The media pundit's pundit. Written by NYC insider Jeff Jarvis, BuzzMachine covers news, media, journalism, and politics.
They’re forever blowing bubbles
: Loved this phrase in Om Malik’s coverage of the big injection of VC bucks into Vonage today:
Citron said Vonage was cash-flow positive excluding the costs of acquiring new customers, according to the newsreport.
That’s like saying the company is cash-flow positive, excluding expenses.
The nice thing about subscriber models is you only need three numbers to model them: subscriber acquisition costs, average margin per customer per time period, and churn rate. But you do have to know all three….
Yup, being in the mag biz, I have a healthy respect for subscriber acquisition costs!
I thought for a minute that you meant “Viet Cong” when you wrote “VC.” Considering what the news has been the last two months, you never know.