walla you have money to keep you floating until the next bailout comes our way. 5 Billion would keep you going for a while. Since noone ever will read it, noone will know. I am sure they can slide it in somewhere. Hey if Acorn and Fish get it why can’t you guys?
Brat4life on January 31, 2009 at 1:41 PM
Yeah, I always wonder how much money that’s really worth. How many people actually buy the stuff he links? Granted, every penny counts, but if it’s only a few hundred dollars I can’t see how it’s worth it. Plus, I don’t like to do product placement if it can be avoided.
Allahpundit on January 31, 2009 at 1:41 PM
So you admit it? Or were you being facetious?
Sounds like there is a ’shakeout’ going on in the blog-o-sphere, eh? (Note:’shakeout’ is a very technical economic term meaning the team roster is being cut down to regular season size limits.)
Good, creative, innovative, talent will consolidate with survivors joining successful operations. Interns and apprentices will redouble their efforts or find another line of work.
Its change baby, embrace the change and hope.
Skandia Recluse on January 31, 2009 at 1:42 PM
I wonder if the RNC will try to hire anyone. They’re constantly lamenting their lack of an online presence.
Allahpundit on January 31, 2009 at 1:42 PM
I’d subscribe if it meant we would finally be rid of Drywall.
anniekc on January 31, 2009 at 1:42 PM
Obvious solution: a steamy “Bloggers of Hot Air” 2009 calendar.
Problem solved.
krispy on January 31, 2009 at 1:43 PM
Facetious. But people consistently find the Palin and atheism stuff provocative and worthy of discussion. Why not blog about it, then?
I agree. If we can survive this, I’ll take it as a real validation of our worth. If not, oh well.
Allahpundit on January 31, 2009 at 1:44 PM
I managed to get a big $75 bucks in about 9 months of advertizing but then I get alot less traffic likely only 50 to 60 hits a day.
William Amos on January 31, 2009 at 1:44 PM
AP, I’m not sure I get it. Does PJM pay each site a ton of money to place their ad on the site? Or is there some kind of revenue sharing amongst the network?
Not being nosy, I just don’t understand. I always thought you guys made your dough from the normal ads on the site.
BacaDog on January 31, 2009 at 1:44 PM
i’ll bet your least favorite firefox extension is adblock plus.
you get paid to blog here? and here i was thinking you had a day job and just blogged for fun.
Xolom on January 31, 2009 at 1:46 PM
Dont hold your breath Allah. The RNC is top heavy and bottom tight. Most of their money goes to the bigwigs they dont budget much for the little people. That and most of us dont have the pretty pedigrees that the RNC picks for their people.
William Amos on January 31, 2009 at 1:46 PM
Well when Ed has a writer on he could link up their book on Amazon in the webcast post.
Plus, do your own product placement :P
Also, I think Michelle may have written something sometime.
- The Cat
MirCat on January 31, 2009 at 1:46 PM
Don’t worry. Soon you’ll have to buy a license from the government to be able to put a pic of Obama up anyway…
http://news.yahoo.com/s/bloomberg/20090130/pl_bloomberg/ay4jojiqvy4c_1
Wonder how much THAT will cost.
UnderstandingisPower on January 31, 2009 at 1:47 PM
First rule of supply and demand. You increase the cost of something you will decrease the availibility of same product.
The less seen of Obama the better.
William Amos on January 31, 2009 at 1:49 PM
Let’s hope it doesn’t come to that, but $99.95 a year? More than worth it to me.
DarkCurrent on January 31, 2009 at 1:50 PM
Just let us unleash on Helen Thomas……….
…………… you’ll be rolling in the dough.
Seven Percent Solution on January 31, 2009 at 1:50 PM
This is by far the BEST Conservative blog I visit daily. Have to admit that I was sooooooo skeptical about it at first, when Ed Morrissey closed down Captain’s Quarters to join up with this bunch, but I’ve since become a huge fan of Hot Air. The articles are extremely well done, and are researched well. And I love being able to start off with the pertinent “headlines” at the top, with room for comments on the articles as well.
You go ahead a put up that tip jar, AP! Times are tough, getting tougher, and makes no sense at all for you to let the kitty run dry before doing what needs be done. If it’s voluntary, then those who can afford it might put in an extra buck or two to help cover those who come here who can’t. I’d have to give up a couple of half gallons of sinful coffee ice cream a month, but my waistline would thank you, and my brain wouldn’t atrophy quite so fast now that my senior years are knocking. (grin)
KendraWilder on January 31, 2009 at 1:51 PM
I wonder if the RNC will try to hire anyone. They’re constantly lamenting their lack of an online presence.
Allahpundit on January 31, 2009 at 1:42 PM
Contact the RNC.
I’m hearing Steele wants to step up the tech stuff.
artist on January 31, 2009 at 1:51 PM
Hey, maybe if you brought back Michelle …
Or perhaps (as I suggested a year ago) if you combined HotAir with Michelle’s website …
Tony737 on January 31, 2009 at 1:51 PM
That model is not far away in some manner down the road. It can be done.
Question re; site advertising. I see a lot of empty space on this page that could be occupied by either pay per click CPM banners.
