This is a great write-up that links a key element that makes digital content consumption such a massive success, with how unrelated businesses need to approach their marketing and customer service.
"VOD services like Netflix are giving us an invaluable glimpse into how consumers wish to engage and consume information and how they are exchanging their own data in return for added value services."
Today’s consumer is expecting his\her interactions with content to be continuous, uninterrupted, value added, and efficient. The same applies to how customers (and businesses) expect their conversations to be with businesses. Notice that I am not even stating conversation or interaction as an expectation - This is already a given in today’s constantly connected world.
Businesses that don’t get this concept, nor do anything about it fast, are at risk. They need to adapt to a new way of dealing with their customers, which is driven by new technologies and changing habits.
Pepsi Max launches a social media campaign driven by innovative content marketing
And with over 5.5m views of their youtube video in less than a month, it can be called a success.
This was part of Pepsi’s #LiveForNow campaign, Pepsi Max built a bus shelter ad in central London that made it appear as if unbelievable events were taking place in the street. The booth used in the video used a camera to film an exact view of the background, which was then overlaid with additional images of unbelievable events
Back in March 2012, I posted a quick write-up on my Entertainment specific blog site about why I thought a 4billion $ valuation of music streaming service Spotify was just plain silly.
Having recently read this well analyzed write-up of how the consumer’s willingness to pay for music is far lower than what streaming services charge, I felt obligated to somehow link the two posts.
Now, how many out there would bet on music streaming services growing into healthy businesses if the business model does not change?
Hint: Services such as Spotify have never been profitable, so the only thing currently supporting their continued operation are Telecom subsidies (guaranteed licensing fees from Telco bundled subscription offers) and VC funding. Advertsing revenues? Wouldn’t even come close to pay for the cost of content…
"the agency is not strong enough to control how the internet – and, with it, users’ online behaviour – has developed."…BINGO!
click on the above link or here for the full article.
This is an excellent example of how content owners need to adjust their strategy to leverage digital platforms to their benefit whilst providing digital consumers with the freedom they demand in their content consumption. NB: Getty Images is allowing free use of their 35m images only for non-commercial purposes, but this is likely the majority of current copyright infringement cases.
Why is this such a good move? (i) no more wasted time, effort, and cash in pursuing copyright infringement that results in ZERO in-pocket revenues, (ii) facilitated viral distribution of their IP, which ultimately translates into free marketing, and most importantly (iii) once Getty achieves mass distribution of its IP for non-commercial use, they simply need to turn on their advertising model and they will make heaps of cash from advertising fees - converting a zero revenue copyright problem into a new revenue stream.
Now if only the music industry would catch on…sorry, but services like Spotify are not the same thing!
The “smart” startup that identifies and monetizes #video #content #online
This is an excellent example of how a company has combined the digital revolution & the fear of content owners losing-out on revenue streams from social platforms, to build a business that works not only to help keep premium content “shareable”, but to also help content owners monetize that content. Thanks to #ZEFR, content owners need to do less policing of their #IP on the internet since they can #monetize #content that is shared by their fans on sites such as #Youtube. ZEFR has taken their unique algorithm even further by selling the concept of leveraging free-to-view content to brands - ZEFR help brand owners maximize the business benefit of people who believe in their #brands. See how in this video.
Netflix has agreed to pay Comcast to ensure Netflix movies and TV shows stream smoothly to Comcast customers, a landmark agreement that could set a precedent for Netflix’s dealings with other broadband providers.
But more importantly, this is a sign of the challenges that any OTT entertainment provider may face more of in the future: In order to ensure the best quality of service possible to customers, OTT players may need to start paying for it through deals with ISPs & Mobile Network Providers (MNOs). This will likely become too expensive in an already margin poor business model and this may also lead to conflict of interests for ISPs or MNOs in certain markets where OTT players will be considered as direct competitors in key areas.
Streamnation says it will let you “borrow” digital versions of friends’ TV shows and movies. Good luck!
Interesting concept that will have content owners on the defensive…