This may not be of interest to my WordPress followers, but anyone who is on Steemit should find this valuable.
A few weeks ago I realized I had not won a @photocontests contest in awhile. I thought maybe it was due to my use of SmartSteem to promote my posts. Then I noticed that @juliank, the sponsor of the contests, also uses it on occasion.
It turns out my photography is just crappy.
But it got me wondering, if someone as huge as @juliank uses it, it must be profitable, right?
I never actually did any calculating, I just took @smartsteem ‘s word for it that if you send them any amount you will earn 180%-216% (15% ROI) of that amount (after 25% curation).
So I decided to do an experiment. I decided to keep track of a week’s worth of my posts. I would spend various amounts on each post and see what the payouts ultimately were.
I made a spreadsheet for all the info and calculations and entered in the data once the votes stopped rolling in. Then I reran the numbers once the payouts occured. Most of the time they changed because of the fluctuating value of Steem Backed Dollars (SBD).
As soon as I made a post I upvoted it. Then I visited SteemBotTracker.com and used the SmartMarket bot to purchase votes.
I then waited for the votes to stop rolling in, or for the refund to come back. SmartSteem returns whatever it can’t spend on votes. I would then subtract the refunds from the amount spent to calculate how much I actually spent.
I did have to re-enter my bid on a few occasions. I only did this if the returned amount was 80% or more of the total amount allocated.
I then recorded the reward in SBD, subtracting my upvote amount from the total, since that would be there ordinarily.
I didn’t break down the votes by whether they were from SmartSteem voters (you can find out from your SmartSteem profile) or organic votes. I assumed the organic votes were harvested from the exposure from the SmartSteem votes. This may not always be the case, but for this experiment I made that assumption.
I also recorded the Steem Power rewards. It was not possible to calculate a rate of return for these since I only spent SBD and not STEEM in this experiment. I converted the amount of SP into SBD at the end just to see what difference it made and it made quite a bit of difference.
Overall I spent $39.203 SBD with an initial return of $38.914 SBD and 11.37 SP.
Actual return in SBD was $29.934. This was a 23.64% loss.
SP return was 10.246. I converted this to SBD (1.39 SP/SBD) and found the equivalent return to be $14.27 SBD.
Adding the total return of SP and SBD gave an ROI of 12.77% ($14.21 SBD). Given that SmartSteem has a flexible ROI I would call this close enough to the 15% usually quoted.
Pros of SmartSteem:
Gains user post exposure by getting posts into “trending” or “hot” categories.
Gains user followers.
It’s easy to keep track of votes and their total value on the SmartSteem site.
Great customer service through their Discord Channel. The few times I have had issues with refunds, @TheRealWolf has been more than willing to help.
You can buy upvotes for any post, even if they are not yours. This allows you to do a little undercover charity work for smaller minnows or people working for a cause.
If you are hoping for a positive return just in SBD you will be disappointed (unless SBD value is on the rise). I think this very thing is the reason SmartSteem has had some negative press lately. The guy spreading the slams doesn’t understand how the returns work.
Sometimes you have to send your bid a couple times to get it through. This is more of an inconvenience than anything else.
While my SBD return was a loss, overall return was a gain when one considers SP as well.
SBD dropped in value 24% from the first post to the last payout. This definitely had a negative impact on the results. In fact it lines up exactly with the difference between initial returns and actual returns.
SmartSteem is definitely not a get rich quick scheme. Like anything on Steemit it takes patience and time. It does however offer an easy way to snowball returns for quicker results. You don’t have to buddy up to some whale anymore for decent payouts on your posts.
Overall, SmartSteem is an easy to use tool to gain Steem Power, SBD, and followers. It is a great way for minnows to grow into dolphins and whales quicker than simply waiting for the system that is Steemit to find them.
If you want to get in on the action and give me a little bit of credit, use my link to join: https://smartsteem.com?r=driptorchpress
Thanks for reading!