Comments on: What does it mean to be a “paying customer” in Web 2.0? http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/ Linux old timer. Debian founder. Sun alum. Salesforce ExactTarget exec. Sat, 05 Sep 2015 19:38:18 +0000 hourly 1 http://wordpress.org/?v=4.3.2 By: Jeff http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-628 Tue, 18 Apr 2006 00:34:29 +0000 http://ianmurdock.com/?p=324#comment-628 Google seems to be focusing the direction of their non-search solutions on tacit interactions between Google users in addition to the individualized, a la Yahoo portal, content. Taken to its logical conclusion, Google will probably end up acquiring or copycating something like iRadeon’s AppPortal, facing on-demand software vendors like Netsuite and Salesforce head on with an eye towards integrating intra-company search (and, of course, AdWord$) into the application mix. The implications of this strategic approach should be fairly scary for companies like Salesforce–ie, what if Google can pull off the same functionality but not charge any subscriber fees, simply making money off AdWords clicks? It’s quite possible.

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By: Ian Murdock http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-622 Sat, 15 Apr 2006 01:41:09 +0000 http://ianmurdock.com/?p=324#comment-622 We’re not talking about “five nines” here—we’re talking about accounts disappearing or becoming inaccessible. There’s a big difference. -ian

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By: Paul McGarry http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-621 Sat, 15 Apr 2006 01:27:03 +0000 http://ianmurdock.com/?p=324#comment-621 Perhaps advertising actually creates an incentive to provide a quality of service that good (enough) for the average joe.

I’d have thought that the average user would probably simply ‘wear’ 5 minutes of downtime from a for pay email provider and it would cost the provider nothing. At least in the advertising model it would also cost the provider 5 minutes worth of advertising revenue.

I suppose there would be a ‘premium’ market that would desire a high degree of surety and be prepared to pay for it but I’d expect that to be a relatively small part of the market.

For 99% of people I’d expect Google’s backups are going to be far more rigorous than if they were keeping their mail on their home PCs. To conclude that “advertising supported software-as-a-service is dead in the water” is silly because 99% of people don’t need such a high level of surety and as with pretty much any advertising supported product it is designed for the masses, not those with special needs.

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By: Ian Murdock http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-617 Fri, 14 Apr 2006 18:27:31 +0000 http://ianmurdock.com/?p=324#comment-617 John,

Who says a contractual agreement has to involve a exchange of money upfront? Indeed, when I got my Google account, I entered into a contractual agreement of sorts with them. Problem is, the current agreement says, in effect, “We reserve the right to lose your data etc.” Unless and until that changes, advertising supported software-as-a-service is dead in the water.

-ian

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By: Ian Murdock http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-616 Fri, 14 Apr 2006 18:22:00 +0000 http://ianmurdock.com/?p=324#comment-616 Don,

Very interesting idea..

-ian

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By: John Schofield http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-613 Fri, 14 Apr 2006 17:30:25 +0000 http://ianmurdock.com/?p=324#comment-613 The reason *paying* for an online service is different than using an advertising support service, **even if the amount of income derived by the service is equal** is that, as a paying customer, you have a contractual agreement in place with the provider. You don’t have that on an advertising-supported service, and thus, bad things can happen and you have no recourse.

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By: Don Marti http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-610 Fri, 14 Apr 2006 16:01:31 +0000 http://ianmurdock.com/?p=324#comment-610 What about a “Give away the application, sell the backups” model? If you pay, you get access to an rsync server. The app hoster wouldn’t have to offer this service at the retail level — a customer could go to your local computer store and buy a boxed backup product that doesn’t just back up the local files, but is also bundled with keys to the popular ASP applications.

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By: George Wright http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-609 Fri, 14 Apr 2006 15:55:12 +0000 http://ianmurdock.com/?p=324#comment-609 Hiya

There’s a difference between the 2 models you mention. If your free-to-view ad-supported TV network goes off air during ‘Lost’ – you get no comeback

If your PPV TV operator’s systems go down during a film you’ve paid for, I’d assume they’d either refund your money, or let you start the viewing again

I think this is the same with the pay-for Web services model. I *still* wouldn’t trust someone else with my data (what if they lose all my mail? How my compensation would one get) – but I’d imagine they’d at least *try* to make it up. With a free Web app, you’d get nowt.

Just my 2ps worth

Regards

George

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By: Emmanuel Seyman http://ianmurdock.com/cloud/what-does-it-mean-to-be-a-paying-customer-in-web-20/comment-page-1/#comment-608 Fri, 14 Apr 2006 15:10:01 +0000 http://ianmurdock.com/?p=324#comment-608 From http://www.google.com/googlecalendar/terms_of_use.html :

Google also reserves the right to modify, suspend or discontinue the Service with or without notice at any time and without any liability to you.

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