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Business model

Revenue Model

Above all, Hey’s mission is to guarantee transparency, freedom of speech, and mutual assistance. As all successful businesses rest on solid financial foundations, and as we want to provide top-level services to our growing community, we must equally develop a reliable revenue model.

Based on ample time, coffee, and market analyses from our experienced advisors, we've opted for an advertising revenue model.

Thanks to Hey’s presence on all web pages, we are able to provide highly-targeted ad placements. As users are already present on a certain site based on their interest in its content, ads posted to that page and relating to the subject should prove more relevant and thus more effective. With Hey, advertisers can reach the right people at the right time.

Hey’s advertising model allows companies to post ads wherever they prove most relevant, rather than where they might be “allowed.” Advertisers needn’t have a partnership with certain site owners in order to publish ads, making it possible to post directly on competitor’s pages.

In addition to highly-targeted advertisements, Hey may introduce in-app purchases as a way to utilize tokens. For example, users will be able to use tokens to unlock discounts on external websites. We will test out these in-app purchases once Hey is widely used and adapt according to user needs.

Market Size

The digital advertising market is vast, and continues to grow day by day. In 2016, it was worth $200 billion worldwide–a whopping 38% of the global advertising budget–and is expected to increase by 10% over the next five years. By 2020, digital campaigns are forecasted to represent a $300 billion global market, exceeding TV ad revenue.

Featuring the combined strengths of forums, live chats, and social networks, Hey is in a unique position to quickly capture market shares.

Growth Potential

The process of pricing ads on social networks involves many parameters: the size of the network, its number of users, diversity, geographic distribution, and potential segmentation, among others. It would be risky and, to put it bluntly, irrelevant, to present specific pricing projections at this stage, as our community is not yet mature.

However, we have built very rough projections based on simplified assumptions. These don’t take into account criteria such as the number of active users or various ad types (links, banners, etc.).

According to our hypotheses, one user could generate around $2.4/year if he/she is active on Hey one out of every 20 pages. If we assume, boldly, that our revenue per user is linear, we’d arrive at $1.2 million in revenue based on a 500,000 user base.

Again, please be careful. This is in no way a promise of returns. These are vague estimates and should be taken as such.