The OnMilwaukee.com story
When you first started your business, what was the biggest obstacle you faced?
"In 1998, many people still didn’t believe in the Internet or thought it was a passing fad. People told us that an online magazine in Milwaukee would never work, that people in this town were too conservative. We had to change a lot of attitudes, stay positive and put out a great product with innovative content. Of course, starting a business with absolutely no funding was tough, but we made it work."
How was your business initially financed?
"At first, from our credit cards and sweat equity – those Sunday night staff meetings and financial discussions at Andy’s East Side apartment would make great content for a ‘Behind the Music’ documentary. But in the beginning, it was still inexpensive to run a small site. Our needs grew as we added office space, servers and employees."
Did you suffer through some lean times when you almost gave up?
"Absolutely. Before we secured funding from our investors, we felt like we were hitting a brick wall. We had momentum, but couldn’t grow. But we believed that this market needed OnMilwaukee.com. We’ve learned a lot of lessons, and thanks to our great employees, we have been able to change, ebb and flow and stay faster and more fun than others. After Sept .11, it got tough again for everyone. But we buckled down and perservered, without laying off a single employee."
Did anyone give you any advice that helped you grow your business?
"Our parents have been very supportive, encouraging us to take this chance while we had the youth and attitudes to pull it off. The community has been very supportive too, and our readers assure us everyday that we are doing something good."
Was there a turning point in your company’s survival?
"The first turning point was meeting our investors. It turned us into a real company with real money to grow. The second turning point happened around the spring of 2002, when we began to pull out of the minor media recession and watch readership grow, and our sales team landed new contracts. The rebirth of Milwaukee has also helped us emerge."
How does your Web site generate
revenue?
"Mostly through display advertising, but also through Web design, RummageWorks (our online classifieds company), hosting, eCommerce and consulting."
Have you added any other services since your Web site was started?
"Last summer, we launched RummageWorks, a joint venture between OnMilwaukee.com and Lightburn Designs, to provide online classifieds (jobs, classifieds and personals) solutions both for our site and as a model for resale. OnMilwaukee.com, itself, is continually building and refining our products."
How important is advertising to your business model?
"It was more important when we first took off, as we needed to build our core of users. Now, we primarily use public relations, buzz and event sponsorship as the means to advertise our business. Traditional and consistent advertising, though, is always important, and we continue to promote OnMilwaukee.com through several radio, print and television entities."
Who are your major advertisers?
"Midwest Airlines, Potowatomi Bingo Casino, Milwaukee County Transit System, Milwaukee Repertory Theater, AOL/Time Warner and countless local businesses, festivals and events."
What are the demographics of the people who visit your Web site?
"Young, young-thinking, hip, educated … just like us!"
How has your company survived with an Internet-based business, when so many others failed?
"We never considered ourselves a dot-com business. From the beginning, we have operated like any other brick and mortar startup, being frugal even when the checking account is full. We try not grow beyond our means and remember our most valuable assets are the people who work with and for us."
Have partnerships helped your business?
"Yes! Our relationships are what have made us. From Time Warner to Young Professionals of Milwaukee (YPM), to Milwaukee County Transit System to The City of Milwaukee, they are all important. Others include: Westown Association, Milwaukee Downtown (BID #21), East Side Association, Greater Milwaukee Convention and Visitors Bureau, United Performing Arts Fund (UPAF), Metropolitan Milwaukee Association of Commerce (MMAC), Rainbow Summer and many, many others."
Do you have any plans for expansion or changes in the next year?
"This summer, we are launching a fresh redesign of OnMilwaukee.com that will be faster, more informative and even easier to use."
If you were starting your Web site today, knowing what you know now, would you do anything differently?
"It’s easy to look back and say, ‘We would have done this or that.’ But we know we’ve learned and adapted along the way. We’ve taken huge risks and helped the Milwaukee media market evolve. We probably would have waited until the first version of the magazine/product was completely up to snuff before launching our initial advertising campaign."
Ten years down the road, how will the Internet be different than it is today?
"If we knew that, we’d already be a dot-com millionaire! We do know that flexiblity and risk are just day-to-day concepts. We look forward to greater portability, access and more personalization. Great people and service will always be important."
Do you have an exit plan?
"Keep on keepin’ on. Of course, media companies tend to thrive when they partner with a bigger entity. However, we’re doing just fine on our own as we continue to grow our readership and marketshare. We’re always open to listening to new collaborations, partnerships and strategic alliances. Many of these have helped us become the company we are today."
June 27, 2003 Small Business Times, Milwaukee
