Piczo & The Sound of the Crash
If you’ve read The Timer, you know the Online Club concept.
Piczo is a new club, which I looked at last Fall with Trinity, and which Sierra ended up investing in.
It is a site for teenage girls, and I hear that it is already at breakeven. Sierra owns a large chunk of the company for very little investment. Looks like a deal in which they can make some good money by flipping quickly, before the next social networking crash arrives. “Can you hear the drums, Fernando?” On the other hand, I tried advertising in Facebook recently, and I asked them to send me some statistics on CTR, etc. They sent me an email saying they are unable to provide anything of the sort.
Well, this sounds like the deal that will likely lead the crash, if the rather amateurish management does not know the basics of supporting advertisers with minimum ROI information.
