December 19, 2007

Where did the paying members go?

Swedish community site Lunarstorm is closing its paid Pro service. From a peak of 100,000 Pro members, each paying 15-35 SEK/month (about 1.6 to 4 euros), the number of paying members had fallen to 10,000. It is eye-opening that 90 percent of a revenue stream in the range of 2.5-3 million euros per year can vanish in one to two years.

To reinvigorate interest, I'd assume, in the LunarStorm site, all former Pro features have been made free. The decision seems to be driven by the need to meet competition from Facebook and others, to which LunarStorm has lost visitors in 2007, and to keep the offer for advertisers strong.


Wilhelm said...

It would be interesting to know the development on pro-features on stardoll. Any drop-offs or still going strong?

Henrik Torstensson said...

That is internal company data, so unfortunately I will not comment on that.

If you read my comments about Stardoll on this blog, it has always been regarding public (in the sense of a press release or an article in the media) information, except for maybe one or two mentions of job opportunities. Not talking about internal Stardoll stuff on this blog is a decision I've made to make my life simpler. Even if it make the blog less interesting at times. I hope you are ok with that.

Christian said...

Henrik, I think you know where they went... at least the pro-members that were female and between 10-18 yrs! ;)

Wilhelm said...

Of course, my bad! But it would still be interesting.... ;)

Good luck in 2008!