Tuesday, March 22, 2011

BIG’s Blog: What Part of Free Don’t You Understand? – Part Six

Over the course of this week, I am going to try to finish up driving home the point that there is a very big “leveling of the playing field” for fund raisers going on through new technology.

How can multi-billion dollar technology companies essentially give away what they used to charge hundreds of thousands, if not millions, of dollars for? If you’re not asking that question, then you haven’t been reading my blogs closely enough.

How indeed?

Do you want the long answer or the short answer?

I’ll assume the “short” answer will do, since this is a blog and not a novel.

The short and “simple” answer is that the Internet has changed their business model.

When you hear people talking about disruptive technology and you wonder, “disruptive to whom?” the answer is disruptive to the market leaders in a category. Remember installed software? Remember??? Installed software is still the majority of software operating on most computers. You know, you go to Best Buy and buy a package that contains a disk that you install on your machine. But, all of that is changing fast.

Interestingly enough, however, the change is happening fastest at the small and mid-sized organizations.


Because free or very inexpensive fits their limited budgets. And there are lots of small and mid-sized organizations.

The CEO of the fastest growing CRM database (donor management system) company in the world recently asked the question, “Why install, maintain and upgrade your software, instead of just using it right over the Internet?”

Let’s see...more powerful software than I currently have that plugs into email and social networks and costs me little or nothing and is as powerful as the largest fund raiser’s software out there?!?! Hummmm, let me think about that.

Next time, we will talk about Cloud computing.


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