Billions of dollars have been tossed media rich internet sites in the belief that the revenues would eventually turn from a trickle to a stream. But for those without a sound business plan the trickle has turned to mud at the bottom of the dotcom pool.

Share prices for on-line media companies have slumped and while analysts predicted a rash of acquisitions few deals have been done. It’s too difficult. Porn sites seem to be the only ones making money from content and the complex relationships between competing media providers is a deterrent to potential suitors.

As the casualties grew earlier this year I even feared for my own job as editor of nz.internet.com but was thankfully re-assured my US-based employers that they’re cash rich and remain on the acquisition trail.

The news was not so good for thousands of other journalists as their positions disappeared overnight in the great content crash. CNet last year took over long time technology publisher ZDNet then Salon.com and popular US financial site the Street downsized. NBC internet cut 600 staff, CNN sacked close to 1000, in January News Corp laid off over 200 from the on-line division of Fox Television closely followed by the New York Times which sacked 69 people from its internet division.

Returns on Web advertising proved unpredictable, untrackable and unhealthy. Projections by Jupiter, Forrester and others of record on-line advertising sales during 1999 did not pan out. Slow uptake of banner-style advertising and lower than expected click-through rates disappointed advertisers and website owners the world over. The advertising industry has failed to understand the web and talked itself up so high there was no safety net when it came time to cash the cheques.

Micropayments for downloads or pay-per-view content models have proven untenable and those with short memories are revisiting the ‘subscription’ model, which failed miserably a few years back when publishers first tried to squeeze a dollar out of an audience raised on free content.

Demand for richer media experience including streaming content and a growing discernment about where to go for a reliable news and entertainment fix is adding to the pressure.

As is often the case at the bleeding edge the smart players eventually learn from their own and everyone else’s mistakes. Out go the cocky high-flying executives and teenage geeks who demanded more than their value without delivering to the bottom line, in come seasoned business managers, new business models for new media and the latest generation of web automation technology.

When the dust from the shake-out settles people will still want to be accurately informed and impressed when they visit any worthwhile web site. Rather than being deterred by the dotcom disasters why not come up with your own recipe for sticky content focussed on your community of interest?

If you want customers to come back get them involved. Provide takeaway value Differentiate yourself. Let people know who you are and how your business works. Hire a local journo to write up success stories about people who are using your products or services.

Include essential information about your industry, invite comment and advice from consultants, suppliers and key customers. Link to them and to relevant stories or news feeds. Put your press releases on line. Inject humour and personality, keep it lively and current. Make your web site your industry newsletter and email updates notification as it changes.