|
I'm no expert but here is my full opinion. Just be aware that it does repeat a bit of whats said above.
More entrants into the industry means its harder to get a peice of the table scraps. Right now it takes one of two things to become successfull in the industry as far as I can tell.
First off there are contacts. Knowing the right people, getting the right partner accounts, getting the right link swaps and the right traffic for nothing more than a pat on the back. This isnt easy.
The second way is generating traffic by spending money, then taking that money and spending it again to make more traffic, repeating this until you've created a solid traffic flow.
So, the more webmasters there are, the more competition for traffic, the more people have to fight for their traffic.
Supply VS Demand means prices on sold traffic rise, TGP listings become more expensive, and the number of pages the big guys list becomes a smaller percentage.
It all reaches a point where it becomes difficult or impossible for a new person to break in and still make a profit, as long as payouts remain relatively the same.
All the while the people who already had the traffic all along or their close contacts are the ones that make the real money, because their outgoing cash is much lower than that of newbie webmaster and they continue to kick ass and take names.
Using GG as an example:
So, 1million new people starting monday or whatever? That's 1 million more submitters a day to his site?
First he'd have to require access for signups, via the Dangerdave model (he was the first I saw using it). Then he'd probably give away accounts to his current contacts. Then he'd start charging newbie webmasters for accounts to hire more people to review.
Then he'd ban ad naseum and only list the most rediculously 'best' sites, leaving those who arent creating perfection out in the street.
And this happens everywhere, tommy's, the hun, you name it.
Eventually the industry CAN reach this boiling point. I say its not too far off.
|