{"id":106,"date":"2016-09-02T05:03:37","date_gmt":"2016-09-02T04:03:37","guid":{"rendered":"https:\/\/www.feverbee.com\/roi\/?p=106"},"modified":"2023-04-07T10:20:39","modified_gmt":"2023-04-07T10:20:39","slug":"cost-of-investments-process-costs","status":"publish","type":"post","link":"https:\/\/www.feverbee.com\/roi\/cost-of-investments-process-costs\/","title":{"rendered":"Process Costs"},"content":{"rendered":"<section class=\"content standard\"><div><\/p>\n<p><aside class=\"\"><\/p>\n<h1>5<\/h1>\n<h2>5.3: Process Costs<\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-7\" src=\"\/wp-content\/uploads\/sites\/2\/2016\/09\/sponsored-by-sap.png\" alt=\"Sponsored by SAP\" width=\"113\" height=\"65\"><\/p>\n<p><\/aside><\/p>\n<p><article class=\"\"><\/p>\n<h3>Process costs are the non-staff\/technology costs incurred in the day-to-day running of the community. These vary considerably by the community, but may include:<\/h3>\n<ul>\n<li style=\"font-weight: 400\"><b>Event costs<\/b><span style=\"font-weight: 400\">. Many online communities host online and offline events. The cost of online events might be negligible, but the cost of offline events can range significantly from a few hundred dollars to millions of dollars. Many larger community events have spun off <a href=\"https:\/\/techcrunch.com\/event-type\/disrupt\/\">into their own businesses<\/a> for the organization<\/span><span style=\"font-weight: 400\">.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Content creation<span style=\"font-weight: 400\">. Creating high-quality content may incur costs in the design, acquisition of images, promotion, or acquiring rights to specific material. Larger online communities tend to create more comprehensive and professionally developed material. Creating this content can involve fees ranging from copywriting, video production, etc.<\/span><\/b><\/li>\n<li style=\"font-weight: 400\"><b>Content licensing fees<\/b><span style=\"font-weight: 400\">. Some online communities license content from other channels to provide fresh content. These content licensing fees become an ongoing, recurring, cost of the community. This is an increasingly rare practice due to recent updates in search which punishes duplicated content.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Member acquisition programs\/advertising<\/b><span style=\"font-weight: 400\">. Member acquisition programs are joint partnerships, sponsorships, advertising, database acquisition, or any paid activity that involves acquiring members to join the community. These are also increasingly rare in modern community building efforts.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Member incentive programs<\/b><span style=\"font-weight: 400\">. Member incentives programs are typically related to competitions and rewards (often financial) for joining or participating in a community. Occasionally, these also relate to free products or services if members perform an action (e.g. refer a friend).<\/span><\/li>\n<\/ul>\n<p><\/article><\/p>\n<p><\/div><\/section>\n<section class=\"content standard\"><div><\/p>\n<p><aside class=\"\"><\/p>\n<p><div class=\"cta share\"><div><h3>Share Your Efforts<\/h3><p>Let us know what you measure.<\/p><p><a class=\"button\" href=\"mailto:richard@feverbee.com?subject=Share%20Example\">Share With Us<\/a><\/p><\/div><\/div><\/p>\n<p><\/aside><\/p>\n<p><article class=\"\"><\/p>\n<p><span style=\"font-weight: 400\">Note the line between a one-time and a recurring cost can be blurred here. Therefore, we have not distinguished between the two in our spreadsheet package. A member acquisition program or incentive program might be run to launch a community or used throughout the community\u2019s existence if it proves successful.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td rowspan=\"2\"><b>Process Costs<\/b><\/td>\n<td><b>One-time<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Member acquisition programs\/assets<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Event costs<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Online and off-line outreach programs<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Member incentives<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<tr>\n<td><b>Ongoing<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Member acquisition programs\/assets<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Event costs<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Repurposing existing assets &amp; new content creation<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Licensing fees for outside content<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Online and off-line outreach programs<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">Member incentives<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400\">A sample of typical costs incurred by an enterprise platform can be seen below. Your costs for each of these may vary significantly.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"screenshot alignnone wp-image-422 size-full\" src=\"\/wp-content\/uploads\/sites\/2\/Screenshot-2016-08-31-11.54.04.png\" alt=\"screenshot-2016-08-31-11-54-04\" width=\"1301\" height=\"214\"><\/p>\n<p><\/article><\/p>\n<p><\/div><\/section>\n<section class=\"summary\"><div><article><h2>Summary<\/h2><\/p>\n<ol>\n<li>Process costs can consume a considerable amount of the organization\u2019s budget.<\/li>\n<li>Process costs increase as a community grows. For example, developing more professional content.<\/li>\n<li>The link between one-time and ongoing costs is blurry. We have not distinguished between them here.<\/li>\n<\/ol>\n<p><\/article><\/div><\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-106","post","type-post","status-publish","format-standard","hentry","category-uncategorised"],"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/posts\/106","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/comments?post=106"}],"version-history":[{"count":0,"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/posts\/106\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/media?parent=106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/categories?post=106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.feverbee.com\/roi\/wp-json\/wp\/v2\/tags?post=106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}