Q3 closed on a high note with an unusually strong September. Talk 11/12 w/Zee Linden
|
Inn Box
Registered User
Join date: 21 Mar 2007
Posts: 1
|
11-13-2008 12:30
they're happy about stats, but the only thing i see is that there is more land, with no significant increase in currency exchange -> they're takling money in tiers and people won't keep sl business working... stop propaganda and read newspapers from all countries, sl is dying
Inn Box
|
River Ely
Fabulist and working hard
Join date: 12 Sep 2006
Posts: 32
|
This is not so funny!
11-13-2008 13:01
Zee, your metrics are never fully released, and you know perfectly well the huge amount of data that is available takes an expert to interpret, that is why we ask you simple questions, simple as how many Open Sims were sold in the last quarter and what was their growth rate. Information you should have simply distilled before you created the 66% price hike, unless you plucked figures from thin air.
You have the answers, so why not share them?
_____________________
=^.^=
*R.E*
|
Ricky Yates
(searching...)
Join date: 28 Jan 2007
Posts: 809
|
11-13-2008 13:03
Hi Zee,
first, many thanks for actually engaging in a dialogue with residents. You are the first Linden Labs manager for some time who is actually doing that. What a stark contrast to the "talk with Jack and M Linden" where these two have been conspicuously absent.
Are you able to comment on a coming expiration of island grandfathering (195 $/month tier rate)? Is this on the horizon or may this be ruled out for the next 1-2 quarters?
Thanks.
|
Aminom Marvin
Registered User
Join date: 31 Dec 2006
Posts: 520
|
11-13-2008 13:08
Sorry, but I have a few more questions. There's a lot of unknowns, and you are helping fill those in  I'll try to keep them short. The largest sink category is "other" (this was why I asked the Supply Linden buy question.) What types of sinks are included in that? There's also an other category in sources (though far smaller.) What are those? Was a new desired land market equilibrium (more emphasis on mainland) a factor in the SL economic side of the openspace decision? (as opposed to the cost/resource issue)
|
Phil Deakins
Prim Savers = low prims
Join date: 17 Jan 2007
Posts: 9,537
|
11-13-2008 13:21
From: Zee Linden I hear you. Yes, we should have taken them off the market sooner while we evaluate what to do. We're not blaming our customers. We made the decisions and launched the product without the actual limitations that were required to make it a successful product. I've said before & I'll say it again, I wish we could have done this one better. Well, I'll give you credit for stating that, Zee. The "We're not blaming our customers." bit is inaccurate - you only need to read the blogs by Jack and M to know that the customers were being blamed - but thank you for coming clean about it. It's a pity that Jack and M have prefered to hide all week after inviting the discussion "with" them.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:35
From: Wildcat Furse Zee,
thx for the information, but listing here the number of 'overhead' you employed, only creates more 'negativism & frustration' and the 'I believe' statement doesnt satisfy my hunger neither. I want to see the 2009 businessplan! Clear actions based on FACTS & FIGURES, so we can decide our own investments for 2009/2010.
M, To my opinon you really need a good spokesman or woman (example : message linden) and leave all other LL staff out of those blogs here.
best regards, Wildcat Another way to describe overhead would be leadership. I think we've hired some great leaders. They'll build great teams and get the best out of their people. Lots to do.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:37
From: Novellium Siddeley Hi Zee,
For the first time since this price/land adjustement blog, you are one who interracts with the residents and provide some insight...Thank you and well done
We have 120 sims in Serena Estate so of course it will affect us and our residents. I also noted from your previous posting that the price increase is set in stone. I am not one to argue about your decision as you must have your commercial reasons behind this move and your own strategy.
