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September 11, 2009They will no longer market their online dial up services, and they are giving it all away for free. Even their security software and premium services potentially. The strategy is to concede defeat to broadband and free services by Yahoo/Google/MS and try to convert some of the brand loyalty into advertising dollars. Can they survive?
They will no longer market their online dial up services, and they are giving it all away for free. Even their security software and premium services potentially. The strategy is to concede defeat to broadband and free services by Yahoo/Google/MS and try to convert some of the brand loyalty into advertising dollars. Can they survive?
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It is risky because of all the revenue they will lose. But AOL is thinking that with free service, more people will be on their website and therefore more advertising dollars would go their way. AOL has been steadily losing customers as people switch to other providers. Therefore they feel they need to try something new. I feel it is risky because you are giving up a steady stream of monthly fees that customers pay to use the dial-up service. Hopefully what they do will work out though part of me feels extremely unsure that this is the right move.