If you r not paying for a service you are the product!

“@dweekly: “If you’re not paying for a service, you’re not a customer. You’re the product being sold.””

I just saw this tweet from David Weekly – which got me thinking.

Since all products from a company re not of same value and quality, companies need to figure out “value” for each of their users. Some call this targeted advertising but that also assume that all targeted viewers are of equal value – which is inaccurate. Also it is important to differentiate metrics with which a company measures it’s user’s value (example- loyal viewer, viral user, etc) versus the product “value” to the buyer (in this case a brand advertiser or sponsor or etc)

Typically a viewer/user who is getting something for free puts up with some inconveniences. A brand or sponsor who’s actually paying to get the attention of the user is happy with whatever value they can get. But, if a startup considers their free users as products then the buyer- brand advertiser is going to expect and demand certain value out of the “product”(the free users).

Looking at your nonpaying customers as “product” – It’s just a different lens that can bring up new nuances to the ad supported model.

Wonder how those nuances change if we consider the nonpaying users as product features instead of products?