These times are hard on the people due to the unfolding recession that is due to last the whole of 2009. As a commercial venture and as a show of concern for your clients, wouldnt you be able to increase your prices in 3 stages instead of 2? couldnt you also consider that from june to september there is a seasonnal slow down in the in-world economy due to summer, holidays etc.. I would request you to relay to your board of Directors a request to soften the price adjustement in more then 2 stages and if possible avoid the slow months so not to damage the SL economy and also show that you care for your residents. It would also make commercial sense to not to damage your client base. It definately makes commercial sense to increase prices AFTER the seaonal slow down..and NOT BEFORE.
I hope this request is reasonnable and can be implemented quite easily.
Thank you again for engaging with your residents. Novellium Thanks for your comment. 3 stages instead of 2 seems reasonable but I'm not the sole decision maker. I'm also hearing calls for grandfathering. Grandfathering creates some other problems, but I'll make sure we consider it again.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:37
From: Richy Nervous We get more complaints from those we are trying to relocate then we ever had with open spaces in general. Point noted. Definitely not a good resident experience is it.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:39
From: Paddy Wright Zee,
Thanks for the above words regarding OS pricing. I admire the way you have engaged in this forum in an open and forthright manner.
I hope that M does read every page, and learn that this is the proper way for his company to conduct forums.
If he has uttered those words to residents when he had the opportunity, a lot of us would not have lost confidence in LL. Thanks. Its difficult to stand up and take responsibility. So I thank you for your support. I'm still here reading every post. I'll be leaving this forum open until 5pm SLT and then I'll have to shut it down. But I will be back next quarter as well.
|
BlueGin Yifu
Registered User
Join date: 31 Jul 2007
Posts: 11
|
?Average Cost of Mainland?
11-13-2008 13:39
Why no report on the average cost of mainland? I would like to know the cost of mainland and how this compares to previous quarters. When LL flooded the market with new mainland, you announced that the goal was to keep the supply at a level to insure some value remained. How has that worked out?
|
Jean Swashbuckler
Registered User
Join date: 15 Aug 2008
Posts: 194
|
11-13-2008 13:42
From: River Ely Customer Experience Based on BBB files, this company has an unsatisfactory record BBB Definition: Personally River, I would never trust what the US BBB puts out. I have found them to be totally inaccurate in two of the largest US states, TX and FL. I don't have reason to believe they would be any better in CA. That's why I was chagrined to Kalyrra's signs on her towers in Nautilus. My two cents, but using the BBB to collar LL is weak.
|
Les White
sombish
Join date: 7 Oct 2004
Posts: 163
|
11-13-2008 13:50
From: Zee Linden Then when we made the change, we listened to the feedback and changed it again trying to address the various types of residents who were affected. We hope that we have found a way to address the issues of most people with the final changes that M announced. The way to handle the issue would have been to allow buy back of OS sims at the cost we paid for them. Anyone with a bit of ethics can see this. You lose nothing (refunding pigs in pokes/vapor ware) and have your resources back. Instead you decided a 67% price hike...with a more restricted (weaker) product was the way to go. It would allow you to keep the same income with lower resources(dumped sims) and damn the suckers who bought the OS Right? Is this not clear to everyone and their brother? It's a freaking supernova seen by all. So stop with the happy talk pretending that you are a bunch of idiots who didn't have a clue how things would fall. Though I'm tempted, I can't believe you are all really that clueless at the lab.The facts lead me to believe that you are more unethical then completely stunned, by slight degree perhaps. What ever motive it leads to the same result. We don't like you right now. Not one bit. We won't recommend you, in fact, we will bitch about you to anyone who will listen. We will call you liars and thieves and do. We look eagerly for other options. Some people are so desperate they sign up to the largely insane opensim projects...reversed engineered titanics ftw. The only solution is for jack to be shown the door...and really he stumbles on his own feet every time he tries to do something. For the good of all, can him or demote him to coffee boy (though he will charge you double the cost for a cup, leave out sugar and find some sucker volunteer to actually make the coffee). Do it now. I'll wait.... ...ok. The next step to removing your reproductive organs from our colons would be for Mister M linden himself to resign. To step down as the complete ineffective failure he is. We might even consider you ethical and a company worth dealing with again. Or you can just keep pretending that everyone, everywhere, is a brain-dead sheep and keep feeding us crap, because, after all...."Q3 closed on a high note with an unusually strong September."
