„ Who says paper is
dead? “
Dr. Patrick Stähler | 1

8 theses
on the transformation of the
MEDIA
INDUSTRY
Dr. Patrick Stähler | 2

thesis
1. Tradition is not a
business model
Dr. Patrick Stähler | 3 Quelle: http://internet-manifest.de/

The deep fall of the music (media)
industry
Dr. Patrick Stähler | 4

„ Remember the times! How
emotional were the LPs’
covers!“
“
Dr. Patrick Stähler | 5

The bigger the capacity became, the less emotion was attached to the
medium itself, ….…
Schallplatte Musik CD iPod Shuffle
1000 min
45 min 74 min
Dr. Patrick Stähler | 6

…and the worse did the record industry perform.
Sales record industry worldwide
in bn $ (1999-2007)
41 40 40
40 37
34 35
33
32
30
30
20
10
0
1999 2000 2001 2002 2003 2004 2005 2006 2007
Dr. Patrick Stähler | 7

Always the others, in particular their best customers were guilty for the
drastic decline
Dr. Patrick Stähler | 8

The industry responed with MOTS or More-of-the-Same. More records
and fighting the customers
Dr. Patrick Stähler | 9

Innovativ business model came from the outside
Dr. Patrick Stähler | 10

New customers needs emerge:
That‘s how my harddrive looks
like
Dr. Patrick Stähler | 11

The case of the daily newspaper
Dr. Patrick Stähler | 12

A little quiz
What is this?
Dr. Patrick Stähler | 13

10.000 mio. USD classified market is evapurated by Craigslist with just
sales of 100 Mio.
10.000 Mio. USD 100 Mio. USD
decline in classifieds turnover Craigslist
2000-2008
Source: http://mediamemo.allthingsd.com/20090610/another-way-to-describe-the-
Dr. Patrick Stähler | 14 newspaper-crisis-the-craigslist-boom/

„ Tell me the difference.“
“
Dr. Patrick Stähler | 15

„ The Online version is
everything what the print
is plus a lot more
multimedia content plus
interactivity plus blogs.“
“
Dr. Patrick Stähler | 16

„ But did the revenue
sources follow you
online?“
“
Dr. Patrick Stähler | 17

„ The subscribers
turned their back
on you. As did the
classifieds :-(“
“
Dr. Patrick Stähler | 18

„ Not really your
day, dear media
industry. Both of
your business
models are dated.
Sorry!“
“
Dr. Patrick Stähler | 19

thesis
2. There is no such thing as
a media industry. Every
industry is special and
faces different challenges
Dr. Patrick Stähler | 20

*from a business point
„ What is a
newspaper?* “
Dr. Patrick Stähler | 21

„ I buy a newspaper for news,
comments and background
stories!“
“
Dr. Patrick Stähler | 22

„ With the WSJ I can reach 30%
of the decision makers! “
Dr. Patrick Stähler | 23

„ I buy the paper since I
am looking for a job.“
“
Dr. Patrick Stähler | 24

thesis
3. Traditional print is not
one business model but
three, kept together by
paper
Dr. Patrick Stähler | 25

Dr. Patrick Stähler | 26

thesis
4. The 1-to-1 transfer of the
print business model on
the web does not work
Dr. Patrick Stähler | 27

„ How can I react to the
changes? “
Dr. Patrick Stähler | 28

„ Who says paper is
dead? “
Dr. Patrick Stähler | 29

„ Who says print is
dead? “
Dr. Patrick Stähler | 30

„ Print is not dead. Important
is the right innovative
business model like of The
Economist!“ “
Dr. Patrick Stähler | 31

„ Paper is in many aspects a much
better carrier medium than online.
Why don‘t we design business
models that use these advantages!“ “
Quelle: flickr.com/photos/marcelgermain/2272162061
Dr. Patrick Stähler | 32

thesis
5. The medium shapes the
message. Understand the
ideosyncracies of each
media
Dr. Patrick Stähler | 33

„ We have all the figures
about our readers!““
Dr. Patrick Stähler | 34

thesis
6. Start with customer
insights. Which job do
you solve for your
customer?
Dr. Patrick Stähler | 35

„ Greatest innovation in newspapers
in the last 20 years:
The „commuters“ free papers!““
Dr. Patrick Stähler | 36

thesis
7. Every medium needs a
business models that
builds on the medium‘s
strengths and that solves
a job for the customer
Dr. Patrick Stähler | 37

thesis
8. Only business model
innovation in print AND
online will allow the
publishers to survive.
Tradition is NOT a
business model!
Dr. Patrick Stähler | 38

„ Remember. Business model
innovation needs courage!“

Be BRAVE,
really YES, you can!
.
Dr. Patrick Stähler | 40

How shall I start?
UNDERSTAND
YOUR BUSINESS
by using the
BUSINESS MODEL CANVAS
Dr. Patrick Stähler | 41

What business are we in? Our business model
Value architecture Value Proposition/ customer
offer distribution architecture customers
What is our offering? How do we reach our Who are our
customers? customers?
What job do we solve
for our customers?
value chain
What are our value
creating steps? value proposition
customer
activity 1 activity 2 activity 3 activity 4
What is our value activity
What value do we
chain?
create for our
customers?
core capabilities partner What value do we
What are the core Which partners do we create for our
capabilities we need? need? partners?
Revenue model cost structure sources of revenue
Cost structure is defined by With what do we earn
the value architecture money?
culture/ values leadership style relationship style values
What leadership style How do we interact What values do we
do we have? with each other and the pursue?
customer?

More information at
http://blog.business-model-innovation.com
http://blog.business-model-
Dr. oec. Patrick Stähler
fluidminds GmbH
Patrick.Staehler@fluidminds.ch
www.fluidminds.ch