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Date Posted: 10:51:16 09/19/16 Mon
Author: A Casual Observer
Subject: Re: DK's business model ...
In reply to: Non-biz major guy 's message, "DK's business model ..." on 08:04:11 09/16/16 Fri

From things I've heard from a very knowledgeable source in the past...

1. There's the subscriptions of course, but notice how DK uses the "rolling number" to note his subscriber base (i.e. annualized). Not sure how that turns out to "real world" numbers. Maybe someone smarter than I can clarify that.

2. Segment sponsorships - companies sponsoring individual regular features. There's some surprisingly big names here - Citrix GoTo Meeting is a big player in the IT conferencing world - and some laughably bad ones, such as a dick spray.

3. Other sponsorships on the site - when he first started out, he had quite a few smaller sponsors that he charged anywhere from 1,500 to $3500 per month. (I grabbed one of his media kits before he took it private/by request only)

4. Here's a kick in the balls. DK is now DOUBLE DIPPING on his subscribers by initiating google ads all over the site as well. They are very obtrusive on the mobile site in particular. If I was a subscriber, I would be PISSED that I'm forced to look at ads by a subscription and major sponsor-backed site.

As for how he pays staff, I do know that the college trio is especially low-paid, based on somethign I'd gather. Gajtka is in the middle of hte pack, and of course Yohe and now Kaboly are going to be the highest paid people on staff.

It's truly a wonder how he's affording all of these....plus an editor, plus a full time photographer, plus an extra dude for Xs and Os on Steelers, and a separate beat guy for the Steelers to "add depth" behind Kaboly.

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Replies:

[> Re: DK's business model ... -- See-Eee-Oh, 16:14:55 09/20/16 Tue [1]

You start with the hottest guy in sports media, someone is at home online, on radio and on TV. The sports authority. Throw in a big dash of megalomania. Then create a persona of a Starbucks-fueled 24/7 everyman who loves nothing more than interacting with his readers, as long as they smooch his butt. Then hire his wife for a key role in the organization.

Then hire the old McKeesport Daily News sports staff (Yohe and Kaboly). Maybe he can coax Norm Vargo out of retirement to write columns.

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