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:50
That post writes: "Instead they usually steer us to examine user-hours, which notably fell in September." I should have pointed that out...user hours did fall in September. August is a 31 day month & september only has 30 days. Hours per day basically stayed flat I think. It also says "So, taking Zdanowski's advice on the forums, we should be using LindeX currency exchange volume instead as a measure of economic activity. Unfortunately that also fell in September; and again in October, as it happens." That's correct. LindeX volume did fall in September and October. August would have been the unusually strong LindeX month. November MTD is up about 1% over October.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:53
From: Nickle Bing We pay LL cash for tier on the mainland. I am willing to bet that 15% of premium members only have 1024m of land. LL is making $5 a month off of them. Multiply that times 10k and that comes out to 50k a month. Raising the tier free land to 1024 would be so much more attractive that I probably would go back to premium but as it stands, they make a lot more money off $5 a month that they do one premium account so I doubt they will ever raise the tier free land allotment.
And for those who always complain about how LL adding more land to the grid is screwing up the market, you are right. But LL is doing this because they have to. I am sure they people there are smart enough to know that this ruins the economy and it is not a good business model but as I see it, LL is barely profitable and they have to make x number of moneny a month to stay afloat. How do you think they do this? A lot of it comes from the auction of sims. This business model is hardly sustainable but raising the prices of sims seems to be the only band aid they have come up with. This option is definitely on the table when we re-configure premiums. Glad to hear you like it and will consider being premium if we did it. On your second paragraph, the initial sale of land is much smaller than the monthly recurring fee. We have not expanded the mainland in some time (except for Nautilus) as we let the price per meter grow as I indicated in an earlier response.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 13:58
From: River Ely Seems Zee, after answering a dozen or so questions here, has gone strangely silent. Gee, we must have asked a question that could not be answered with a flip off remark. no wait, Sigh, Its lunch time and I bet he has gone for a good lunch down down with his mates, more fun than squaring up to angry customers asking real questions. Might have guessed! River - sorry, I did go to lunch. I went with my kids to in-n-out. I'm back. Trying to answer all the questions I can. Happy to talk. I'm in Waterhead 173,83,26.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:01
From: Harmony Deschanel I still have on idea why you, Linden Lab, cares what WE sell mainland for once it's bought from you ... You still don't get it ... It's not the initial buy price from my experience that keeps people from owning mainland ... it's the monthly cost. I get asked this constantly whenever someone asks me about mainland.... First question is "How much per month is this going to cost me?"
Can you please try to explain why Linden Lab should care what Mainland sells for if the market will pay it, then what difference does it make to you what we charge for it? If the people won't spend L$25 per m2 for land, guess what? We'll lower the price so it will sell ... Real Estate people don't make money from sitting on land... they make it from buying and selling it for Linden Lab. Because they don't want to get involved in doing to for us. So give us a break and back off ... Let the market determine the price.
Why don't you come in and tell everyone in content creation what they should be charging for their stuff while you're at it .... Why only land? Good question. We use the price level to gauge the supply and demand. We balance the supply and demand by increasing the supply when the price gets too high. If the price gets to low we refrain from increasing supply.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:03
From: bo Heartsdale Zee,
Thank you for talking with us, been waiting for a week for this.
Sticking with the topic of this thread, trends, prices and expectations:
For this and next two quarters, are there any prices changes coming up after this OS thing? This is already costing me about 2 to 300 dollars extra and I really cant handle another set back without knowing in advance.
