Home | TrendTracker | PowerBlog Reviews | The Experts | Newsletter
SMALL BUSINESS TRENDS brings you daily updates on trends that influence the global small business market.
Anita Campbell, Editor
Past life: CEO, corporate executive, tech entrepreneur, retailer, general counsel, marketer, HR ... (more)
email me
free business magazines
Trade publications FREE to qualified professionals. No hidden offers and no purchase necessary.
On Wall Street
The Deal
Computing Canada
Employee Benefit
Oracle Magazine
100+ additional titles. Click to browse.
Previous Small Business Trends articles can be found at the links below:
October 2003
November 2003
December 2003
January 2004
February 2004
March 2004
April 2004
May 2004
June 2004
July 2004
August 2004
September 2004
October 2004
November 2004
December 2004
January 2005
February 2005
March 2005
April 2005
May 2005
June 2005
July 2005
August 2005
September 2005
October 2005
November 2005
Or, use the search box below to find a
specific post:

Sign up for our FREE Small Business Trends newsletter. (View Current)

We publish regularly and promise we won't share your email address with anyone. (Privacy Policy)
* Don’t have time to read several dozen blogs a day? Pick two or three. Your brain will thank you for it.

Small Business Trends Radio
Tuesdays, 1:00 PM Eastern U.S. time
on Voice America network
Click to listen

November 1st: Torsten Jacobi, CEO of Creative Weblogging, joins host Anita Campbell. Sponsored by Six Disciplines. Show details.
Sunday, November 16, 2003
The Market Wasn't Ready
I received an email about my November 14th post about micropayments. The message suggested that I'd really blown it back in 1999 by not jumping on the micropayments business then.

I beg to differ. (Actually, I'm not really begging -- I AM differing.)

Ever heard the phrase "the market wasn't ready for it"? Sometimes a new offering is simply way ahead of its time. It may be a great idea, but unless there is sufficient market demand, it won't get off the ground as a business.

That's what happened with micropayments the first time around during the dot-com boomdays. There just wasn't enough demand or need for micropayment services to purchase content. How could there be, when everyone expected Internet content to be free back then, and few were willing to pay? Without the market need, the services never took off.

Indeed, they still may fizzle. Micropayments are barely beyond the experimental stage, even in late 2003. The two services in my post, Peppercoin and Bitpass, appear to be in beta test. And the numbers of micropayment transactions that I cited are truly small numbers. Only time will tell.

But if I were to bet, I would bet in favor of micropayments taking off. Why? In part because of the MAJOR shift toward paid download services for music. Nothing against you comics lovers, but selling comics is not enough to make a business out of micropayments. For micropayments to take off, they have to be driven by sufficient financial incentive.

Low-priced downloads of music just may be that incentive. For an example of the relationship between music downloads and micropayments, see the press release announcing that American Empire Records plans to launch the new single by Sanity online at a price of 99 cents (US) using the Paystone micropayments solution.
More news... more trends... more insight...

Home | Privacy | Terms | SmallBizTrends
(c) Copyright 2003 - 2005, Small Business Trends LLC. All rights reserved.