I think I just heard brains exploding at Downhill Battle. More posts as we try to comprehend what this actually means for working musicians.
I read this article:
Fame vs Fortune: Micropayments and Free Content
on the same site & myself have been faced with “mental transaction costs” and have yet to purchase digital music on the internet. i’m curious as to thoughts on this as it applies to a free music movement.
I have been telling my clients to measure the lifetime value of a new audience member. For example, if you can measure that one of ten people that join your mailing list buy a $10 CD from you every year, every one of your ten new mailing list members is essentially worth $5 over the next five years.
Therefore, instead of worrying about collecting $0.99 for a song, give it away in exchange for a mailing list signup. You’ll be ahead of the game by $4 for each new member, and nobody has to break out a credit card.
I started thinking in this direction too.. we must think a like. Thanks for the quick response.