By: Jennifer Saba
Total revenue at Craigslist.org is expected climb 47% to $81 million in 2008, according to a new Classified Intelligence Report.
The free classified site could stand to make an additional $20 million, suggests Classified Intelligence analysts, if Craigslist makes a “few simple changes.”
Classified Intelligence in a 12-page report today estimated Craigslist revenue by studying the postings for one week in January and one week in March.
Craigslist charges $25 for recruitment ads in 11 of the 450 cities it covers. In New York City, there is a fee of $10 for real estate brokers and agents to place real estate ads.
Craigslist is a for-profit business and as Classified Intelligence points out, it does not publicly disclose results.
But Classified Intelligence put a pencil to paper and estimated that in 2004, the site brought in $9.3 million in revenue. By 2006, the revenue estimates rose to $55 million.
If Craigslist started charging for recruitment ads in just three more cities, such as Philadelphia, Raleigh/Durham/Chapel Hill, N.C., and Miami, the site could stand to gain an additional $20 million in revenue, said Classified Intelligence analysts.
The site could generate a total of $115 million in revenue if it doubled the cost of its recruitment ads.