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Spiegel Online

Economics
Edgar Atukeren
MBA
SBS (Swiss Business School)
Alex Rau, Daria Revanchenkova, Arsa Grgurevic

Table of Content:

1 Background
2 Assignment
3 Interactive Classified Advertising in Germany
4 Choosing the right segments
5 Business Idea and Concept
6 Competition
7 Financial Projections
8 The Problem
9 Possible Solutions
10 Conclusion
11 Recommendations and Lesson Learned

Background

Spiegel Online is one of the leading news Web sites in Germany and other German speaking countries, as Austria and Switzerland. It is a part of a Spiegel Group, publisher of several print products in addition to Der Spiegel and producer of the Spiegel TV Magazine. The Spiegel Group was also active in television film production. It took first steps toward internationalization by English-language editions of Spiegel special and the monthly publication of magazines in Hungary and Poland. In 2005 the Spiegel Group had more than 1,400 employees. Total revenues of the Spiegel Group were approximately around 322 million euro, of which Spiegel Online contributed 15 million euro. 90% of revenues resulted from online advertising, making this the most important source of income for Spiegel Online. The webpage is covering various topics as politics, business, panorama, arts, science, education, entertainment, sports, and travel. Spiegel is also a major contributor to the Hamburg Media School. It organized as a public-private partnership and offers MBA in Media Management, film, and journalism. In their second year, MBA students typically engaged in consulting projects with major media companies. Assignment

This year the students must research on 2 questions:
1) Were there any chances for an economically successful entry into the market for interactive classifieds? 2) What would the business model look like in detail?
They had only 2 restrictions: anything in the adult segment was seen as inappropriate and the...
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