Free service monetization and need of different perspective have a lot in common. In my post 2 weeks ago I theorized about existence of free online services supporting themselves without advertisement income.
Free service could create the need of existing service(s). Existing service can share % of profit generated by new demand with free service.
After such service comes into existence it is mind-blowing, but then you try to put yourself in to 3rd party business place and understand that it was impossible for you to see this opportunity.
3 examples:
1. Free browsers (Mozilla Firefox, Opera):
Service provided: Free browser to get access to Internet.
Market increase for 3rd party: drivers more traffic to search engine.
Profit sharing: shares part of profit from displayed and interacted ads.
Background story: Yahoo Replaces Google As Default Search Provider in Firefox.
Comment: Would be interesting to know a person who decided to integrate search box in to a browser.
2. Online sell, swap or gifting portals (Vinted.com, Ebay.com):
Service provided: Free platform for item sell, swap or gift.
Market increase for 3rd party: close to 100% of transactions require 1 or even 2 orders Shipping Company or Payment Company.
Profit sharing: shares part of profit from shipping service or transaction fee.
Background story 1: Vinted.com offers USPC as their shipping partner.
Background story 2: eBay picks up PayPal for $1.5 billion.
Comment: Try to imagine shipping company owner deciding to start online shop to boost his revenue in shipping business. Is it possible for him to see opportunity in creating such service?
3. Aggregators (Booking.com, Skyscanner.net, Kayak.com):
Service provided: more convenient way to get access to service or content.
Market increase for 3rd party: enables easier access to broad market for 3rd party.
Profit sharing: shares part of profit from transaction (booked hotel, flight or trip).
Comment: try to imagine hotel manager trying to increase his visibility by starting a booking portal usable by any hotel. Is it possible for him to see opportunity in creating such service?
Completely free service without advertisement income should have these properties:
Provide service that generates an action or transaction in 3rd party.
Create or allows access to new markets for 3rd party.
Can strike a deal with 3rd party, because they bring value.
Created outside of 3rd party.