I was reading a post on TechNation Australia which contains a quote from the co-founder of a new services market place who describes their point of difference as “not charging”. Free is a great way to get people to try your service but price is never a point of difference. You will always find someone willing to sell a similar product for less. In the end you’ll either lose your point of difference or end up reducing your price until it finally costs you money to make a sale.