media futurist gerd leonhard's presentation at the experience economy event in amsterdam jan 25...

www.mediafuturist.com Open is King

Gerd Leonhard

[email protected]

www.mediafuturist.com

Open is King - The Future of Media beyond Control

1Friday, January 25, 2008

http://www.mediafuturist.com


mailto:[email protected]





Digital Society TrendsThe Past & the Present: obtaining information

(data) and communication was (is) important

The Present / Immediate Future: Content

becomes more important, all the time

Soon: Context / Community / The Experience

becomes the crucial differentiator



N E T W O R K E DF r o m ‘ T h e N e t w o r k ’ t o



Mass Media Decline in terms of PERSONAL relevance

Source: Chris Anderson The LongTail



User Generated Content - Context - Conversation is exploding


www.mediafuturist.com Open is KingBlogging Trends: Open +++

Me

MultiMedia

Moments

Mobile

Mashed6Friday, January 25, 2008




Open = Engaged





Participate or Be Participated

Remix or Be Remixed





T h e P e o p l e

f o r m e r l y

k n o w n a s

C o n s u m e r s

Behind all this change:





For them, the web is now a canvas, not a newspaper.

Not (just) a Broadcast but a Narrowcast.

Not (just) a monolog but a conversation

Source: Nokia via Youtube





Life of 12-24 year olds

Will rarely read a newspaper but are attracted to some magazines

Will never own a land-line phone

Will not watch television on someone else’s schedule much longer

Trust unknown peers more than official experts

Are actually willing to pay for digital content - but Feels Like Free is first.

Perceive community at the center of the Internet experience

Like to pretend they are not interested in advertising or affected by brands

Will shift everything to mobile

Are less interested in television than any generation beforeWant to move content freely from platform to platform with no restrictions

Want to be heard (or...generate)Use IM and Social Nets. Think that e-mail is for their parents

Source: MTV Study




Gerd Leonhard Music & Media Futurist www.mediafuturist.com

Today, we are here

You think media sharing is out of control now ? Think again.....

Tomorrow: SHARING x

1000





Open is now King.But: Many core, monetizeable assets will remain

‘controlled’ (Example: Google)





On the top layer, Open Systems win, all around• In the networked economy, visibility, transparency and

compatibility are becoming a must-have standard

• Often, profits are generated more indirectly than before (i.e. the

tollbooth may have been moved), and therefore the ‘Measuring-

Success’ - Metrics must be adapted, too

• Much success will continue to come from disrupting existing

products with commoditized open standards

• Openness is a risk that -if balanced carefully- is well worth taking





Turning Attention into Revenues





The Mission: Monetizing Anarchy




Now, Attention is the New Distribution



...and it’s also is new Way of Paying for Content



"One engaged viewer is worth eight regular viewers"





...wasLinear Interactive

Text Web Audio & Video Web

Copyright Usage Right

Advertising Ads as Content

Professional Creators User / Usator Content

Pay with cash Pay with attention

One way Push 2-way Pull

...is and will beMedia...

BOTH

will

CONTINUE





Now, People will subscribe to People.

And to Mass Media, too.





All Access1000s of ‘Friends’ A few real friends

Millions of free songs 30-40 good songs / month

All movies for free Those really good movies

Give me everything, all the time

Give me the right thing, at the right time

Now I can meet anyoneI want to meet the right

peopleAlways multitasking, with

short attentionFocus, Paying Attention

More ’Wisdom’From........ To





Not: where can I get this, how much can

I get, where is the best deal....?

But: what is relevant? Meaningful? Enriching? A good fit? Time-worthy?

The Future of Media Services is about Relevance




www.mediafuturist.com Open is KingThe Web is becoming a Canvas





Nokia predicts 25% of entertainment by 2012 will be created and consumed within peer communities




www.mediafuturist.com Open is KingAn expanded UGC definition

User Based:

✦Content

✦Conversation

✦Context✦Commerce





Mainstream Media is about Hit Content

UGC is about Facilitation and

User Empowerment

T h e F u t u r e o f

M e d i a i s

p r o b a b l y

a b o u t BOTH .27Friday, January 25, 2008



www.mediafuturist.com Open is KingThe new ‘Sell’





The great shift in Selling Content: Example: Music





Music

It used to be that Revenues were generated WITH Music





Music

Now: new revenues are generated primarily AROUND Music

Source of stats: Emarketer.com


www.mediafuturist.com Open is King3 ways of paying for Content

• Money

• Attention (Time)

• Engagement / Co-creation / Sharing / Viral / Peer Distribution

There are different payment models along each Content Curve, and as content changes in popularity so does the curve (and the mix!)

Ads: CPM

LeadGeneration

Syndication

Commissions

FreemiumSubscriptions

CustomizedFeeds

Affiliate Revenues

BrandingRe-

Packaging(Alt Out)

Flat RatesA la Carte / per Unit

Data Minining

(w/Opt-In)

Revenue Shares

Many Others!

Ads: CPC

Ads: CPT

Sponsorships

Commissions

Up-Selling




www.mediafuturist.com Open is KingCultural Expertship Required...

Niche Experts Required33Friday, January 25, 2008


Content Consumption is now

Device Agnostic

- and so is Advertising





The Evolution of the car as a Media Space




www.mediafuturist.com Open is KingThe Mobility Explosion

Outside of the U.S., mobile devices will become the #1 channel for Direct Marketing





The phone is the first truly

Personal Medium

The phone has Payment built-in

The phone is a Communication and

Creation tool that’s always with you

The power of the mobile phone





Imagine 4 Billion people trading

CONTENT on mobile devices that can hold terabytes of data,

connecting via high speed networks - and fully paid-for

with ADVERTISING





Personalization, Opt-Ins and deep Data Mining are definitely a

requirement for successful next-generation marketing, advertising

and branding concepts.

Marketers must become more aware of Digital Intrusion Issues

and related worries, and consider them when devising campaigns

Safeguarding privacy will be one of the biggest challenges for the

Future of Advertising

Personalization versus Privacy





New horizons in Trust





The Truth Travels Fast

Open must be win-win-win.



Gerd Leonhard

[email protected]


Thanks for your time and attention!








media futurist gerd leonhard's presentation at the experience economy event in amsterdam jan 25...

Technology

king open

relevance open

open systems

king networked

king nokia

digital content

king digital society

attention short attention