Just How Bad is the SL Economy

Correct. There are some really horrible examples of midi files running around out there unfortunately, but there is also some very high quality work that was very well expressed in midi compatible format, and sounds outstanding. Something like this is in my opinion well within the capabilities of the SL interface, and would be a big improvement in sound quality for in-world sources as opposed to having to rely on a stream.

Yes, but if they hadn't stepped in the bubble would simply have kept growing and when it DID finally burst they'd have been hurt worse. Linden's failure was not in their action, but in their delay before they acted.

Yep i have folder with a ton of Midi files from my IRC days. To begin with you could play only Midi files....and yes, some were very decent quality indeed. Then after awhile it accepted wav.format.....so pretty much everyone started using wav.files as you could hear the lyrics to songs...even if the quality was poorer than say mp3 files, it was still a step up.

Agreed.
I'm glad i bought all my Mainland holdings well after when prices had already crashed. Since then the prices have plumetted even further

I think that Argent's comment about midi files wasn't appreciated. There are certain;y many excellent midi files around, but what's lacking is the quality of sounds in people's computers. That's where the sounds are actually made. So excellent midi files will sound crap on most computers.

Except that Quicktime is already required by SL, and includes a good MIDI sequencer and samples.

Fair enough. I didn't know that about QuickTime.

Agreed on all counts; but there is a way to work around that, and it wouldn't have any notable impact on performance: Include a good quality set of instrument definitions/samples with the viewer software. As I said, an extra 4-5MB of data isn't going to kill anyone, the crappy samples embedded in sound cards and in Windows get bypassed, and there is a virtual guarantee that everyone will hear the same sound, at the same time, as intended by whoever was providing the sequence.

There is actually an interim format, MOD format, where the music file consists of MIDI-like command sequences _plus_ the set of instrument samples the composer wants to use in the song. It was very popular on older machines and in computer games, and I believe some software still uses it, so that could be an option.

That's not actually true. At least one Linden has gone on record to say that, before the VAT charging "officially" came in, they were actually charging VAT but giving Europeans an implicit discount so that the total amount they paid came out the same. Now I know US users may consider that unfair and that's fine, but my point is, charging Europeans more (and in doing so, wrecking the land resale market for them) is not the only option.

Thats good. Youve defined your target market. Always a good sign. You lost me for a while there. Specially when you were debating Jesse. Jesse was making some excellent points and I didnt get why you appeared to be taking issue with them. Now that I do. So glad we got that cleared up =)

Just a comment on two other points you made.

Edit: (deleted as points addressed later in thread)

Kool =)

Is great when people think outside of the box and come up with solutions that work for them.

linxplsthnx

Oh, I remember MOD files! They were especially popular back in the Amiga days! I remember one really cool thing about these Protracker files was that the samples could literally be ANY sound source; thus, it was possible to replicate an actual CD track in MOD format, much like how SL replicates whole CD tracks now.

Ah yes, the Tracker format (*.MOD). Someone suggested Tracker files on SVC-640. I don't think they would be useful... given the size limitations of audio assets there wouldn't be room for any significant number of samples (or any samples) in an uploaded MOD asset. MIDI gives you the advantage of Tracker loops without the overhead of Tracker samples.

Don't we call those freebie stores?

I didn't really have a problem with Jesse's comments...was just a misunderstanding in reading 1 of her comments..when she sounded put out about what permissions she should set in her own shop...i actually agree with 100% that its no one's business. I had to point out it was another group of people debating/ arguing over permissions sets and not me!

On the face of it yes! But if they are quality products all made by the same creator...it could be a clever and smart marketing tactic. For one he/she can advertise them as being FREE goods and wouldn't be lying, which will always drive up traffic anytime you use the word "FREE" is SL searches or adverts ! I must confess its a bit high risk tactic, as you are relying on customer generosity.......certainly if one's sales were quite low beforehand, it maybe worth a trying.

How much would diamonds be worth if they would be "copy"? SL economy is screwed because of free items around. People thought they will drive traffic if they give for free and creators thought they will become popular.
My simple solution would be: "Only creator can make copies". But I don't think solution is interesting to them, cos less money spent for items, more money left for land and tier.

Um, Pinos, most of the good freebies ARE "only creator can make copies".

Here's a business idea:

Many creators use vendor systems. Someone could create a networked vendor system that creates "accounts" for all customers. When a customer spends enough money at the store (or stores, if several businesses want to combine) the customer gets issued a gift card for what ever amount the business owner chooses to offer.

The vendor systems already exist. The gift card technology already exists. The tracking of customers to send out product updates already exists. Just put all of it together. This way businesses can still reward shoppers without providing freebies that gradually erode away at their sales.

It's a good idea, but the key value of freebies is that they get people to visit the store who have never spent money there, and who therefore might do so if they see something they like. Adding value to purchases is a neat idea but I don't think it would have the same effect.

It's a sad state of affairs if a shop's main marketing strategy is to periodically hand out Freebies or organising Hunts for freebies to the general public in order to get visibility. The crux of the problem is due to lack of or limited SL marketing tools available. If shops choose that way....well fair enough, they need to generate sales to cover their Land tiers. It's more a "live for today" strategy as opposed to "plan for tomorrow" one. When you have 100's or maybe 1000's doing likewise....it's easy to see how the "Freebie Culture" has kicked in. Long term i cannot see anything good coming from it.! That's my opinion and i will stick with it....i know many will disagree with me and thats fine too!

So, it makes more sense to reward people who MIGHT shop at your store rather than the ones who are willing to spend money are your store?

Once the shopping system moves to web based via XStreet the value of freebies to get people in your door is going to drop precipitously....

The best advertising you can get is people wearing your stuff. Do you want people advertising your freebies or your items for sale?

Good idea Isablan!
I can see XStreet being fully integrated into SL's viewer at some point...which will provide additional marketing tools for Shop owners....and as you stated, hopefully a shift away from this "freebies" strategy.