Kitely Market Hypergrid Delivery Enters Closed Beta

News reaches me that Kitely and their Kitely Market are moving closer to being able to deliver goods to other grids. This move will mean that merchants who list their items on the Kitely Market will be able to make their merchandise available to other Hypergrid enabled grids.

However, the system is currently in closed beta and this means that things may change before the system is officially unleashed.

Therefore if you are a hypergrid user this feature may be coming to a grid near you soon but please bear in mind if you see any discussion regarding this that this is an early beta system. Features you may hear about now, may not be in the final product, indeed much of what is in early beta could change.

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The Trouble With Pricing Models

No matter what price a company puts on a product, there are going to be people who complain about it. There are umpteen examples of this, a glaring one for Second Life users is tier pricing. The tier is too damn high for many potential use cases of Second Life, but it is what it is. However there are ways and means of introducing pricing structures that can help to attract more customers.

The Elder Scrolls Online will be out soon, with an upfront fee and a USD$15 a month subscription fee, and there have been plenty of complaints about it. The price itself is not outrageously expensive but the pricing models for MMO’s has for some time been moving away from a subscription only model. Indeed Second Life is a glaring example of a product that moved from a subscription only model, to a choice of payment model and undoubtedly prospered.

I’ll be amazed if The Elder Scrolls Online does not change its pricing model within a year or two of release. I’ve seen this before with Star Wars The Old Republic, Age Of Conan, Star Trek Online yadda yadda yadda. The MMO market has moved on in the main from the subscription only model. There are at least two whopping examples of pretty much subscription fee only models, World Of Warcraft and Eve-Online. WoW has the people, that’s something you simply can’t buy. Eve-Online is far more niche, that’s a good advantage, but in the main the subscription only model is heading into extinction. The thing to note is that many a free to play MMO model offers a subscription option.

Now the new SL Go is getting criticised for its pricing model and I personally think this is a bridge that the concept won’t be able to cross. The technology really is brilliant in terms of delivery, the pricing model is quite heinous and there is a virtual world precedent here, Kitely.

Kitely had a pay per minute plan, it was not quite the same as the Onlive SL Go model, but it was a pay for your time model. On January 1st Kitely changed their model quite substantially, announcing in a blog post:

Until now, users had a certain number of Minutes that they could spend in-world; this was similar to the Minutes in a cellphone plan. Unfortunately, using Minutes had some downsides.

The biggest problem was that using Minutes caused anxiety among casual users: they had to count their Minutes and “spend them wisely”. But starting now, visitors never pay for visiting a world. It’s possible that a user won’t be able to visit a particular world due to the access settings chosen by the world owner, but if they can visit the world then it’s completely free for them.

Whereas paid time has not been completely removed from Kitely, the onus now falls on a sim owner to pay the bill for visitor’s time, but Kitely has a range of other options that mean sim owners can avoid such fees and it’s this sort of range of choice that helps end users.

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Kitely’s New Pricing Structure Closes Some Doors And Opens Many Others

On January 1st Kitely finalised their new pricing structure. This provided new fixed price options, but worryingly took away the two free hours a month from free accounts. New accounts will get six hours of free time, which once used up, means they will need to buy Kitely Credits to visit their own metered world, those six hours don’t need to be used up in one month. However on the plus side free accounts no longer have to buy minutes to continue exploring. I have some concerns about how this will pan out and things didn’t start well when I tried to login.

Image of Kitely message
Not allowed to login

That was due to trying to login to the last world I visited. This world must have set their world to not allow free accounts anymore. So I decided to head home ….

Kitely image should be here
My Home Suspended!

So now I can’t visit my own free world anymore! This took me a little by surprise, I thought they may have allowed people a month with a little free time at least. However as there’s pretty much nothing on my own world, this is no great loss. So what next? I decided to explore and this is where the new pricing structure could well work well because now I can explore without worrying about being charged Kitely Credits for doing so.

Dragon's Teeth In Kitely

Dragon’s Teeth

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2013 Reviewed

The challenge with a review of the year is to try and make it worth reading. There’s a balance between including information and including too much information. This year’s review is largely based on Second Life and my own posts, so there’s plenty of information that I will be missing. For those who want a more in depth review, Inara Pey has been reviewing 2013 too.

For me personally it was a difficult year, Reed, Dee, Izzy and TJ Linden all gave me wonderful support, even when I myself was more than a tad grouchy with them but I do appreciate the efforts they made to accommodate me.

This post is not as long as it looks, if you skip the pictures, links and embedded videos it won’t take as long to read as you may think at first glance. I did consider breaking this down in to different posts, as I did last year. However at the end of the day it is what it is, so it looks like it’s epic in length but it’s really not. However to aid people I’ve decided to go back to HTML school and create a table of contents! Hurrah.

Contents

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Ilan Tochner On Kitely’s Pricing Changes And More

In my previous post I mentioned Kitely’s forthcoming changes to their pricing structure. I had a few questions regarding this and other aspects of Kitely so I contacted co-founder and CEO Ilan Tochner who was more than happy to answer my questions.

Ilan also talked about the Kitely market, arts and education in Kitely and how users would like hypergrid access. For the purposes of this interview CL is me and IT is Ilan Tochner … I think you probably worked that out for yourselves, now on with the interview!

CL : “What is happening to the free time based plan that provides users with one free sim and two hours worth of time based access a month?”

IT : “The Free Plan will be discontinued. The Regular Account that will replace it will also include 1 free Metered region (what is now called time-based billing region) but will not include the free time quota that you have now. What will replace that will be announced on Jan 1.”

CL : “If someone signs up this month for a Gold or Silver plan, even if they are not currently a registered user, will they be grandfathered in too?”

IT : “Yes, you’ll be grandfathered in as long as you create an account before the end of the year and get on the Silver or Gold plan before Jan 1. Please note that our backend uses GMT so US-based people shouldn’t wait until the late afternoon of December 31 to order because our system will already consider that to be Jan 1.”

CL : “The bronze plan granted people two free sims a month, will people currently on the bronze plan still be able to keep their 2 free regions a month when they are downgraded to a regular account?”

IT : “The Bronze Plan is discontinued, as stated in our announcement people who were on that plan will be switched to the Regular Plan on Jan 1. They will not have 2 regions grandfathered in as they are no longer paying us for a subscription (we canceled all the Bronze Plan holders’ PayPal subscriptions for our service). People who had more than one Metered world can continue paying for it using our standard 10KC/day/region rate. The only price change for Metered worlds is that OAR-based operations will cost 150KC/operation instead of 10KC/region/operation. Alternatively, they can export that world to an OAR file now (while it still costs just 10KC/region) and delete the excess world.”

CL : “When will you be announcing the new fixed price options?”

IT : “Fixed-price options will be announced when we make them available on Jan 1.”

CL : “Under what circumstances is the time based billing option, the better option for someone?”

IT : “Time-based billing can be better for Premium Account holders as it can provide them with a lot more regions for a much lower cost than paying for each region using a fixed-price option. When all the visitors they expect are Premium Account holders neither they nor their visitors have to actually worry about time as none of them will be paying extra for it. Funding other people’s access to your Metered world can still be cheaper than paying for a fixed-price world if you don’t get a lot of visitors/hours in that world.”

CL : “Just to clarify, minutes only apply to visits to time based regions, minutes are not deducted when someone visits a fixed price region?”

IT : “The entire concept of Minutes is irrelevant for fixed-price worlds. They aren’t used there. Those worlds are like regions in Second Life, you pay a fixed price for the month and no one is charged for time inside them.”

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