Vine was once among the top five entertainment apps. The app that drew a large audience by just a 6 seconds video clip. What must have happened to its popularity? Feature of vine involved users attracting other users. The content created by the user became an addicting source of entertainment for the audience.
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Index
Founder Details
In June 2012, Dom Hofman, Rus Yusupov, and Colin Kroll founded Vine. The founder of the vine had the vision to create a tool for making six-second clips as a way to help people capture casual moments and memories of their lives and share them with friends, acquaintances, and with the world.
Competitor Analysis
Vine was in competition with rising social media platforms such as Instagram, Snapchat, and Youtube among many others.
- Since the introduction of the 15-second video-sharing feature of Instagram in June 2013, the experience of video-making has completely changed. Besides that, the ‘explore’ tab of Instagram proved beneficial for promoting celebrities.
- Platforms like Youtube launching a GIF creator in 2014 provided users with endless new experiences of exploring video making within itself.
- Moreover, Snapchat allowed sharing videos in personal chat.
- With the emergence of TikTok into the social media industry, the Verge called it “the closest we will get to having Vine back”. TikTok came into the picture a few months before the discontinuation of Vine. It has been 15 years since Youtube started, yet it continues to be the leading source of entertainment for people of all ages.
Revenue Model and Sources
There are various ways in which social media applications make money, and Vine used the same in order to increase productivity and usability among the audience. One of the major ways is creating, advertising, and promoting the company’s owned products and services.
Using visual media to promote the company’s crafts is a strong way of making money and being financially stable. Initially, short videos of vine lured the advertisers to showcase their products to consumers.
Vine became a source for keeping consumers interested in the advertising brands by conducting exclusive content contests. Bookstores also showcased their books available in their stores through the vine.
Funding and Investor Details
In October 2012, Vine was acquired by Twitter for $30 million. Since then it has been operated by Twitter.
Business Model
The most efficient way of becoming the best in the social media business is to make sure that the organization or company knows the audience. Only then will they be able to cater to the needs of the target audience. The business model of a social media organization organizes itself in order to provide services through social media, like promotion, interaction and makes a profit through such services.
Failure Analysis
- All these apps, Instagram, and Snapchat had their own unique way of engaging people with a consistent way of introducing new features and updates. They added different ways in which people could entertain themselves and others through the power of social media. That is where Vine might have had a disadvantage.
- For some, it could have seemed like a replica of the already existing wide range of applications.
- With a variety of social media applications, the one that stays put is the one that adapts to changes in the technology, tastes, and growth of the people and the environment that they are in. Vine was unable to grow with respect to these requirements, which could have been one of the major reasons for its failure.
- The inability to analyze the proper needs and wants of the audience can be one of the other reasons for the failure of Vine.
- Vine was unable to generate revenue for top social talents by drawing in advertisers and marketers. It has an unsustainable advertising model.
- Other social media platforms like Youtube had good monetization programs and at the same time, vine resisted monetization. Ultimately the most popular users making free content on the vine for years started to run other apps.
Possible Fixes
A ‘different than others’ feature was missing. Startups need to be dynamic by creating new experiences for users. Vine had no execution on their part; all they did was stick to a 6- second video clip feature when the audience was attracted to more.
It has been 15 years since Youtube started, yet it continues to be the leading source of entertainment for people of all the ages. Youtube and Instagram never stops evolving. Vine lacked a sustainable revenue model to keep the marketers as well as content creators in harmony.
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FAQS
What was Vine App?
Vine was once among the top five entertainment apps. The app that drew a large audience by just a 6 seconds video clip.
What was revenue model for Vine?
There are various ways in which social media applications makes money, and Vine used the same in order to increase the productivity and usability among the audience. One of the major ways is creating, advertising, and promoting the company’s owned products and services.
Who was the founders of Vine?
In June 2012, Dom Hofman, Rus Yusupov, and Colin Kroll founded Vine. The founder of the vine had the vision to create a tool for making six-second clips as a way to help people capture casual moments and memories of their lives and share with friends, acquaintances, and with the world.