Full sims for example, will the fee change? For the next two quarters - I don't think we - or you - could handle another change.  I think we're good through Q1. I don't see the price of full sims changing. I'd love to see us improve premiums improve in the first half of next year - that may affect mainland pricing and 512 vs 1024. More than that I do not know.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:08
From: River Ely Zee, your metrics are never fully released, and you know perfectly well the huge amount of data that is available takes an expert to interpret, that is why we ask you simple questions, simple as how many Open Sims were sold in the last quarter and what was their growth rate. Information you should have simply distilled before you created the 66% price hike, unless you plucked figures from thin air.
You have the answers, so why not share them? I don't have how many were sold, but I do have how many we charged maintenance fees for - maintenance fees happen one month after they are sold. By that measure the number of open spaces increased 5,557 from the end of Q2 to the end of Q3. It started the quarter at 4,780 and ended the quarter at 10,337. I hope that helps. If you let me know what you're trying to get at, perhaps I could answer that more directly.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:11
From: Ricky Yates Hi Zee,
first, many thanks for actually engaging in a dialogue with residents. You are the first Linden Labs manager for some time who is actually doing that. What a stark contrast to the "talk with Jack and M Linden" where these two have been conspicuously absent.
Are you able to comment on a coming expiration of island grandfathering (195 $/month tier rate)? Is this on the horizon or may this be ruled out for the next 1-2 quarters?
Thanks. Checking.
|
Brenda Connolly
Un United Avatar
Join date: 10 Jan 2007
Posts: 25,000
|
11-13-2008 14:12
From: Zee Linden River - sorry, I did go to lunch. I went with my kids to in-n-out. I'm back. Trying to answer all the questions I can. Happy to talk. I'm in Waterhead 173,83,26.  Lindens eat? And have families? My God, you truly do have feet of clay... I'm mainly a detached observer on this issue, but I do think you deserve credit for attempting to address the issue here, anything is better than the usual silence and incomprehensible blog posts that we've come to know. And admitting the situation was mishandled is also refreshing. No rational person expects you to be here constantly, so make sure you get some dinner later on as well.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:15
From: Aminom Marvin Sorry, but I have a few more questions. There's a lot of unknowns, and you are helping fill those in  I'll try to keep them short. The largest sink category is "other" (this was why I asked the Supply Linden buy question.) What types of sinks are included in that? There's also an other category in sources (though far smaller.) What are those? Was a new desired land market equilibrium (more emphasis on mainland) a factor in the SL economic side of the openspace decision? (as opposed to the cost/resource issue) I've listed all the sinks below. Not sure which of these are in "other". If its not specifically listed in the summary, then its other. Desired land market equilibrium was definitely a factor. Less between the mainland and open spaces than between full regions and open spaces. Stipend Delta Stipend New User Cancel Account Land Claim Group Create Group Join Upload Charge Land Auction Classified Charge Web Listing Fee Parcel Directory Fee Classified Renewal Object Sale Gift Land Sale Inventory Sale Land Pass Sale Payment Object Pays Currency Exchange Group Dividend Partnership Registra Partnership Dissolut Linden Adjustment Linden Grant Linden Penalty Event Prize
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:16
From: BlueGin Yifu Why no report on the average cost of mainland? I would like to know the cost of mainland and how this compares to previous quarters. When LL flooded the market with new mainland, you announced that the goal was to keep the supply at a level to insure some value remained. How has that worked out? In an earlier forum response I listed the trend in pricing on mainland since the beginning of the year please refer to that.
|
Aminom Marvin
Registered User
Join date: 31 Dec 2006
Posts: 520
|
11-13-2008 14:18
Zee, though I personally think that the Openspace issue has been decided and will absolutely not changed, I must make an appeal here, as it seems you have a considerable hand on the economic side of LL.
You have stated that one of LL's current goals is to aggressively invest in Second Life's technology. Increasing revenue is one way to do this. However, there is another way: tap the power of the community you see before you to bring massive, meaningful benefits for both LL and its customers. However, to do this, major changes in the way LL works with its customers must take place.
