Overview of the problem
Clubhouse creators have difficulty monetizing the time and energy they put into growing their audience. The platform’s infrastructure only allows for donations and doesn’t give creators the power to monetize their content.
Rally creators are often faced with a challenge: convincing their fans (who are often not as well versed in the crypto space) to pay cash for a digital coin when most other creators offer them physical goods (merch, limited edition items, etc).
Gating Clubhouse rooms with creator coins. This lets creators monetize their rooms and incentivizes fans to buy their coins and hold them over a long time frame.
- Jeremiah Owyang (JOW) creates a room with paidrooms.ch. The topic is “Come pitch your startups” - he’ll offer feedback on startup pitches and will potentially keep in touch with the founders if he hears a good pitch.
- He sets the minimum number of coins held to join the room to 10.
- Founders who see the asymmetric upside in attending his room buy 10 coins and sign up.
- The founders who attended can choose to sell their coins afterward, but recognize that Jeremiah will be hosting more gated rooms in the future and since they gained a ton of value from the session, will hold onto them.
Since the rooms are gated, fewer people attend overall compared to average rooms, which makes the setting more intimate. Often there are journalists or unwelcomed guests in public rooms, but with gated ones, the host knows that each attendee is one of their supporters, so they are more open and authentic in conversation.
Here are a few stats so far:
Views (home) = 5986
Rooms started = 231 (room info was filled out but the user did not sign up)
Rooms created = 56 (user signed up and the room was created successfully)
Rooms that went live = 17
We’re hoping that with a bit of funding and support from the Rally community, we can get this in the hands of more creators.
We want to help creators understand their core audience and engage with their top supporters. The platform currently lets creators make rooms, track payments, send their attendees SMS messages, and partner with co-hosts. We plan on building out more Rally functionality within the platform, like being able to purchase rooms with creator coins and give live donations. We also plan on building out a robust set of analytics so that creators can track their top supporters and the rooms that are most engaging. With enough data from different types of creators, we can start making automated suggestions on room types and their pricing.
- The cost of hosting the platform is ~$130/mo
- The cost of paying our engineer is ~$50/hr. With big changes being made to the platform over the next month he will be working ~130hrs. Those updates include adding the ability to purchase access to a room with creator coins (as opposed to how gating functions currently with a minimum required coin count) and implementing the ability for audience members to give donations and get rewards live (i.e being brought up to the stage).
- Afterward, we would just do maintenance and update the platform based on feedback from Rally creators. This would be in the ball-park of ~40hrs of engineering work for the month.
Total cost for the next two months = 130x2 + 50x120 + 50x40 = $8760 in RLY
These next two months will be a recursive process of approximating PMF with the help of feedback from creators. We will be closely monitoring their usage and any friction points they experience while using the platform. We will also be getting input on which additions would be most useful to implement (i.e. room analytics, RLY donation sounds, etc).
The Impact on Rally
There are 26 active Rally creators Clubhouse. Many of them own large clubs or are influential members of large clubs (Wellness Club (19.4K), Talk Club (139K), Human Behaviour (503K), Womxn in Business Club (320K), Startup Club (481K), Cash in your story (25.4K), etc).
Let’s assume each creator hosts 1 room per week and each room gets an average of 100 attendees.
Let’s also assume 10% of their audience would engage with gated rooms.
26 creators * 8 weeks * 10 attendees = 2080 attendees
Let’s also assume that on average, attendees must buy 10 coins to join these rooms.
2080 attendees * 10 coins = 20800 coins
Based on today’s coin prices, the average creator coin for these 26 creators is ~$5.50.
20800 coins * $5.50 = $114400
We also believe that the network effects of introducing 2080 people to Rally could be much larger, as they might be inclined to purchase coins from other creators on the platform or tell their friends about Rally. Since that is difficult to quantify, we won’t include it in the calculation, but it could have ripple effects on the coin valuations of other creators.