Many publishers focus on converting visitors into subscribers, but there’s another key bracket: people who want to view a premium article or video, but not enough to sign up for a subscription. Fewcents, a Singapore-based fintech startup that enables publishers to make “micropayments” for individual content, announced today that it has raised $ 1.6 million in seed capital.
Articles, videos and podcasts can be monetized with just a few cents. It accepts 50 currencies and is designed to serve as a complementary revenue stream for ads and subscriptions. His current clients include India’s Dainik Jagran with a readership of 55 million; Indonesian news site DailySocial; and streaming video site Dailymotion. The company, which makes money from revenue sharing with digital publishers, has also partnered with Jnomics Media to expand in Europe.
M Venture Partners and Hustle Fund participated, as did angel investors from some of the leading fintech, adtech and media companies: Koh Boon Hwee (former chairman of DBS Bank); Kenneth Bishop (former executive director of Southeast Asia on Facebook); Jeremy Butteriss (Head of Partnerships at Stripe); Shiv Choudhury (Partner and Managing Director, Boston Consulting Group); Francesco Alberti (former APAC regional sales director for Bloomberg Media Distribution); Lisa Gokongwei-Cheng (President of Summit Media); Prantik Mazumdar (CEO of Dentsu), Saurabh Mittal (Chairman and Founder of Mission Holdings) and Nitesh Kripalani (Former Director and Country Head of Amazon Video India).
Fewcents was launched last year by Abhishek Dadoo and Dushyant Khare (pictured above). Dadoo’s former startup Shoffr, an online-to-offline attribution platform, was acquired by Affle in 2019. Khare worked at Google for 12 years, including director of strategic partnerships in Southeast Asia and India.
In an email, Dadoo and Khare told . that only 1% to 5% of active users of publishers are willing to commit to a monthly subscription. The majority are casual or referral users, and publishers rely on advertising to monetize that traffic.
Content creators are experimenting with micropayments, and other services include Flattr, which allows users to make one-time contributions, and Axates pay-per-article tools. However, publishers are still debating how effective the model is, and last year . reported that Google decided not to launch a website-typing feature.
To successfully implement a pay-per-content model, publishers not only need to create compelling content, they also need to make it extremely easy for users to pay for it. For Fewcents, this means solving three key challenges, said Dadoo and Khare. First, they need to create a ubiquitous platform because casual users don’t want to sign up for a new service every time they visit another site. It must also accept cross-border payments in local currency using the most popular payment methods such as digital wallets. And publishers need to be able to manage digital rights, e.g. B. how long someone has access to content.
Publishers also need to set price points that won’t turn buyers away but generate enough revenue. Currently, only a few cents use existing traffic data to manually rate any content. “Based on the supply-demand curve in each region, we change the price retrospectively for the best sales results,” said Dadoo. “In developing our AI algorithms, however, the intent is to dynamically propose pricing based on the geography and semantics of the content.”
Khare said that by unbundling content, Fewcents can also provide deeper data than pageviews to understand the preferences of specific markets and user segments and to develop bespoke “micro-bundles”. He added that the goal of Fewcents is to be able to automatically recommend customized content packs to each user.