(2) In another Ezine I recently saw a 40 word ad that interested me. I clicked on link, and instead of taking me to home page of product, it took me straight to order form. Very clever, and very effective.

(3) A few weeks ago I subscribed to a free autoresponder course - 12 daily web marketing lessons. Many people never finish these free courses. They unsubscribe half way through.

But this marketer made sure that people finished his course - he announced in first lesson that 12th lesson contained download link for a very useful free eBook that I wanted. Naturally, I stayed with it till last lesson.

(4) Last week I signed up for a marketing guru's 15-day free autoresponder course and I was amazed to see how easily it had been put together. Each module was simply a freely-available article by a recognized web marketing expert, with a sprinkling of affiliate links.

To sum up, when you visit website of a marketing expert, pay close attention to everything you see. Ask yourself "Why is s/he doing that?". Everything is there for a reason.

If you make this a habit you'll quickly learn art of making money on Internet.

(5) Frills and bonuses. There seems to be a weak, albeit positive link between willingness to pay for content and "members only" or "buyers only" frills, free add-ons, bonuses, and free maintenance. Free subscriptions, discount vouchers for additional products, volume discounts, add-on, or "piggyback" products - all seem to encourage sales. Qualitative free content is often perceived by consumers to be a BONUS - hence its enhancing effect on sales.

(6) Credibility. The credibility and positive track record of both content creator and vendor are crucial factors. This is where testimonials and reviews come in. But their effect is particularly strong if potential consumer finds himself in agreement with them. In other words, motivating effect of a testimonial or a review is amplified when customer can actually browse content and form his or her own opinion. Free content encourages a latent dialog between potential consumer and actual consumers (through their reviews and testimonials).

(7) Money back warranties or guarantees. These are really forms of free content. The consumer is safe in knowledge that he can always return already consumed content and get his money back. In other words, it is consumer who decides whether to transform content from free to paid by not exercising money back guarantee.

(8) Relative pricing. Information available on Web is assumed to be inherently inferior and consumers expect pricing to reflect this "fact". Free content is perceived to be even more shoddy. The coupling of free ("cheap", "gimcrack") content with paid content serves to enhance RELATIVE VALUE of paid content (and price people are willing to pay for it). It is like pairing a medium height person with a midget - former would look taller by comparison.

(9) Price rigidity. Free content reduces price elasticity of paid content. Normally, cheaper content - more it sells. But availability of free content alters this simple function. Paid content cannot be too cheap or it will come to resemble free alternative ("shoddy", "dubious"). But free content is also a substitute (however partial and imperfect) to paid content. Thus, paid content cannot be priced too high - or people will prefer free alternative. Free content, in other words, limits both downside and upside of price of paid content.

There are many other factors which determine interaction of free and paid content. Culture plays an important role as do law and technology. But as long as field is not subject to a research agenda best we can do is observe, collate - and guess. This article is, of course, free content...:o))