Inevitably when you write an article that cuts through ALL the social media and hype bullshit with the actual ugly business numbers, people are gonna think you’e shorting the stock.
But just like when I wrote honestly about the carcass penny stock Options Media Group Holdings, Inc. (OPMG), I am not short and I have no intention of shorting a stock that is mid-range…I simply get fed up when companies bend the truth and manipulate so as to give their stock price better odds of rising…and the saddest thing is management bullshit works…for a while.
Last time I wrote an in depth research report about QuePasa, I was exposing the fact that this “hot social media company”, pitching itself as “the Facebook of Latin America” had an astounding 96% of their revenues come their roughly 40% owner as he meticulously had them sign contracts promoting his steel company & Mexican/American lobbyist group…no joke.
They were only tests for the big real contracts later said longs.
None of the current revenues matters, only the fact that they keep signing up more and more people to the platform, promoter Ian Cassel said.
Wait til they introduce their social gaming, this is Zynga for Latinos, the gullible said.
Well QPSA dropped outlier-ly on a big bull day for the markets just a few days ago because several months after my initial expose and a 50% stock drop, their business is falling apart and they can’t hide their incompetence any longer as the numbers they gave during their presentation with analysts made everyone who understands anything about growth want to puke:
1) Pageviews declined from 230.9 million in May to 107 million in June (decline of 54%)
2) Monthly unique visitors declined from 16.3 million in May to 8.1 million in June (decline of 50%)
3) User base added 680k in May vs 1.9 million in June (decline of 64%)
The fact is Quepasa is nothing more than a giant spam machine, trying to get as many registered users as possible and then doing nothing for them but promoting junk in a manner reminiscent of banner ads which people learn to avoid over time.
To test out my theories, a little while back I signed up to Quepasa’s “service” as Jose Diminguez and all I got were some Playboy Mexico ads and lots of emails telling me to vacation in Mexico. (No thanks, stop trying to get everyone drunk and sunburnt and fix your contaminated water/crime rate/business practices if you want more people to visit.)
That kind of marketing is not the future of social media.
It’s not the future of the internet.
Because it’s not useful.
Developing a social game to justify their multi-hundred-million dollar marketcap does not excuse the fact that this business model sucks and all the hype surrounding QuePasa is utter bullshit.
I look forward to the day when more people wake up and the bigtime steel guy says enough of this internet crap and throws in the towel.
All I can say now is thank you to Quepasa, for your incompetence and misinformation has taught me valuable lessons as I develop infinitely smaller but infinitely more useful and greater potential longterm platforms like people are loving the new trading toolsand …which is why our traffic is not dropping 50%, it’s growing steadily and
It’s ironic that ProfiDing is fast on its way to having more REAL revenues than Quepasa…we don’t need some rich guy funding our operations, we provide a quality product that people need….that’s the future of the internet…too bad more stock market/trading websites learned this lesson rather than following Quepasa’s good-for-valuation-right-now flawed model.
This is what being useful is all about, apprende: