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Subject: No Subject
From: Chinwag
Date: Fri, 18 Jun 1999 21:37:55 +0100

directories.co.uk>
From: "Bunder, Leslie" <Leslie [dot] Bunderatinfospaceuk [dot] com>
To: "'uk-netmarketingatchinwag [dot] com'" <uk-netmarketingatchinwag [dot] com>
Subject: RE: UKNM: Subscriptions
Date: Fri, 18 Jun 1999 17:29:23 +0100
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Clay

Yes, people will pay for content/information if they can see value in
it. But as we have explained, it is how content/information is packaged
that will determine if people will pay for it. And here's an example of
it:

Let's look at Sharedealing. Now you can pay $10 for Datek or $20 or
more with Charles Schwab for a deal. Here's an example of someone
charging much more in the US and still making the business work.

They charge more because they deliver more to the customer, through
enhanced share price information, news feeds etc, etc.

You can pay your basic $10 deal with someone other than Charles Schwab,
yet Charles Schwab will offer more.

If Charles Schwab thought price was an issue then they would reduce it,
but they see value in their offering which they feel they can charge
more than anyone else, and people are paying it.

Yes, I know they are launching a deal in the UK next month that offers
free deals for the whole of July (but hey, they are aiming to get market
share!) but after that I doubt very much if they will go for the bargain
basement pricing of their rivals, they will still charge a premium but
will offer extra value.

And this is the whole point of free content versus paid for content,
there are new models emerging in how to price content. Yes you can give
it awaty, but if there is no value in it for the user of the
information, then they will look to pay for information they can use and
will give them value.

Leslie
____________________________________________________
Leslie Bunder
Project Manager, TDL InfoSpace
e-mail: Leslie [dot] Bunderatinfospaceuk [dot] com (work) or leslieatbunder [dot] com (home)
Web: www.infospace.co.uk
tel: 01252 390516 (UK) +44 1252 390516 (outside UK)
mobile: 07010 701967 (UK) or +44 7010 701967 (outside UK)
Thomson House, 296 Farnborough Road, Hants, GU14 7NU

>----------
>From: Clay Shirky[SMTP:clayatshirky [dot] com]
>Sent: 17 June 1999 14:41
>To: uk-netmarketingatchinwag [dot] com
>Cc: jamesatwebweaver [dot] uk [dot] com
>Subject: Re: UKNM: Subscriptions
>
>> People will always willing to pay for something if they can see real
>> value in it.
>
>You know, this simply isn't true.
>
>It always amazes me to see people who do this sort of thing for a
>living going around saying that something has to definitely almost
>certainly probably be true about the Web, *without posting a single
>URL*.
>
>A partial list of companies that wrongly thought they could build good
>businesses charging the consumer for content inlcudes the New York
>Times and Microsoft, no slouches when it comes to marketing. The
>counter argument is not vaporous talk about what "stands to reason",
>the counter argument is "My mates over at www.gisaquid.co.uk are
>charging for content and making simply pots of lolly in the process."
>
>If this is such a good idea, where are the URLs?
>
>-clay

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********************
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