Mobile Commerce Chapter 10

how media media doe sth average adult consume each year?

4800 hours, 60 percent from digital media account, desktop 8 hours

online content revenue models

• subscription

• a la carte

• freemium

subscription

pay a monthly fee for unlimited access

a la carte

users pay only for what they consume: movie rentals

freemium - more willingness to pay as content quality improves

free versions with ads, paid versions with premium features

subscription fatigue

cognitive and emotional overload from managing too many subscriptions

dhivya et al key findings

• 42 percent feel overwhelmed by number of subscriptions

• average number of subscriptions are 5.6 per person

• users with 6 plus subscriptions are 3.2 percent more likely to cancel soon

• bundles can reduce subscription fatigue

Digital rights management

technological and legel systems to protect digital content from unlimited copying and distribution

• restricting copying of content

• prevent piracy and enforce licensing

traditional DRM

• centralized platforms

• walled garden systems limit sharing 

• copying cannot be fully prevented

• limited cross platform use

blockchain drm

• decentralized, transparent, creator owned

• smart contracts handle licensing/micro payments

• unchangeable transaction records ensure accountability

• more control for creators

walled garden system

A restrictive digital environment where users can only access content provided by a single source, limiting interaction and sharing with external platforms.

three segments of online publishing industry

• online newspapers

• ebooks

• online magazines

online newspapers

• most troubled segment for publishing

• revenue decline by 40 billion

• competition

• free and alternative sources

• failed to adapt with sustainable business models

• social media controls news traffic

polarization

mutual dislike/distrust between oposing groups, algorithm driven feeds can cause polarization. can be avoided by not using an algoritmic feed and incentivizing qaulity

• rage bait

e-books

• large growth in early years, followed by plateau

• self publishing revolution

• traditional publishers still dominate revenue share

• independant bookstores growing

• authors can bypass trad publishers

• wholesale model

online magazines

• digital magazines are growing in ad revenue, increased audias and social media traffic

online entertainment sectors

• tv and movies

• music

• gaming

• podcasts

transformation due to internet

• consuption anytime

• social networks

• streaming

• broadband growth

types of user generated content

• text

• video

• audio

• images/art

• games/mods

• photography

UGC revenue models

• advertising

• paid digital content

• NFTs

• fan tips/donations

• live events

UGC key ideas

democratizes creation, anyone can publish content previously restricted to studios, labels or publishers.

copyright and UGCs

because of safe harbour protections, platforms are not usually held legally responsible for user uploaded copyrighted material

safe harbour regulations

• platforms not liable as long as they

• remove infringing content when notified

• implement a process for copyright holders to file claims

• dont knowingly profit from pirated content

• created tension with rights holders

positive spillover effect

ugc exposure boosts awareness, drives paid platforms and acts like free advertising

god for

• niche artists

• older songs

• new creators

negative substitution effect

ugc provides good enough free version, so users may not stream or buy the official version

• hit songs

• recent releases

• popular artists

TV

• transition from cable to internet

• subscription streaming

• mobile streaming

• major shift in consumption patterns

movies

• online distributors gaining power

• phsyical sales declining 

• digital formats are cheaper but lower revenue per unit 

• AI threatens VFX, animation

Music

• 90 percent of sales digital

• streaming or digital downloads

• streaming dominates

podcasts

• on demand digital audio

• download or stream

• advertising rev model

gaming

• major growth

• console, social, mobile (fastest growing)

• gaming revenue is bigger than movies and music combined

hartmann

• can ai visuals match human marketing

• how do consumers perceive ai images

• how do ai images preform in real world marketing

• was are cost tradeoffs

findings

• can outperform visuals

• higher CTR

• ai is way cheaper

Jobs under threat

• actors

• voice actors

• scriptwriters

• animators and vfx artists

• costume/set designers

• editors

• storyboard artists

• composers

how will ocnsumers experience change

• faster, cheaper personalized content

• endless variation

• hypertargeting

• blurred likes

• more content, less trust

porters 5

barriers to entry - fall

threat of substitutes - rise

supplier power - shifts

changes in entertainment value chain

prompt - AI content generation - distribution - marketing