Microsoft Directory Profitabliltiy Estimate

[krisval]

I thought this would be fun. I noticed that the number of business card listings on the bCentral Small Business Directory are posted on the sitemap. I decided to see if I could fiure out how much money they make from the directory.

Here are my figures:

Current Number of MSN Business Cards = 9439
After looking through the categories, I made a guess that 60% of the listings use the business card feature. With this assumption, my guess is that there are 15,730 total listings.

Standard listing fee = $49

15,730 X $49 = $770,770 per year.

Let's say that they use 3 servers running Microsoft software.
Server Hardware cost $50,000 (Initial)
Office Support Products(PCs, Desks Workers&Supplies): $20,000
Costs Broken Down to Annual Figures over 3 years; $23,000/Year

Server maintenance/upgrades: $20,000 Year
Tech Development 2 Programmers $125,000
Editor and review team 7?: $350,000
Office Space: $15,000

$770,770
Less Expenses:
$533,000
Profit: $237,770

That doesn't look like a heck of a lot of money for a Microsoft Property. They probably make that in less than a week in PPC search revenue. Why would they bother running it? For upsells to bCentral Products?

Please chime in and feel free to change my assumptions.

[St0n3y]

We stopped submitting sites to the MSN directory recetly just because its not very user friendly. Wasn't worth the time or effort on my part. I say they need to do it right or not at all.

[smindsrt]

I think they need to redo the structure of the directory, that is what makes it unfriendly.

[St0n3y]

well, it wasn't just that. When I do a search I want the results to give me links to directory categories, not just sites in the directory. Also, the sign-up process is extremely cumbersome and confusing, especially if you want to submit multiple sites with the same login.

[seobook]

if you add multiple sites the price is lower. like 3 for $99 or 10 for $299.

I agree that the directory is sorta bunklike and probably just a method for upsells.

[bobmutch]

Considering your get up to 22 links (3 cats) for $49 I think it is a huge deal.

[NickleNuke]

Can you help me understand how three categories equate to 22 links?

[krisval]

It is 10 total DIFFERENT links to your site.

1. To your main URL page. Listed twice on the business card page
2. If you do not use the business card option. Who wouldn't? You get an additional 3 links. So his would be 4.
3. If you use the business card option, you get 9 in addition to your main URL. This would be 10 total different URLs (2 to your main URL). The site submit form says 8, but if your check the business cards, some listings have 9.

Total potential number of links to your site is:

3 Categories X 4 Links = 12
Business Card = 11 Total (Main URL is repeated twice)

Total Links to your site = 23.

YES. A bargain and from an authority site. Probably the best link buying bargain available. Which brings me back to my original post. Why the heck are they doing this? It must bring upsells for other products.

One more note. They are fairly strict about including only sites who offer products and services direct. I submitted multiple sites and one rejected because they didn't see the one product I offered directly to consumers. The other pages did have affiliate baners. After I asked for a supervisor and showed the product, they approved it.

[clasione]

I am actually surprized they haven't gone a little further with it by letting other than small business listing in....

Maybe they don't want to contradict the name "SBD" Small Business Directory....

I also thought I would see a bit of weight assigned to directory listings, but I haven't seen any cases where I can specifically note anything... (Like Yahoo Directory weight)

Has anyone noticed a weight assigned to SBD listed sites verses non SBD sites?

[seobook]

I dont see why they would put much weight on it.

it forbides many useful content sites and only promotes businesses.

why would search engines want to do that? sorta makes the search ads less appealing.

[clasione]

I have always felt that Yahoo does it as a way to promote submissions... I guess it would make some sence to let those sites rank well as they can atleast be sure that at sometime they were actually reviewed and excepted by their staff....