Kevin Kelly posted a great column called "Better Than Free." Kevin asks what succeeds in a market where most assets are free.
When copies are super abundant, they become worthless.
When copies are super abundant, stuff which can't be copied becomes scarce and valuable.
When copies are free, you need to sell things which can not be copied.
Well, what can't be copied?
Kevin describes "Eight Generatives," market values of products that are independent of artificial scarcity.
- Immediacy
- Personalization
- Interpretation
- Authenticity
- Accessibility
- Embodiment
- Patronage
- Findability
Skype could be instrumental in helping the online entrepreneurs bring these generatives to market.
Immediacy. Now. Even Skype's basic presence services (rough availability, mood message) create immediacy, helping you get the freshest, newest, earliest from your social network. The same plumbing, beefed up to provide rich and contextual presence, can be applied to goods and services. eBay buyers are some of the biggest consumers of alerting. So are stock traders.
Personalization. Conversation. High quality conversation shapes service personalization. What language skills should we work on today? In what style should I write that report? While some personalizing conversations can be structured, many depend on rich interpersonal give-and-take.
Interpretation. Sense making. While eBay Inc. news may be free, you might pay a premium for live color commentary of the quarterly conference call. Or analysis of a song you want to perform. Skype can be a delivery mechanism for interpretation.
Authenticity. Proof. In a world of copies, and copies of copies, the original, real thing becomes precious. Skype's authentication servers won't prevent identity theft, but they have an opportunity to learn from eBay and PayPal about providing secure, verifiable, insurable ID. I've heard of at least one con artist being arrested after a potential victim recorded the Skype call.
Accessibility. Anywhere, Anytime. People will pay to have their "free" information and services backed up and accessible. In Skypeland, this starts with trusting Skype to keep copies of my contacts and conversations, my history and logs. And I value access to my Skype social network wherever I am: on desk phones, TiVos, mobiles, cars, PDAs, computers, facebook, refrigerators, blogs, clock radios. The race is on to talk-enable the web, the universe, and everything.
Embodiment. You might download a song by 50 Cent, or even a music video. Wouldn't you prefer a live song with Curtis? Will David Allen earn more by auctioning off an hour of his coaching time on Skype, or by having you buy and read "Getting Things Done"? Live webcam-to-webcam is the highest form of experience you can have short of face-to-face. Skype's high quality video and audio add embodiment value.
Patronage. Support your artist. Even though the music is free, sometimes you just want to support an artist. Did you know you can send money to someone over Skype?
Findability. Liquid Social Capital. I couldn't find my laptop power supply in my own backpack last week. How am I supposed to find the person who spoke at a conference last week? How do I find the right one in a world with billions of people and zillions of media objects? Skype's directory services (white page people search and yellow page Skype Find) are rudimentary. Services become compelling when they make strangers discoverable through chance, search, referral, social proximity, and other methods.
As Skype, and those who seek to buy from, partner with, or compete against Skype, look to the future, you could do worse than assess new products against The Eight Generatives of Value Where The Cost of Copies Is Zero.