Part 4 Future of Media

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The fourth and last part of the presentation The Future of Media Companies focuses on the generation of revenues. The revenue model a media company envisages is intimately related to the vision of its role in the market.

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Part 4 Future of Media

  1. 1. The Future of Media Groups: Some Notes on Revenues (part 4 of 4)
  2. 2. Which Platform is Best for Revenues?Some media companies have been trying to include users ascontent generators and hence they benefit from a betterbrand image and diversified revenues.The following two slides present two different visions ofapproaching long term income generation.From my experience, media managers will use them as thebasis for a much longer discussion
  3. 3. Which Platform is Best for Revenues: This One? Current and potential Support of Revenues competitors Other contributors Other contributors Other Other contributors contributors Own News Wired Wire services services
  4. 4. …Or This One? Advertising network Partnerships Classifieds Training Etc… Bloggers, Other contributors E.Comm Local Active Citizens Contributors physical Database activities Other contributors External sites Citizens Other contributors E.Comm Own virtual Events: News Sport, other Et cetera Data bases Wire services Niche verticals Fairs Links Crowdsourcing Members Market hips analysis Coupons Local deals Rest, life… www.fernandosamaniego.com
  5. 5. Other Questions About your Company On Revenues What is the % of revenues coming from digital? What is the % of analog revenues lost you intend to recover with digital during next 3 years? What is the % of digital revenues not coming from static formats? Do you have self service advertising? Do you have specialized sales force? (al least for some projects) Formats in which you serve ads? I.A.B., Internet Ad Revenues by Format 2009 v (2007)
  6. 6. Be Ready for this Scenario OTRO EJEMPLO
  7. 7. Fish Where Consumers are Marketers Interest in Two-way Media for 2010Booze & Company, Marketing & Media Ecosystem, 2010
  8. 8. “An Emerging Agenda for Digital Leadership”Booze & Company, Marketing & Media Ecosystem, 2010 www.fernandosamaniego.com
  9. 9. When the Going Gets Tough… www.fernandosamaniego.com
  10. 10. Revenues from the Local Market: Video, highest ad awareness Increased usage Greater Effectiveness for AdvertisersHighest impact, yet not bothersome How do you capture local video? How many pieces do you get per week? Interactive features for users? What % of your traffic comes from it?
  11. 11. Revenues From the Local the Local Market: Revenues From MarketSearch  Search technology: indispensable to manage the ever increasing amount of database driven content. Improves answer relevancy Advertising: to benefit from contextual ads by linking content with advertisingAlso: Merchandising: by connecting buyers’ needs and desires with products, with fewest possible clicks. Tools that allow up-selling and cross-selling in contextual and personalized way Content: to create specials, to update previous content, for classification clustering…etc. For a Media group: it facilitates content creation and increases advertising inventory (web pages) at no cost. Personalizing: finding the known as well as the unknown (related content and products) Search also: -Improves answer relevancy in classifieds -Gives unity and sense to a series of disparate data sources -Allows for more relevant business and consumer connections www.fernandosamaniego.com
  12. 12. Revenues From the Local Market Contextual Advertising The importance of search transcends Google. Contextual advertising places ads very exactly on websites, & mobiles. That’s why it’s called “precision marketing” Served at the time and place chosen by agency: premium charged When well done, ads can be as useful as content for the user It can be used with traditional ads (e.g. banners), text, video Advertising moving to performance formulas: traffic becoming more important (higher click through volumes) Can you do it now?
  13. 13. Revenues From the Local Market E-Mail MarketingBased in discriminated customer lists to email content, alerts,offers…often with targeted ads Business clients need it to generate repeat business (existing customers and new ones) Be reassured: businesses benefit from being linked to a reliable local brand, opt-in pool of consumers (i.e. giving consent), higher expertise and lower costsIf possible, wrapped in your own brand, but with material created/managedby local experts. Also, video email mktg.The Local Media Player relies on advertisers, consumers and commercial expertise to satisfy a real local need www.fernandosamaniego.com
  14. 14. Revenues From the Local MarketPromotions Businesses need short-term increases of sales Advertisers moving budgets to lead generation Coupons, discounts (in price, free shipping or extra merchandise) & rebates (mainly for services, since no sale today = lost sale), samplings, sweepstakes, games…etc, address the consumer directly. They can complement other mktg actions. Medium local businesses do not have the infrastructure/expertise. Often excluded from P.O.S. actions because of size. A new gym, a restaurant under new management, a business selling out stock, communicating a new location…are examples of local life A local media player is in a position to satisfy those needs with creativity
  15. 15. Contextual and Opportunistic E-commerceNot to be discarded!Some papers acknowledge good profit from it
  16. 16. fs@fernandosamaniego.com +1 787 309 2927

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