Idea Could Use Some Feedback

[mtheory]

We recently started a niche social network and have been thinking about ways of building members. We've hit the usual suspects like MySpace to reach members of our target audience but we now have funding available to take it to the next level.

Starting an affiliate program comes to mind but I've seen many other membership based sites waste a lot of money for low quality(untargeted) members that don't revisit or use the site.

My idea is a contest that would give away cash and prizes. The angle I think might work willl be to offer an initial first prize of $500 after the membership drive and add to the prizes as membership builds, based on the increase in members.

For example:

During the membership drive period we would add $100 to the grand prize and create a runner up prize of $150 for every 1000 member increase at the site.

So if we were to gain 25,000 during the drive the grand prize would then be $3000 with 25 additional prizes of $150 available.

Works out to be .27/member aquired.

Any thoughts?

[kgun]

Originally Posted by mtheory

My idea is a contest that would give away cash and prizes. The angle I think might work willl be to offer an initial first prize of $500 after the membership drive and add to the prizes as membership builds, based on the increase in members.

Money speaks, so I think that is a great idea.

[cgrantski]

I think you will get smacked with unbelievable numbers of people who spend their days looking for and signing up for deals like this. You'll be listed on the freebie and sweeps sites within a few hours; I've seen it happen in 20 minutes. You'll get huge numbers of new members who won't care at all about your site or your topic.

Been there.

[incrediblehelp]

The thing about social networks is they build on their own. What sets your network apart from others?

[nottheusual1]

Originally Posted by cgrantski

I think you will get smacked with unbelievable numbers of people who spend their days looking for and signing up for deals like this. You'll be listed on the freebie and sweeps sites within a few hours; I've seen it happen in 20 minutes. You'll get huge numbers of new members who won't care at all about your site or your topic.

Been there.

Ditto. High volume, low quality results.

[Susmita]

This strategy will definitely help you to drive more & more visitors. Me to having a program like member brings member. For that we grant prizes at different level depending on the scores. Different prizes like iPod Video Nano, Mobile etc. One member can bring as many new members. Depending on few criteria highest scorers get the prizes. But the problems we do face are more critical:

Members sometime to get a prize follow unfair means, like creating fake ids, and then joining as new members. Even after eliminating the maximum number of fake ids or bounce ids we know still few percentage of members do not exist at all. Regular cleanup of those fake ids demand a good time from the technical team.

Having fake members, or inactive members do affect your overall site activities. It does affect the revenue part. I am also trying to optimize this process to generate more valued members.

Looking forward to get more feedback from others.

[dbramley]

I think if your sites idea is good enough, you shouldnt need to offer a 'cash reward' for signing up.

Facebook never offered anything like this, people sign up and use it because its a great tool for them.

[bobchrist]

I think it is easier to get members if you're already active in a social networking site, for example if you're active in facebook or a professional network like linkedin and have good number of social contacts, you can send soft invitation to the people in your network, and more likely they will accept.

[WebHostAdvisor]

You might get new additions but will they be the targeted demo you are after?