News Flash - People are Paying for Free Stuff
The Bregar found this post entitled “The NEW music business model… people actually pay for free stuff!” It seems that a musician named Jane Siberry has turned her Web site into a place where people can come and either download her music for free, or pay for it. The surprising thing, people are paying for the music!
When you go to the music store there are four options to get a song:
- free (gift from Jane)
- self-determined (pay now)
- self-determined (pay later so you are truly educated in your decision)
- standard (today's going rate is about .99)
Based on the numbers from the Jane Siberry music store, 52% of the people who have downloaded the songs have decided to pay for them. The breakdown of paying people goes something like this:
- Paid Below Suggested Price – 9%
- Paid At Suggested Price – 83%
- Paid Above Suggested – 8%
- Paying Later – 32%
So is this the future of online music? I doubt it. I think the music companies are smart enough to know that not too many people are going to pay for the crap they are putting out. Sorry, but it’s true.
Definitely check out the post from Acland though, it is a really good one.