First, let's look at the raw brainpower residents have devoted to this issue. Around the 9th, I did some figuring and testing, and found that if you take all the meat of the posts (leaving out unnecessary text) in the JIRA issue on openspaces, and the two forum threads, then pasted it as plain text in font 12 in Word, it would take 1400 pages to print out. 1400 pages of feedback, problem solving, and input, in less than two weeks. This doesn't include in-world discussion, or third-party blogs or forums. Everyone from professional coders, to seasoned residents, to casual users with a strong emotional connection have been involved. All of this has grown organically, being a true grass-roots movement, without any direction or leadership, and even so they have been able to form a powerful collective voice (even if LL has not listened.)
What if LL could tap the power of this community to aggressively develop SL? LL at current has around 300 employees. To this, it could add an army of _thousands_ more users. Motivated users without technical backgrounds, given the right, easy-to-use tools (beyond JIRA) could serve as bug and problem testers that could fast-track the QA process (which, from what I can tell, is a huge part of development.) Technically minded users could be used as think-tanks to figure out coding and technical solutions, and be used to quickly determine which solutions and fixes are among the most feasable. And the many professional programmers who use SL could tear apart the code to look for weak points, bugs, and other problem points.
All of the above is currently seen, but in a much smaller scale to what is possible if LL motivates them. The way to motivate them is to end the constant clashes and lack of communication. A possible first step is to post a weekly blog detailing some of the current concerns and issues LL currently has- before they act upon them. Until the openspace announcement, LL was silent on its concerns of this issue. This is a gap of 7-8 months between the first policy that resulted in the Openspace problem, and the given solution. Doubtlessly in between the problem was increasingly realized; it didn't come as a sudden epiphany. On the first sign of trouble, LL could have said "We are seeing Openspaces used in a way we did not expect. Here's our concerns: XXXX We are forming an in-world discussion group to address this issue, as well as a forum where possible solutions can be addressed. We will study possible solutions and give an update with some of the solutions that seem the best for further input." This would have began the conversation before it ballooned to a huge size (and the Openspace issue did indeed), and would show pro-active attempts to rectify problems at the first sight of trouble. This would not give a few an advantage because everyone would be able to see concerns and possible solutions, because of the transparent discussion.
A second step is to give credit for resident-led help in a way that shows that residents have a meaningful, valuable impact on SL for the better. If 200 residents were involved in the fixing of a certain bug, give that number. Post monthly reports that detail the immense help that Residents gave on issues. And, most importantly, show that through working together, LL and its customers were able to benefit both's interests, resulting in tangible things such as performance increases, more features, and lower costs passed on to the customer.
A third step is to open the door both ways. Form intensive communication tools that allow customers to address their concerns about Second Life- what their own needs and desires are. When such feedback results in change, admit it proudly- showing customers that what they want has affected SL is not something to hide at all.
Most of all, the above approach would only build customer trust- something that is the most important thing in a platform such as SL. All this passion you see before you could be re-directed towards positive improvements that would greatly enhance community in SL- the core aspect of what makes SL what it is.
|
Zee Linden
Senior Member
Join date: 17 Sep 2006
Posts: 153
|
11-13-2008 14:22
Aminom - Great ideas. I've copied and sent them to our executive team. Our residents do have a massive problem solving capability and I think M and Tom have both learned a lot from our mistakes in the Open Space re-launch, price increase and product change. I'm going to log out of the forums for a couple hours, I'll check back in around 3:30 SLT and be on until 5pm, then I will be closing down this forum because I can't moderate it anymore after that.
Thanks for all your comments and suggestions. I wish we could do them all. And do them all now.
|
Phil Deakins
Prim Savers = low prims
Join date: 17 Jan 2007
Posts: 9,537
|
11-13-2008 14:25
Hi Zee. I hope the break you're taking doesn't cause you to forget that you were checking about the possible end of grandfathered sims 
|