In his book e-Riches 2.0, Scott Fox highlights an interesting example of making money by giving away free information. MrExcel.com is a highly successful site that specializes in publicizing the tricks of using the popular spreadsheet program, Microsoft Excel.
Mr. Bill Jelen is the real person behind MrExcel’s success. Much of the money he makes comes from the sale of his books, filled with Excel tips.
He was able to transform his hobby into a full time business that generates streams of income for him.
What I found particularly fascinating about MrExcel is that he gave away the content of some his books a chapter at a time to people willing to subscribe to his free newsletter.
The sales of the books he gave away in free installments actually sold better than the books he did not give away a chapter at a time.
Why did this happen? Scott Fox attributes Mr. Jelen’s success to the online relationship he developed with his readers. In giving away something for free, many more people are willing to sign up and be interested in what you have to sell.
Then you have a loyal following willing to buy what you recommend. For Mr. Jalen, many of the same people who received all the free chapters of the book, also bought the final copy of the book. Amazing!
Not only did he build loyalty, he built up his own credibility. People began to trust what he said because they could see what he had produced over time.
I can think of three other side benefits of MrExcel’s approach:
- He was able to advertise and cross sell other products in his newsletter while giving away free chapters
- Now, people are more likely to trust and buy other books/materials he has written
- He has a loyal customer base willing to buy products and recommended related products in future newsletters
MrExcel has proven that it really is “better to give than receive!”
Here are some of MrExcel’s books for your reference:
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