Anyone who is involved with Internet marketing or is in the “make money niche” is well aware of the fact that you need to give away lots of free stuff to attract traffic, build your list and establish yourself if you are a virtual unknown. I agree with that business philosophy to a certain degree.
However, I am beginning to get an uncomfortable feeling when I read or hear expressions like “moving the free line” and “giving your best stuff away.” Where do you draw the line? Eventually you reach a point of “diminishing returns” (economists like to call it diminishing marginal returns).
I understand that the web is built on a foundation of free – free information, free videos, free “how-to” tutorials and so on and so forth. It’s not that I don’t believe in giving away free reports and multi-part eCourses. I do want to help people who are just starting out or are struggling. I have plenty of free resources on this site that I use to draw interested visitors and acquire new subscribers who I hope will become paying customers someday. But I believe there has to be a limit to freebies and there comes a time when you need to make a business decision. After all, it is basic human nature not to pay money for something that one can get for free.
However, I have two problems with constantly moving the free line. First, if the free line is moving further down into my sales funnel and I’m expected to give away what was once a paid product, what will I have left to sell? I am in this business to earn an honest living. Would you be willing to pay me good money for something if you can get my “best stuff” for free? Yeah, as a business owner and marketer you are supposed to constantly innovate and move forward. Get real!
The second problem that I have with this trend is the perception that if something is free it must not be very valuable. Am I then devaluing my work by giving away most of it free? Once again, think of basic human nature, would you put a value on something that’s free?
I have come up with two solutions to this freebie conundrum.
1. I post useful content on this blog as a way to establish my credibility and show real value to my readers. To some extent, yes my posts are pre-selling my paid content.
2. I put a dollar value on my giveaways. This is something I learned from Bob Bly, the ace copywriter and Internet marketing consultant. Always add a dollar value to all your free reports. Obviously, it has to be something believable and not outrageous.
That’s how I have been handling the problem of “moving the free line.” How do you feel about this? Do you think giving away your best stuff and moving the free line are good business practices? Go ahead and leave a comment.
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I have mixed feeling about the freeline.
On the one hand it is great to sample the goods before you have to pull out your credit card.
But it has created a huge number of people who:
a) are overloaded with freeline stuff to watch and chase after the next fix
b) think there is no point buying stuff because you can get everything for free eventually.
Sad but I think it has gone too far.
Undervalued and underappreciated.
Paul Simister´s last blog ..Small Business Survey Results February 2010
Hi Paul,
“Undervalued and underappreciated” – my sentiments exactly. Thanks for stopping by and leaving your comment.