The StoryMaster On Gift Points

January 2002 Update: This piece is a little outdated, since the item in question was removed by its author. I do, however, still enjoy re-reading the item and consider it one of the better rebuttals I've had to make. Plus, it's got an awardicon from special friends so I certainly can't remove it or hide it away!



I rarely make a statement. I have, however, recently found an item on Writing.Com worth making a statement about. It provides truly unfounded, ungrounded and wholly inaccurate depictions of the Writing.Com Gift Point System. The item this responds to was removed by its authors.

Writing.Com will not censor content; regardless of its accuracy or intention. All users have the right to voice their opinion. This sometimes leaves me in an awkward situation. Finding the time to refute and rebuke the various untruths abound in the community is not only difficult, but is simply impossible.

This article attacked what I believe is one of the most unique and interesting aspects of Writing.Com; assisting a community to thrive in the barrens of Cyberspace.


Excerpts from the item I am responding to are in italics.

What started as a simple way of saying “thank you,” gift points have turned into a money making scheme for Writing.Com.

First and foremost, Writing.Com is a business. We do not and have not ever hidden that. We are here to generate revenues and in short order, we are here to be profitable. Our members should feel more confident knowing this. Building a portfolio here takes precious time and devotion; but the rewards are clear and worth while. Isn't it nice to know we plan to be here for a while too?

As a business, we have been and plan to continue creating, innovating and providing features, tools and utilities that are worth small, reasonable fees. We plan to introduce and sell products related to Writing.Com, Reading and Writing.

Generating revenues is the goal of any organization. Even non-profits need to make money to spend on their causes and expenses including the payment of the average non-profit CEO salary; $350,000 per year.

Writing.Com spends its revenues on its cause; providing a FREE, fun, useful, interactive community on the Internet for readers and writers. We just don't want a tax break for doing it; that means we're not "non-profit".

Second, from our initial introduction of Gift Points, we explained that members would soon be able to use them to purchase things within the site. Without a way to spend them, there is little point to the Gift Point.

Third, Gift Points are still and will continue to be a great way to say "Well Done!" for an item that is well written or moving. They are still an excellent way to say "Thank You!" to the fellow author who helped out with a grammar problem or pointed out a spelling error in a member's literary work.


The value of the gift point is dropping. Yes, dropping.

No. Not dropping. The value of gift points is *not* dropping. The value of the Gift Point is:
         10,000 Gift Points = $1.00 US

Of course one may not "cash out" Gift Points so to speak; but members may use them in various ways throughout the site. More ways to spend Gift Points will be added as time rolls on.


The major problem is that Writing.Com generates gift points. ... And the more generated un-backed points, the more worthless they are.

Just because some points were not purchased with cash does not mean they are not "backed". Writing.Com generates Gift Points in exchange for page view traffic and participation from its members.

For example, a Registered Author on Writing.Com can earn a total of 1,440 Gift Points for logging in everyday of a year; or 14.5 cents. These points are "backed" by the advertising the members' page views and participation generate; also, the more members there are interacting together, the more interaction there will be.

The points awarded by Writing.Com Upgraded Membership Contests are backed by the number of new Upgraded Memberships they generate. Compared to most contests that offer nearly $500 in prizes, our requirement of a $15.00 3 Month Upgraded Membership is extremely reasonable. Our members do realize and are taking advantage of this!

Gift Point contests run by Writing.Com members are funded by Gift Points those members purchase themselves or accumulate from other members (who probably purchased gift points).


Look at the bid section. Right now bids are running in the 150-160-point range. Do you think that they were always this high? No, they weren’t.

Of course they weren't; but a very key point is being missed. Simply: at 150-160 points, the bids are severely undervalued. (Feb 2004 update: Bids currently run around 1,500 to 2,000 Gift Points, which is about where they should be!)

Bids should be much higher, and as users realize this, they will become much higher. That is not the devaluing of the Gift Point; it is the increasing value of the advertising position. That is basic economics. We do not rotate through *all* bidclick bids to limit the supply of advertising space; thereby increasing the demand. Supply and Demand; Economics 101.

The value of a Writing.Com T-shirt has not changed. It's still the same number of Gift Points and clearly converts into US dollars. This is the same with Upgraded Memberships, Writing Kits and now, magazines. Additionally, we will be offering a "cash" option for purchasing magazines so the "conversion" rate will be apparent there as well.


A friend stated that “This site is no longer a fun, free publishing site. It has turned into a Writing Feudalistic System.”

No, the site is still very fun; and it is, in fact very free. Members may post their items, as many as they'd like, for free. Users may reply in forums, add to their journals and interact just as every other member does. For free. But for free, they have ads, no extended information about their items, and can't upload images. None of that was ever free.

So what your friend MEANS to say is that the site is bigger now. There's a lot more to do and some people, those with a few extra dollars to help support the site, can do more than the people who can't.

Since it's bigger, it's harder to wave one's arms in the air and be noticed. It takes more work; it takes more time; and above all, it takes more dedication and devotion.


There is a way out. A possible solution to becoming the first web site ruled by a monarchy. Enforce a tax.

Huh? I don't believe in the "take from the wealthy; give to the poor"; that would never happen here.

Respectfully,
~~ The StoryMaster @ Writing.Com


(Reviews and ratings of this item are appreciated.)