Another idea is sponsored posts. Personally I cannot afford to pay a yearly fee for the number of blogs I follow but I would donate a few bucks to this one and Michelle’s main site.
FireBlogger on January 31, 2009 at 1:51 PM
I don’t know the exact terms of the deal, but I believe PJM pays us a set rate per impression. We get our money even if they don’t have companies buying ads from PJM. Hence their decision to close up shop.
What job did you think I had that would give me time to write 10-12 posts a day and 45 Headline items a day?
Allahpundit on January 31, 2009 at 1:52 PM
Hey folks, drop a line to Michael Steele (and others) to let them know.
http://www.gop.com/Connect/ContactUs.htm
Dr.Cwac.Cwac on January 31, 2009 at 1:52 PM
Blogo must be behind this. “Pay to play.”
Mojave Mark on January 31, 2009 at 1:52 PM
I suspect if you did nothing more than adding a little “Donate Here” button somewhere on the front page, you’d more than make up for lost revenue.
Cash flow might be a little inconsistent (unless you resort to annoying “quarterly fund raising drives!!!1!1!” like half the lefty sites do), but I’d bet your readers would be surprisingly generous. You might even find a few deep, deep pockets. Even if not, several hundred people donating 5-10 bucks every month or two … adds up quick.
Alternatively, you could go with the bi-annual “Win a Date with Allah” raffle.
Professor Blather on January 31, 2009 at 1:53 PM
I get my news here first before checking any other site. I will do anything I have to do to continue getting my daily fix of hotair.
CookeyD on January 31, 2009 at 1:53 PM
iPhone-Sexbot engineer?
/sarc
Dr.Cwac.Cwac on January 31, 2009 at 1:53 PM
Rusty at The Jawa Report sums up the situation at best
AP, please take Rusty’s advice. ;)
Lance Murdock on January 31, 2009 at 1:53 PM
How about a post on the 1 million without power, in freezing temps?
Obama’s Katrina.
artist on January 31, 2009 at 1:54 PM
Obvious solution: a steamy “Bloggers of Hot Air” 2009 calendar. Problem solved. – Krispy
Ha! Awesome! But only if Michelle is on every page!
Tony737 on January 31, 2009 at 1:54 PM
OH SNAP!
MadisonConservative on January 31, 2009 at 1:55 PM
I’d donate money.
Open a PayPal donation account. Conservatives must stick together and take care of their own.
You and Ed are our own. Let us help take care of you guys.
blatantblue on January 31, 2009 at 1:55 PM
Maybe block visitors from Adblock? Or would that affect traffic negatively too much. Do you get revenue per pageview whether people have Ad blocking on or not?
The Dean on January 31, 2009 at 1:55 PM
Depends if you can get Esthier and tickleddragon to agree.
MadisonConservative on January 31, 2009 at 1:56 PM
Wait, so you’re NOT a congressman??
e-pirate on January 31, 2009 at 1:56 PM
I would chip in.
Firebird on January 31, 2009 at 1:56 PM
yea! and we all know who it should feature (not Ed)
DarkCurrent on January 31, 2009 at 1:56 PM
By the way, I will also be glad to donate to this wonderful site as well. It’s one of the most fantastic resources for keeping the MSM in line, and for keeping an eye on the endless assault on liberty that the “progressive” movement is crusading on.
MadisonConservative on January 31, 2009 at 1:58 PM
Solicit donations. I’ve donated to Horowitz’s site repeatedly. I love MM’s site, but I think Hot Air is better. Better than PJM, too. Just wish you’d link to Big Hollywood ;)
John the Libertarian on January 31, 2009 at 1:58 PM
The blogosphere as we know it didn’t exist last time we had a dem administration. Back then it was just Fox News, radio, and whatever Drudge might come up with. The big lefty blogs really prospered acting as the opposition, but it is the righty blogs who stand to benefit now. Print is crapping out and TV news is ridiculous. Radio may soon be meddled with via Fairness or Localism. Add it all up and it looks to me like righty bloggers are actually in a good position to gain readers and influence. Quality product will find an audience.
innominatus on January 31, 2009 at 2:00 PM
So no site makeover in the works, eh? This layout has been the same for a while. Heh.
therightwinger on January 31, 2009 at 2:01 PM
wow… that’s amazing.
Kaptain Amerika on January 31, 2009 at 2:01 PM
I would not only chip in, I’ll click through the ads I’m remotely interested in like a mad man.
Valiant on January 31, 2009 at 2:01 PM
Allahpundit on January 31, 2009 at 1:52 PM
So I have seen this on my blog you can ad Google Ad sense but I don’t see how it works, they just put up an add banner on your blog? And then what the Google Fairies show up LOL! When I state Google Fairies I by no means – mean the Google Boys…although I would like to trademark Google Fairies LMAO. Am I too late?
Self Promotion Alert All Google Fairies.
http://youhavetobethistalltogoonthisride.blogspot.com/
Dr Evil on January 31, 2009 at 2:02 PM
I hate videos on the internet and I rarely watch them when they are linked.
Blake on January 31, 2009 at 2:02 PM
Just a question, but what about 5 bucks a month for commenting privileges? That makes about 60 a year.
