How “Free” Changes Things
12.21.2007 | Business Development, Inspiration, Videos
This video of the Keynote from Nokia World 2007 was passed to me by a fellow entrepreneur here in Atlanta. It notes some interesting innovations in thinking and changes in the economy when certain commodities are given away as freebies.
After watching the video, I feel like a lot of what we wanted to accomplish with EasyAutoSales.com (making it free to sell) have been validated. In the old model where the cost of printing and distribution costs money, I can see why someone selling their car would need to pay $40 or upwards of $100 to sell their vehicles. The money they pay to giant classified services were used to support a process and in the end, that process helped saved time for the seller.
However, the cost of producing a web service today has dropped significantly. Websites no longer cost hundreds of thousands to create and hosting a large website on a dedicated or grid setup no longer require hefty monthly bills. Not only is technology and programming cheap to find, methods of distribution are also cheap, fast and widely available. To that end, it doesn’t really make sense for end users to have to pay for a distribution tax when the resources are essentially free.
While I’m not sure how our role will affect the economy, I really am looking forward to seeing positive change once our site becomes one of the top destinations for auto sellers and buyers. Maybe our marketplace will allow cheaper sales while allowing sellers to keep similar margins; maybe that will lead to other bigger and better things. Either way, it shall be an interesting experiment once the site launches and we get some feedback.