Just a quick post to highlight a relatively recent report by the IBM Institute for Business Value, entitled Navigating the Media Divide: Innovating and Enabling New Business Models.
It’s a 29-page overview, based on live interviews with 75 senior media executives, industry analysts, economists, and technology visionaries supplemented by 125 interviews done by the Economist Intelligence Unit with executives from media, portal, and telecom companies.
For anyone involved in the new vs. old (or should I say west coast vs. east coast) media battle, this report is a must-read. Here’s an excerpt from the executive summary:
We have ten specific recommendations for media companies, as they face immediate
threat from the new media world and a possible new industry order:
1. Put consumers at the center of your business and boardroom.
2. Convert consumer data into competitive advantage.
3. Give control to get share.
4. Deliver experiences, not just content.
5. Leverage virtual worlds.
6. Innovate business models.
7. Invest in interactive, measurable advertising services and platforms.
8. Redefine partnerships, while mitigating fallout.
9. Shift investment from traditional business to new models.
10. Create a flexible business design.
To execute these recommendations, media companies will likely need to make changes in business practices, acquisition strategies, operating models, organization designs and infrastructure, just to name a few areas. The current clash between traditional and new media is reaching new heights. Industry incumbents are responding – but perhaps not quickly or completely enough. While they compete in new ways on this front, traditional media cannot ignore the growing division in its own ranks. Hence, media companies must prepare both for new industry roles and a divergence that may redraw industry lines.
We work every day helping media, entertainment, and publishing companies with points 1, 3, 6, 9, and 10.