The Latest from Red Square

Welcome to our blog. It's a place where we post stuff we like. Latest work, inspiration, pop culture minutiae, you get the idea. Enjoy.

Monetizing the Wild Wild West.

wild west world_blog

A friend emailed me about an article entitled “Closing the Digital Frontier” in The Atlantic and wanted to get my reaction. Here’s what I wrote back:

I still believe the web is the modern day Wild Wild West; in fact, I call it that around the agency. What we’re seeing now is the adolescence of the Information Age. An equally awkward time for those who create content and those who sell it.

Here’s my take, from a media standpoint: the media (newspapers, magazines and to a much lesser extent broadcast) didn’t take the web seriously enough in its infancy. It was something “they” didn’t understand, and it was thus cast off. To be nice they called it “added value” to their offerings. Content was free, because that was fair market value for online content. Now they are trying to move to charge advertisers more and creating paid content sections for visitors.

The real problem is: how do you shift from an environment in which the content is free to one in which you charge for it?

Meanwhile, companies like Apple and Google were visionary enough to understand the coming seismic shift in consumer behavior. Apple and Google have figured out how to monetize the web, and it isn’t magical–they each basically framed a conduit to corral and distribute the massive amounts of content in an orderly fashion. This creates value. If I want a song, I go to iTunes. If I want anything else, I go to Google.

The move from free to fee is going to be interesting to watch. I suppose you could call the last fifteen years or so “product sampling,” but that’s probably a stretch.

Comments (2)

Bryan Lee — 9:25 pm on July 6, 2010

As for the question about how we shift from an environment in which content is free to one in which you charge for it. Lawrence Lessig has written a great book about “hybrid economies” where commercial entities leverage value from sharing economies. The book is called Remix and is released under a Creative Commons license and is itself an example of how something that’s given away for free ( the book ) can create opportunities for profit
( Mr. Lessig’s public appearances ). All that said, it’s a great book about remix culture, the future of copyright law, and the relationships between commercial and sharing economies.

Rich Sullivan — 9:57 pm on July 6, 2010

We’ll have to check that out. Thanks for the heads up Bryan.

Leave A Comment