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Friday, January 02, 2009

The world is fast changing

"The World Wide Web and peer-to-peer networking have effectively dismantled the business models of Old Media: newspapers, magazines, publishing, music, network TV and Hollywood. As all media becomes either free, shared or low-cost, there is no way high fixed-cost Old Media can survive."
"These trends are accelerating. Newspaper circulations are plummeting; few citizens under the age of 40 subscribe to a "dead tree" newspaper. Why pay $250+ a year for a subscription when all the valuable content is on the paper's website for free?
Magazine circulations are falling, as are ad pages and the sums advertisers are willing to pay for an advert.
Now comes the really bad news: standard advertising/marketing no longer works very well.
There will always be a place for print books and media, but the assessment of value when digital resources are free has shifted.
But the days of people paying $300/year for a newspaper subscription, $25 for a hardbound novel that offers two hours of distraction, $15 for mostly mediocre music on a CD or $16 for a film DVD are passing.
The markets are priced according to the costs of manufacture, distribution and size of the markets. Downloading an entire 100,000 word novel takes only a few moments and a few pennies of electricity and disk storage; it is as close to "free" as is possible. "

Yes the Media World is changing, but not only.
The whole producing and consuming world is changing.
What is in stock for the next future?
The very next will be a preface of the long term.
It is the whole business plan that is changing and the ones who didn't realize it yet will suffer most.
Goodbye middle men, middle companies, middle whatever.
The Market of the Future will be a direct Producer-Consumer.
The Middle will be something like a Portal where you find in a relatively short time and relatively easy way the producer you need.
The Middle will cost almost nothing so that the producer will earn more and the consumer will pay less
That is what it is happening on Websites like eBay, where you contact a digital supplier and you save.
But in the Media world you will contact the singer or the writer or the DVD or whatever producer and get better prices.
We will pass from a employees world to a free lancers world.
More difficult, but more rewarding.
You will produce, promote, sell.
And this will be the only way to fight against the "free lunch".
Usually when you find a good cheap lunch, you prefer it to a bad free lunch.
Or you should.
As for "There will always be a place for print books and media"
"Printing and shipping a book (or DVD, CD, Sunday newspaper, ad-larded magazine, etc.) costs much more and hence it must cost more.".
That is. We'll have something like a "virtual printed book or magazine or newspaper" and when you finish to read it, you just delete or you keep what you want and you have back a blank screen where you can store the next...cheap, good, readable, may be with sounds and beautiful colours...
The world IS changing and I love it...
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