Summary of Chris Anderson's Free

Everest Media

Description

Please note: This is a companion version & not the original book.
Sample Book Insights:
#1 Jell-O was invented in 1895 by Pearle Wait, a carpenter who wanted to get into the packaged food business. He mixed in fruit juices, along with sugar and food dyes, and marketed it as a treat that could add jiggly, translucent fun to almost any meal. But it didn’t sell.
#2 In 1902, Genesee gave away recipes for Jell-O to promote the product, which turned out to be a huge success. The company then began to print and distribute free cookbooks door to door, which helped promote the product and create demand.
#3 The most famous example of this new marketing method was in Boston, where King Gillette invented the disposable blade safety razor. He sold millions of razors to the army at a steep discount, hoping the habits soldiers developed at war would carry over to peacetime.
#4 The twenty-first century will be a bits economy, where anything free in the atoms economy is paid for by something else. In the online world, free is the default and pay walls are the route to obscurity.

Sujets

• Business
• Economics
• Microeconomics

Informations

• Publié par: Everest Media LLC
• Date de parution: 17 mai 2022
• Nombre de lectures: 0
• EAN13: 9798822513082
• Langue: English
• Poids de l'ouvrage: 1 Mo

Extrait

Insights on Chris Anderson's Free
Contents Insights from Chapter 1 Insights from Chapter 2 Insights from Chapter 3 Insights from Chapter 4 Insights from Chapter 5 Insights from Chapter 6 Insights from Chapter 7 Insights from Chapter 8 Insights from Chapter 9 Insights from Chapter 10 Insights from Chapter 11 Insights from Chapter 12 Insights from Chapter 13 Insights from Chapter 14 Insights from Chapter 15 Insights from Chapter 16
Insights from Chapter 1

#1

Jell-O was invented in 1895 by Pearle Wait, a carpenter who wanted to get into the packaged food business. He mixed in fruit juices, along with sugar and food dyes, and marketed it as a treat that could add jiggly, translucent fun to almost any meal. But it didn’t sell.

#2

In 1902, Genesee gave away recipes for Jell-O to promote the product, which turned out to be a huge success. The company then began to print and distribute free cookbooks door to door, which helped promote the product and create demand.

#3

The most famous example of this new marketing method was in Boston, where King Gillette invented the disposable blade safety razor. He sold millions of razors to the army at a steep discount, hoping the habits soldiers developed at war would carry over to peacetime.

#4

The twenty-first century will be a bits economy, where anything free in the atoms economy is paid for by something else. In the online world, free is the default and pay walls are the route to obscurity.

#5

Free is a powerful economic force that can be used to compete with traditional business models. It is the basis of freeconomics, which is the study of how to make money around free.
Insights from Chapter 2

#1

Free is a word that has many meanings, and has been twisted and turned by marketers. It is the most natural transaction of all, yet it is also the most suspect. It is never as simple as it seems.

#2

There is a wide range of meanings to the term free. Some things are free, but only if you are willing to sacrifice other things. Ad-supported free content is a business model that has been around for more than a century.

#3

Free can be good or bad. It can represent a new model, or it can be a way to cut costs. It can also offset losses with higher fares.

#4

Cross-subsidies are the essence of the phrase there’s no such thing as a free lunch. That means that one way or another the food must be paid for, if not by you directly then by someone else in whose interest it is to give you free food.

#5

The gift economy is built on cross-subsidies. Blogs are free and don’t have ads, but that doesn’t mean that value isn’t being exchanged every time you visit. In return for the free content, the attention you give a blogger enhances her reputation.

#6

The price of each individual component in a package of products and services is often determined by psychology rather than cost. Companies look at a portfolio of products and price some at zero to make the other products, on which they make healthy profits, more attractive.

#7

The extension of King Gillette's cross-subsidy to more and more industries is happening as technology is allowing companies greater flexibility in how broadly they can define their markets. This gives them more freedom to give away some of their products or services to promote others.

#8

The most common economy built around free is the three-party system. In this system, a third party pays to participate in a market created by two free parties. This is the basis of virtually all media.

#9

Two-sided markets are a type of market where there are two separate user groups who support each other. For example, advertisers pay for media to reach consumers, who in turn support advertisers. The costs are distributed and/or hidden enough to make the primary goods feel free to consumers.

#10

Freemium is a business model in which a product or service is offered for free, with additional features available for purchase. This sounds similar to the free sample model, but with a significant twist.

#11

The Web has turned sharing into an industry. From the point of view of the monetary economy, it all looks free, but that says more about our shortsighted ways of measuring value than it does about the worth of what's been created.

#12

Music piracy is a great example of how the product has become free due to economic gravity.