Micropanhandling: Spare Some Change for a Blogger, Buddy? PDF E-mail
R. Eric Raymond   
Friday, 10 August 2007

 

Is the tip jar set for a revival online?

 

In our networked culture where zero is the favorite number on the price tag, the problem remains how content creators will be compensated for their work. In the most recent internet boom/bust cycle (it certainly wasn’t the last… can you smell it in the air?), experimentation with “micropayments” revealed a little information about what people were and were not willing to pay for online, and in what form. Ultimately, however, without sufficient cartel control the idea hasn’t taken off in a way many had hoped.

 

Now, though, the idea has come around again in a revised form.

 

Humble is here. The metaphor? Artists and bloggers are now street performers in the internet’s “information super-BART station.” If you like what you see or hear, kindly drop a quarter in the jar. Or not.

 

Perhaps the most enthusiastic voice in this iteration is the young, idealistic, and all around bright-guy Reinier Zwitserloot, (really, ‘loot’ is in his name!) who’s working on TipIt.to. A member of the Four Starters weblog, Reinier envisions an internet where anyone can easily show their appreciation with a little spare change, and he’s enthusiastic to talk about it.

 

Nick Szabo, contributor to the blog Unenumerated, brings in a number of interesting ideas, notably that you could integrate this system with existing aggregating and rating systems, such as Digg. Other aspects of this theoretical system are fascinating: What happens when your tipping history is publicly available with others in the community?

 

But the question remains… Will people leave cash tips for content online?

 

It seems unlikely. Why would people voluntarily pay for content that they can have for free? With the exception of hardcore pornography, even subscription-for-content models haven’t worked on a mass scale. But then again, the internet is the fertile ground for growing unlikely ideas.

 

Micropanhandling is interesting in that it does resolve the “pay before you consume” hurdle that is so daunting to users. But what may be more compelling is the timing of this idea with a number of other trends, including the mainstreaming of rating systems and aggregators, the ubiquity of social networks, and finally, the impending widgetization of the web, which promises to decentralize and distribute “website” functionality in entirely new ways.

 

I’ll be following Reinier’s project with interest. One thing that remains to be seen is how, as little middleman, Reiner will pay for whatever overhead his system entails at TipIt.to. Perhaps the aim is to build a proof-of-concept system that will be gobbled up by Yahoo! or another scalable tech firm that sees an opportunity to take a nickel off every tip as the system grows.

 

As it stands, the project seems antithetical to Google’s aim, which is clearly to consume all content and staple advertising in the whitespace… because if it works, there’s a real disincentive to install AdSense on your website.

 

“If it works” is one enormous “if.” Maybe someone else is already developing the “WILL WORK FOR BEER” widget as we speak.



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Comments (4)Add Comment
Where's the jar
written by bkostl, August 10, 2007 12:30 PM
Liked the post. One of my favorite bloggers regularly pleas for people to use his PayPal donation button, but always in a humorous way. Not sure how many people actually donate.

I think you're onto something with the "Will Work for Beer" widget.
Micropanhandling - I like it!
written by Reinier Zwitserloot, August 10, 2007 07:17 PM
Actually, there was (is?) a site for buying someone a 'virtual beer' of some sort already, that somehow involved real money and real beer at some point, but I can't find it.

If you don't mind I'm going to go and rip off your 'micropanhandling term' for a subset of tactics I've got lined up just in case people end up being stingy bastards. Some of them seem like they could be pretty effective:

- If there's less than 100 bucks in the tipjar after every month, the site's going down. Better tip!
- This is part 1 of a series. I'll write part two when 200 bucks is in the tipjar.
- This is a black and white comic. I used to do colour on sundays, but now I'll do colour every time 40 bucks shows up in my tipjar.

That last one doesn't sound too pushy to me, whereas the first two might just backfire. Fortunately I have faith in the creativity of the greater content producing internet in coming up with devious ways to make their readers tip.

Thanks a bunch for the kind words and attention!

NB: bkostl, as to 'where's the jar' - once we launch, it'll be on your own site, and clicking it will give the clicker the opportunity to leave a tip. It's a two-click thing (once to tip, once again to confirm), and we'll handle all the payment headaches later. No hurdles is our party line!

As far making money without either showering our own site with ads, or waiting for a big company to buy us, or scraping inane amounts of dough off the top of transactions - we've got an ingenious plan: When you cash out your tipjar, we give you the opportunity to tip -US-. We'll be suggesting 10%, but it's entirely up to you - that slider goes all the way down to 0 if you feel like being a cheapskate.

Waiters are the best tippers (no, really - go ask Waiter at waiterrant.net) and we're gambling that this will apply here as well.
NPR/PBS Model?
written by Wet Blanket, August 11, 2007 09:54 AM
I wonder if there's NPR or PBS data that could help in the development of this business model. Same idea. Free content, requests for pledges. Only 10% or so of listeners give, I think, but somehow it all works out.
Membership drive...
written by E.R., August 11, 2007 04:22 PM
Hi Reinier,

Glad you could drop by. It's funny that you mention that, Wet. Couldn't people have "membership drives" on their website? You'd need a lot of traffic, of course, but what if BoingBoing.net went into membership drive mode for 5 days? People could donate quirky gear to be given away (free advertising for their company) and people could support the site with donations (a donation of $10 gets this Star Wars Storm Trooper Helmet Mug, a donation of $100 gets this icanhascheezburger.com t-shirt, etc.).

I think that given an almost infinite number of entertainment choices, people will generally respond poorly to the threat of site closure. The attitude may be, "Ah, so what, I only visited your site when I was bored at work anyhow." Which raises an interesting question: Are people visiting many websites simply because they're free, not because they're actively interested in the content? A great deal of the time people spend online is wasted time-- it's distraction, channel surfing, work and duty avoidance.

E.

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