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Beyond Free: ...what is the customer’s perception of “free”?

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Beyond Free: ...what is the customer’s perception of “free”?

  1. Beyond Free ...what is the customer’s perception of “free”? Priya Prakash | Creative Director Consumer Experience, Nokia
  2. <ul><li>What this talk is about.. </li></ul><ul><li>What is the customer’s perception of value? </li></ul><ul><li>What is free and what’s not? </li></ul><ul><li>Can paying for a service actually enhance the users' perception of the experience? </li></ul>
  3. <ul><li>What this talk is not about.. </li></ul><ul><li>usability </li></ul><ul><li>better & more features </li></ul><ul><li>cheap / low-cost / everything’s free </li></ul><ul><li>advertising is evil </li></ul>
  4. my experience around... various biz models
  5. tools conversations business models experiences
  6. tools conversations business models experiences pre-paid ad-funded direct sales & lead generation freemium (VAS) & ad-funded device sales & services
  7. what is customer’s perception of value?
  8.  
  9. ...image?
  10. ...value?
  11. ...satisfaction?
  12. insight 1: The value perceived is how you create the story- “The consume model” in the mind of the user
  13.  
  14. ...each handset is perceived having a different value
  15.  
  16. ...using lifestyle & customisation to create value
  17.  
  18.  
  19. what is more valuable? access vs ownership
  20.  
  21. what is free & not free?
  22.  
  23. what is not free...what is finite time & attention effort status
  24.  
  25. insight 2: To get users to upgrade, identify activities involving time, status and effort. • Demonstrate clear benefits missing in the free version. • Design seamless calls to actions to get users to convert.
  26. time
  27.  
  28. The funnel.. Pay as you grow
  29.  
  30.  
  31. insight 3: Distraction based advertising on mobile could work only if the user’s context is clearly supported.
  32. Derived from: Flow interactive Free? £ 0.90 ad-funded Sky+ monthly subscription
  33. media usage over time media ? ? ? ? ?
  34.  
  35.  
  36.  
  37. insight 4: Seamless user experiences create sustained revenues.
  38.  
  39.  
  40. Slide ref: http://www.slideshare.net/froberg/meet-freemium-presentation
  41. The App Store ...we’ve come to the conclusion that a very poor app earns only a few hundred a month. The average and above average apps can earn in the neighborhood of $1,000-10,000+ per month. The more viral, gimmicky, and higher quality apps can earn anywhere from $100,000 - 1,000,000+ over the course of their lifetime. “ http://www.appvee.com/blog/2009/04/the-most-comprehensive-iphone-app-sales-figures/
  42. conclusion... To monetise the mobile user experience, you need a highly reactive business and service strategy.
  43. how? think fashion! you need a platform that is flexible & timely to react to market needs & fulfill demands
  44. thank you :) questions? [email_address]

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