The virtual goods model fascinates me because it reverses the polarity of the old “make ’em pay” argument into “let ’em pay.” The Internet economy has already told us what digital content people will pay for: experiences and entertainment they are passionate about.

It reminds me of what Clay Shirky wrote about how the internet changes business models: it makes it harder to extract money, but much easier to ask for money.

{ 1 comment }

1 aulelia 05.15.09 at 12:55 am

I think the whole idea of ‘experiences’ is interesting but it is perhaps a bit too ‘vague’. What is an experience online? Is Facebook enough of an experience for people to pay for?

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