Enough Already About Charging For Content: How To Make The Free Model Work
Written by Free Audio Books - Free audiobooks on September 25, 2009 – 10:42 am -traditional media businesses struggling to adapt to the changing business realities fueled by the internet and the macroeconomic environment. Many companies are trying to protect their bottom lines by putting up pay walls. However, this plan ignores two simple facts: (1) consumers are also struggling during these tough economic times; and (2) no matter how many businesses charge for online content, there are always going to be free competitors that will attract those same users.
Publishers of mostly free content like Yahoo! stand to benefit when media companies flip the pay switch. But the reality is that the paid model simply won’t work for many of the media businesses now seriously considering it because their users not only want the content to be free—they expect it to be free. Look no farther than the music industry for an example of what happens when content owners discount the behaviors and expectations of their most valuable users. PaidContent.org
Tags: paid content
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By Jeff Kesselman on Sep 30, 2009 | Reply
Hmm.
Like the simple fact that FaceBook is ONLY now breaking even with a user base equal to the entire population of the US? Like the fact that the majority of that income coems from ads for FaceBook games placed on the FaceBook site? Like the fact that Raph Koster’s Metaplace has yet to break even?
Or like the fact that the biggest online earner is STILL WOW by many many orders of magnitude, despite these much vaunted “free options.”