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[return to "Had a call with Reddit to discuss pricing"]
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1. willio+a5[view] [source] 2023-05-31 17:55:18
>>robbie+(OP)
Wow, that price is insane. To me, that's pretty clearly a shot at any competitor apps for Reddit. Purely anti-competitive behavior here, which to me is silly. Let other apps pop up to better serve your users. At the end of the day, they are still your users and you might learn things from the other apps.

Who ever came up with that price is looking for short-term profits over user happiness and long-term growth.

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2. kenhwa+eA[view] [source] 2023-05-31 19:54:41
>>willio+a5
On the other hand, I think the price is damn steal. If Apollo's numbers are to be believed, Reddit is willing to sell its traffic at ~$2.50/user/month. That's half the value of a pre-Musk Twitter user and a third of the value of a Facebook or video streaming user.

So, if you already have a sophisticated ad tech and sales team, you'd be able to pull 50%+ profit margin without having to worry about running the infrastructure for content.

That being said, there's maybe only a handful of companies with a more competent ad tech/sales team than Reddit, and Reddit's is pretty damn bad. So while the numbers make sense, the strategy does not given the competencies available in the market they're trying to sell in.

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3. fooey+RA[view] [source] 2023-05-31 19:57:10
>>kenhwa+eA
none of the 3rd party apps are real companies with resources

they're passion hobby projects that'll disappear rather than turn into a job

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4. kenhwa+PL[view] [source] 2023-05-31 20:41:03
>>fooey+RA
You're still allowed to use the API for passion/personal use. They're "passion hobby projects" trying that collect revenue by selling the app to other users. It's disingenuous to pretend they're not also a business.

If you're building your business to be completely reliant on another unsustainable, unprofitable business, don't be too surprised when they ask you to help row or get off the boat before it sinks.

For API restrictions, Reddit has been in a doomed if they do, doomed if they don't situation for a while now. I think there's about a thousand other better decisions they could've made before being forced to make this one about API usage, but I also don't see their numbers and their time simply might've already run out.

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