www.kachingle.com www.kachingle.com | cynthia@kachingle.com

9/22/09 9:43pm PST

Cynthia Typaldos, Founder

The Social Payment Platform for Online Content & Services

in the World of “FREE”

BarCamp, ViennaJune 29, 2010

www.kachingle.com

For most news/content sites, advertising-based business models are not enough to pay the bills.

Problem to Solve

www.kachingle.com

Paywalls and moving content

to iPhone, Kindle or iPad

are just plugging holes

in the dike…

www.kachingle.com

Newspapers

Magazines

Books

Music

Photos, Images, Art

Video, TV, Movies

We now live in the world of “FREE”!

FREE!

$, €, ¥Before

Now

Anything that can be digitized will be “napsterized”

www.kachingle.com

More choices sound great BUT…

“Why more is less”

— Barry Schwartz

http://www.shirky.com/writings/fame_vs_fortune.html

www.kachingle.com

Micropayments sound great BUT…

“…the act of buying anything, even if the price is very small, creates what Nick Szabo calls mental transaction costs, the energy required to decide whether something is worth buying or not, regardless of price”

— Clay Shirky

http://www.shirky.com/writings/fame_vs_fortune.html

www.kachingle.com

Users want to make their own decisions BUT…

Experiment with musician in subway station

— Robert Cialdini

http://www.shirky.com/writings/fame_vs_fortune.html

www.kachingle.com

Users may not trust a new service, a 3rd party in between BUT…

“...if they knew for sure there money was absolutely, positively going where they want it to, that would make a difference”

— Cynthia

http://www.shirky.com/writings/fame_vs_fortune.html

www.kachingle.com

Users don’t want work BUT…

They want to have fun!

— Bunny the K9 Kachingler

www.kachingle.com

What will it take for Social Payments to succeed?

user-centric

no “mental transaction costs”

tap into existing social networks

financial transparency

fun, entertaining, like a game

These are Kachingle’s Guiding Principles!

www.kachingle.com

To build an online persona, achieve recognition, gain status …

Why would People Pay for FREE content?

…. and to support a “voice”

www.kachingle.com

What is Kachingle?

Tipping

Micropayments

Subscriptions

Kachingle

www.kachingle.com

● ____ __ ____ _____ ________ _____●Click to edit Master subtitle style

Site Owners just add a Kachingle medallion to their

site

www.kachingle.com

Via the medallion, sign up for a Kachingle account and commit to a $5/month withdrawal from a Paypal accountWhenever you encounter a Kachingle-enabled site, that you like and want to support, mouse over the Kachingle medallion and just click “Kachingle this website”, onceAt the end of each month, your contribution is shared among all sites that you “kachingled” during the period based on number of daily-visits to each kachingled site

The Consumer Side of Kachingling

www.kachingle.com

The Kachingle Medallion

… when one decides to kachingle a site

Before After

www.kachingle.com

www.kachingle.com

www.kachingle.com

www.kachingle.com

Push status updates through microblogging sites(e.g. Twitter and Facebook status integration)

Additional Planned social media applications:

Facebook app for comparing your contributions to friends and expressing your values

iPhone app:

Live access to statistics

Compare your behavior to others

Social Media Integration

www.kachingle.com

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Ease of use (reduction in “mental transaction costs”)

difficult effortless

Micropayments

Decide each timeAt price set by producerNo financial limitsEncourages copycat sites (e.g. music biz)Creates barriers for viral & social behaviors

Kachingle, business model of choice for the world of “FREE”

Decide each timeAt a price explicitly set by userNo financial limitsCo-exists with advertisingEnables viral & social behaviors

Tipping

SubscriptionsDecide once (for each subscription)At price set by producerNo financial limitsEncourages copycat sites (e.g. music biz)Creates barriers for viral & social behaviors

Kachingling (crowdfunding)

Decide once (for everything)At a price implicitly set by user (equitably distributed)Financial limits (bounded total $)Co-exists with advertisingEnables viral & social behaviorsSocial recognition & association

www.kachingle.com

COMPLETE Financial Transparency

Necessary Counterpart to Altruism to build Trust

Every operation is recorded and can be tracked down

Consumer’s Payment page shows sites that received part of the $5 contribution

Sites see the same page and know how much money they are supposed to get

www.kachingle.com

Carta:Now at 201.48

March 17th, 2010:

Kachingle makes

first “social cents”

payments

“My blog earned $65.08 via

crowdfunding!” – Steve Outing

Now at $136.03

www.kachingle.com

Vielen Dank!

Thank You!