What happens when advances in technology allow many things to be produced for more or less nothing? And what happens when those things are then made available to the consumer for free? In his groundbreaking new book, The Long Tail author Chris Anderson considers a brave new world where the old economic certainties are being undermined by a growing ...
What happens when advances in technology allow many things to be produced for more or less nothing? And what happens when those things are then made available to the consumer for free? In his groundbreaking new book, The Long Tail author Chris Anderson considers a brave new world where the old economic certainties are being undermined by a growing flood of free goods - newspapers, DVDs, T shirts, phones, even holiday flights. He explains why this has become possible - why new technologies, particularly the Internet, have caused production and distribution costs in many sectors to plummet to an extent unthinkable even a decade ago. He shows how the flexibility provided by the online world allows producers to trade ever more creatively, offering items for free to make real or perceived gains elsewhere. He pinpoints the winners and the losers in the Free universe. And he demonstrates the ways in which, as an increasing number of things become available for free, our decisions to make use of them will be determined by two resources far more valuable than money: the popular reputation of what is on offer and the time we have available for it. In the future, he argues, when we talk of the 'money economy' we will talk of the 'reputation economy' and the 'time economy' in the same breath, and our world will never be the same again.
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Publishers Weekly, 2009-04-27 In the digital marketplace, the most effective price is no price at all, argues Anderson (The Long Tail). He illustrates how savvy businesses are raking it in with indirect routes from product to revenue with such models as cross-subsidies (giving away a DVR to sell cable service) and freemiums (offering Flickr for free while selling the superior FlickrPro to serious users). New media models have allowed successes like Obama's campaign "billboards" on Xbox Live, Webkinz dolls and Radiohead's name-your-own-price experiment with its latest album. A generational and global shift is at play-those below 30 won't pay for information, knowing it will be available somewhere for free, and in China, piracy accounts for about 95% of music consumption-to the delight of artists and labels, who profit off free publicity through concerts and merchandising. Anderson provides a thorough overview of the history of pricing and commerce, the "mental transaction costs" that differentiate zero and any other price into two entirely different markets, the psychology of digital piracy and the open-source war between Microsoft and Linux. As in Anderson's previous book, the thought-provoking material is matched by a delivery that is nothing short of scintillating. (July) (c) Copyright PWxyz, LLC. All rights reserved
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