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www.ecommerce-guide.com/solutions/building/article.php/125451
By Don Sussis March 26, 1999 Another downside to the sale of electronic information over the Net is that most information on the Net today is free. Intellectual property owners have little incentive to make valuable information accessible via the Internet because of the relational costs of accepting credit cards and other means of billing that result in costs for the merchant. The cost of processing a transaction via the credit card system would destroy any profit margin on inexpensive items. Early newletters aimed at physicians tried to sell individual articles and reports, but lost out to more ambitious Web sites that posted lots of this information for free, meanwhile being underwritten by pharmaceutical companies and instrument manufacturers. The true leaders in online pay-per-view have been pornography sites. Teasers -- very graphic pictures which promise more -- are provided for nothing. However, sales are made by using the "what''s behind the curtain" gimmick. You get "access", as long as you provide your credit card number.J Charges can be for access to certain areas on the site or for "timed viewing" (pay per minute, for example). Naturally, most of these sites sell magazines and products, too.
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