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The Cost of Free Doughnuts

npr.org

1–10 of 35 posts

Re: The Cost of Free Doughnuts

#2
Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product.

If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

Re: The Cost of Free Doughnuts

#3

Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product. If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

I think that idea might be a wee bit insulting of the troops' intelligence.

Re: The Cost of Free Doughnuts

#4

Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product. If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

I think that idea might be a wee bit insulting of the troops' intelligence.

The troops probably have the same range of intelligence as everybody else. And the PR problem is mainly with those on one end of the continuum, not the other.

Re: The Cost of Free Doughnuts

#5

Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product. If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

I think that idea might be a wee bit insulting of the troops' intelligence.

Do you really think that the American troops were that much smarter than the average American?

Re: The Cost of Free Doughnuts

#6
I certainly see the point they are trying to convey, but this is a bad analogy.

The Red Cross receives funding through donations and/or government subsidies. The donuts really are not their core product, if anything they would be more akin to a retail 'loss leader'.

The average web startup only has one core product, at least it gets to the Facebook scale of having thread its way into multiple aspects of your life. These startups are only getting their money through venture investors, who most certainly do not view their checks as 'donations'. So, there is a basic requirement to transition from free to revenue generation in some fashion.

The troops most likely saw the donuts as a small token offering from the Red Cross, and also felt they had done something to earn these free donuts. While there is a lot of feelings of entitlement among some customers of free services, I think the bulk of the users understand the company has to make money somehow.

In many cases the 'freemium' model appears to work well, as long as the paid versions offer obvious value. I wouldn't recommend for most people to not offer some free version of the product, but I also wouldnt warn them against charging for their products via a story about Red Cross donuts.

Re: The Cost of Free Doughnuts

#7

Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product. If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

I think that idea might be a wee bit insulting of the troops' intelligence.

Well the troops are the ones holding a decades long grudge against the Red Cross for a decision made not by them but by the Secretary of War...

Re: The Cost of Free Doughnuts

#8

Perhaps a way to prevent the reaction from a change in category is to discontinue and rebrand the product. If the Red Cross had shut down the donut stations and then came back some time later with comfort food in a modified form, the soldiers would see the new stations independent of their anchor to the previously free stations.

I think there's also a bit of entitlement. I don't intend to imply the negative connotations. However, these soldiers are putting their lives on the line, so is a free doughnut so much to ask?

Indeed, the fault lies with SecDef for the change. And the change affected a certain aspect of morale. But the suggested change would most certainly have been noticed. If Red Cross was the only place to get this item, then it dried up, then someone else made them available, even at a pittance, the entitlement sentiment exists and colors the experience.

Re: The Cost of Free Doughnuts

#9
post #5

Earlier quoted context omitted.

I think that idea might be a wee bit insulting of the troops' intelligence.

Do you really think that the American troops were that much smarter than the average American?

Do you really think the average American would fall for that trick?

Re: The Cost of Free Doughnuts

#10
post #5

Earlier quoted context omitted.

Do you really think that the American troops were that much smarter than the average American?

Do you really think the average American would fall for that trick?

Of course! Companies use this trick again and again all over the world.
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