MadisonConservative on January 31, 2009 at 2:03 PM
Stud service.
Blake on January 31, 2009 at 2:03 PM
Thanks, AP.
As a charter member from day one of HA, I love this site. There’s been alot of changes from Brian to the Vent to Ed and alot of commenters have come and gone, but it’s still the first site I visit every day.
If you need to charge a fee, I’ll be the first in line.
Maybe some premium content? I’d pay a hundred bucks to finally see a photo of AP!
BacaDog on January 31, 2009 at 2:04 PM
Umm I thought once you became a government official you lost all right to trademark? I understand saying no to using the family, but like screw you Obama.
You know this has more to do with stopping Mad Magazine.
- The Cat
MirCat on January 31, 2009 at 2:05 PM
I heard that Palin is a gay atheist who loves Amnesty.
Built in comment-drama 4evah!
Lehosh on January 31, 2009 at 2:05 PM
If you could get hold of Michelle Obama’s Whitey tape you’d be looking at Limbaugh money!
Vernon Hardapple on January 31, 2009 at 2:05 PM
Maybe you could tell George Soros that you’re actually a liberal………..
……… and will pretend to be a conservative, host a blog, and will keep him informed on what we are all thinking?
That way…….
………….. he will always be “one step ahead”, all you need is the financing.
BBBBBBWWWWWWWAHAAAAHAHAHAHAHAHAHA (evil laugh)
…………….. oh, wait!
Seven Percent Solution on January 31, 2009 at 2:05 PM
“Community Service” – go and apply for the Community Service money just like Acorn does.
… seems like a VERY sad joke in there somewhere …
Freddy on January 31, 2009 at 2:05 PM
I hear those medical research test subject jobs leave plenty of free time.
MadisonConservative on January 31, 2009 at 2:06 PM
If it makes you feel any better, this is the same problem newspapers are having (except no one is offering to donate to keep them alive).
I work for an online marketing company and we’ve got different major newspapers coming in every few months asking us to figure out an online business model that will save them.
So far, we’ve got nothing. If we ever do come up with something brilliant, I’ll be sure to let you know!
JadeNYU on January 31, 2009 at 2:06 PM
In all seriousness I think that Steele would be smart to try to hire some of the talent amongst the rightie bloggers. Obama’s team is very tech savvy and the GOP has got to catch up.
Bradky on January 31, 2009 at 2:06 PM
i’d pay. this is the best conservative website/blog site i’ve found.
kelley in virginia on January 31, 2009 at 2:07 PM
I thought you were a paid photoshop lackie for Ahmenajad and the Associated Press… is that not you I see credited on all their photos it always says your name “AP”
Kaptain Amerika on January 31, 2009 at 2:07 PM
And I thought it was the robots that brought in the big bucks.
RedWinged Blackbird on January 31, 2009 at 2:07 PM
Here’s what this useful idiot said when I asked him to define Media Hacks:
Clearly, AP is not doing a good enough job hacking for his corporate masters.
/
Disturb the Universe on January 31, 2009 at 2:07 PM
That kind of free time is available only to the people with inexplicable jobs like Mac-only font designers and State Department analysts for Luxembourg…
…or a lawyer.
ScottMcC on January 31, 2009 at 2:07 PM
actually, if i were you, i would try to get a little money out of everyone now, before they pay for the stimulus on april 15.
kelley in virginia on January 31, 2009 at 2:08 PM
If I could get hold of your hardapple with vise-grips I’d be “having more fun than any human should be allowed to have”
innominatus on January 31, 2009 at 2:08 PM
Thanks but I’m too small for a calendar. Those prefer people who look old enough to drink.
I’m glad to hear that, not that I thought she wasn’t, assuming her Christmas gifts are any indication of how much she values her bloggers.
Also equally glad that you’d take a pay cut to keep this place going.
Day by Day had to ask for donations a couple times. I’m not wealthy, but I’ve donated both times and will again anytime he asks. I’d do the same for you guys. I miss the Vents. I bet a DVD of the “greatest hits” and a few new ones thrown in would do well here.
Esthier on January 31, 2009 at 2:09 PM
Hell, just start with a tip-jar now, and see how that goes. Maybe just a subtle reminder every now and again that it exists.
AUINSC on January 31, 2009 at 2:09 PM
Only academics can carve out the time, I think.
Allahpundit on January 31, 2009 at 2:10 PM
Not just any robots— Humping robots
Valiant on January 31, 2009 at 2:10 PM
Well Allah, you can always fall back on the second oldest profession Roxanne
Dr Evil on January 31, 2009 at 2:12 PM
Lets do the math: how big is the registered HotAir family? How much $$ is required to keep this baby running? $29.95 a year * 50-60% of users = ???
dmann on January 31, 2009 at 2:12 PM
A lot of people would take that as a license to act up, though. It’s easy to ban someone who’s a guest in your home, not so easy to kick someone out who’s paid admission.
Maybe we will. I’m just thinking ahead to if we have to hold an emergency fundraiser. I don’t like the idea of asking people who have donated to donate again.
Allahpundit on January 31, 2009 at 2:13 PM
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