What if I told you , Nothing is free.
Welcome to the world of FreeConomics !
The word “Free” is considered to be one of the most powerful words in the world of advertising today. Psychologists say that 93% of the people would fall for this word and would be “compelled” to perform action linked to that word ! No matter what it is.
So much is the power of this single word that a “whole economy” is shaping around this word. or in other words, its changing the way commerce is done today. It’s all about how cleverly an advertiser harnesses the power of this word. Let me give some examples from the many we encounter everyday:
1. Buy two and get third FREE ! (now you will end up with three of the same things though you needed just one to begin with the Free word made you spend MORE). And we wonder “how come space in our homes is never enough?”
2. Free gift with every purchase. Best way to increase sales of a product/ service. We don’t even know what gift is inside. Yet people purchase.
3. Pizza companies are one of the best examples of the use of word FREE in advertising.
4. Mother of all “freebies”.. FREE TRIAL!! Okay, but not without filling out a “simple” information form! (there goes your personal data to a service provider Watch out for your Inbox!)
5. Social Media is FREE. Everyone is ON it. But is it REALLY free ?
History of this “twist” in advertising is not very old. However its use is on the rise. Every product/ service provider seems to be using it now. Consumers have come to expect something SHOULD come free with their purchase. However small, yet they will claim that FREE prize. & feel accomplished !
Think about it. Let me prove it to you by using the example of this FREE blogging site – Blogger itself ! its Free! right? but did we not fill out a form and made a profile?So for opening a FREE blogger account , I had to give up my information!
The Twist: By volunteering this information, I PAID FOR THE FREE SERVICE !
In order to get something FREE , we have to give up something in return!
An exchange has to take place.
Another example is Social media platforms. It’s not free ! Facebook , Twitter etc are not free!
We PAY for it with our “privacy”. As soon as you give up your privacy through volunteering the information & personal details , your PAYMENT is done ! Oh…they do provide this valuable feature called “privacy setting”. But hang on a sec ! there is ….
The Twist: Do those settings allow you to keep your information “private” from the service provider to whose FREE service you have subscribed to?
Recently, Facebook created a buzz in Economic markets by announcing the take over of Whatsapp application for 13 bn Dollars !!! A Free service buying another Free service !! Where did this money come from? you would be right, if you said , through advertising and sponsors etc. But you would be WRONG if you said, I didn’t pay anything to either of the service provider!
The Twist : You PAID with your TIME !
It’s this invisible yet extremely valuable currency we PAY for free service. Advertisers are “purchasing” YOUR TIME to bombard you with “advertising messages” every TIME you use this FREE service ! Of course there is an option if you don’t want to allow this “invasion of privacy” & “abuse of currency called Time” & here comes …
The Twist : You have to PAY for this “Upgrade” of service. It’s NOT FREE !
The other day my friend ordered pizza for our family from Pizza Hut. Upon delivery, we got ONE MORE FREE extra pizza. We inquired and were told that because our staff did not cut the pizza in the “shape”we requested, one extra pizza is on the house ! And i could see the expression of “achievement” on my friends face, but it hit me! While she was delivering the awesome smelling pizzas to the dinner table, I was thinking about numbers – CHOLESTEROL numbers ! Now we will consume that Extra Pizza (Mind you, it was a Cheese loaded pizza) with satisfaction and even thank Pizza Hut for “awesome”service blah blah.
The Twist : What did I PAY for this FREE pizza ?
Which one of the three options is the best answer?
a) Probably will order AGAIN from Pizza Hut in the (VERY) near future & hope they screw up again and get a FREE pizza.= More business for Pizza Hut.
b) Probably with mine & my families HEALTH (with all that extra cheese). By this over consumption, I put myself and my family at increased risk of heart disease etc.
c) ALL of the above !
So much of commerce takes place just by the use of word “FREE”. The VALUE of this twist (word Free) is literally fueling the growth of the economy& consumerism that to an extent it is actually helping the country to come of recession.
I am reminded of a very popular marketing book published in 1999 by Seth Godin – “Permission Marketing : Turning strangers to friends & friends to customers“. Read the underlined words again & think how vital the word “Free” is in the “commerce of consumerism”.
I hope you enjoyed your “Free” ride in the world of “FREE-CONOMICS: A Economy with a twist” & thank you for your payment ! 🙂
Finally, as a token of my appreciation for reading this blog, I leave you with…..
THE FINAL TWIST
It is actually POSSIBLE to live entirely WITHOUT MONEY !
There is official movement called FREECONOMY began by a Bristol,UK resident Mark Boyle. He, in association with a not-for-profit organisation (Street Bank) has membership of over 3000 (as of 2008) in 54 countries !
Click on the link below to believe this possibility!
I look forward to your comments & thoughts.
the Chatizen's blog 
Hmmm….next time we see a word FREE we should think for a second about the Twist….just like Nobel prize winning Chicago Economist Milton Friedman said..”There is no such thing as FREE lunch ”
Well done Mr. Twistorr 🙂
thank you Z. A very apt quote! 🙂