Formspring Planning New Expansion to Compete With Facebook and Twitter
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Transcript of Formspring Planning New Expansion to Compete With Facebook and Twitter
FormspringPlanningNewExpansionto CompeteWithFacebookand Twitter
Popular social Q&A websiteFormspring has announced anew capital infusion of $11.5million from its leading investorRedpoint Ventures.
In addition, the company isplanning to implement a newpublisher feature designed tofurther grow its audience: a“Respond” button that allowspublishers to pose questions ontheir website and in turn,allows visitors to postresponses to said questions.
Once answered, the questionresponses can be transmittedto social media sites likeTwitter and Facebook (notunlike normal Formspringanswers) with the keydifference being that the linksgenerated will direct trafficnot to a Formspring page butrather to the publisher’s ownwebsite.
By essentially usingFormspring’s Q&A format as atraffic generator, publisherscan tap into the company’sregistered user base whichcurrently stands at 20 million.
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Moreover, many of those usersappear to be activeparticipants as evidenced bythe surge in answeredquestions from 1 billion lastSeptember to now roughlytopping 2 billion. So not onlywill publishers be able to tapinto a vast quantity ofpotential visitors, butengaged, quality ones as well.
Getting back to funding,besides the $11.5 million fromRedpoint, Formspring hasraised additional capital fromBaseline Ventures and variousother individual investors tobring their grand total to $14million. Plans for the new fundshave not been disclosed yetbut there have been hints thatit would be advertising based.
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