From Search Engine Watch
There is an ancient sales formula that even the most hapless of mathematical incompetents can understand. Cost + NO value = FAIL. It would appear that some people refuse to take notice of this formula. Exhibit A for example (see graph) is a demonstration of cost + no value in action. The Times decided they were struggling under their current business model. They changed it to suit themselves. They added no value. What is the customer gaining from this process?
A survey by KPMG has found that 81% of UK consumers don't want to pay for digital content. But that is not the interesting piece of the research. That is to be expected. A UK online consumer is used to free. Why should something offering the same service suddenly cost? To be honest, I'm surprised the figure isn't higher. No, the interesting piece of the survey was the constant referral to UK consumers being happy to give up personal data, as long as the process BENEFITED them with a more personal online service:
Cost(personal data) + value (personalised service) = Result
The valuable lesson here is that customers do not want to bend to suit your requirements. They want you to bend for them, to suit their needs. Customers are happy to pay costs providing you add value...To them, not you. It is a very simple formula. Perhaps right about now someone at the Times has just uncovered this ancient phenomena...And they're probably crying in despair.
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