Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

From the ops side my situation's similar.

The more so as the team is often small (one-person ops teams are probably the norm, at least by number of establishments), and workload is often already overwhelming.

New technology and/or products always come with unanticipated consequences and downsides. Expecting to make a decision on a major, or even minor tool isn't something that can be rushed.

One model I'd noted as innovative at the time was for a SAAS company to offer a free tier of service, in the case in mind, with limited data retention of a monitoring tool. That struck me as an exceedingly good way to balance the power of the tool (all other features were otherwise available), whilst also providing a clear and reasonable upgrade path to a paid subscription. When that company IPO'd and revealed its CoS (cost of sales), I was surprised to see how high it remained (on the order of 40--50% of revenues).

Selling (and buying) complex information goods is hard, whether that's software, services, consulting, news, or anything else. There's a copious literature on the production side addressing the zero marginal cost / high fixed costs predicament. There's less on the buy side, though Akerlof's "Market for Lemons" addresses this in part. Reducing uncertainty, increasing knowledge, and mitigating purchaser risk without needlessly offsetting revenues seem key to the issue.



Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: