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Friday, 9 January 2009

A loose network for exchanging traffic

One of our invested companies is in the area of analytics for applications including games. In the course of our discussion in developing a unique value proposition, we realise that current analytics don't do much beyond reporting statistics. That is all fine and good but we think there is an opportunity to do more.

We realise that many developers, including those we funded, do not cross leverage on each other's traffic. We think that if the right infrastructure, mechanisms and incentives can be developed, we can enable an open exchange where developers can collaborate to cross promote each other.

Our starting point is to treat analytics as a social object that can be shared. An exchange can then be built on top where developers can ask the relevant partners to grow their traffic. For example, say you are doing well in Singapore but is seeking to further your growth in Taiwan . From the exchange, you noticed another startup that is doing well in Taiwan. You click a button to offer to promote his application in exchange for him to do the same thing. The taiwan developer receies your offer and checks out your analytics. He thinks it is worth an exchange and clicks ok.

These are our current hypothesis. We are not sure this makes sense or not. However, we think that enabling developers to help each other grow is a good direction. While there are currently such deals being made privately, we think an open and transparent exchange can bring greater value.