Oct 10 2010
Framing Questions | Digital Goods/Markets
1) What are the demographics of this 5% of users who support the rest of us by buying premium services of free products? (And what makes them upgrade? I don’t think I’ll ever pay for the premium versions of LinkedIn or Pandora, for example.)
2) Why doesn’t the introduction of a free product make that given market collapse? How do other products compete? And what makes people pay when they can get something for free?
3) Anderson says, “Abundant information wants to be free. Scarce information wants to be expensive.” But in today’s digital world, how does anything stay scarce anymore?