UGC- User Generated Content and I promise not to use too many other acronyms!
As you probably know, Time Magazine awarded its "Person of the Year" award to "You" in honor of what You are doing in generating the new Internet Content with User Generated Content. They even put a mirror on the cover so that You can see Yourself!
It is time that this blog address some of the issues raised by UGC and its implications for our digital media industry.
To be the cynic, UGC has been around since Day One of the Internet. I had my first blog when my Windows 95 system made FTP easy and Netscape Navigator Gold put out the first WYSIWYG editor. Not much has changed (technically) since then. The publishing step is easier and you don't need FTP, but you still need an idea and the focus to post it as often as possible and that is the hardest part.
MySpace and You Tube are not the first UGC enablers to hit it rich, either. YHOO bought GeoCities in 1996 for a ton of cash!
The difference is the proliferation of easy publishing tools, services and digital devices to produce content beyond the written word. Yes, cheap digital cameras have made everyone a producer!
While it is easy to understand why so many are producing, it is harder to grasp the reason that people are spending so much time looking at other UGC. The social element of this inserts a business model that formerly did not exist. The big ($60B?) question is whether this is hurting old, produced media (the rights protected versions) and what the Big Boys should do (if anything) as the result of its emergence.
There is a long advocated theory in digital media that there is never an emerging network or channel that is bad for the existing media, that media will consistently expand to fill new opportunities and that old channels will survive. While that sounds like some bullshit coming from the mouths of old media execs trying to save their skins, there is definitely some validity. Television as we know it is not going away. Radio continues to be strong as does in Theater movie entertainment. New Channels mean new outlets and new ways to cross-market as the channels develop. That does not mean that the content businesses that inhabit the old channels will survive. They need to recognize the new opportunities and address them, service their customers wherever they reside and use new media as both new $ opportunities and feeders for old $ plays.
So, UGC is definitely HURTING Old Media because new customers are looking at content Old Media has nothing to do with. It is as though the old media boys are missing out on an entire generation of customers.
Why are they missing out? It is simple....it is because they are fighting the new channel and its fundamentals. In short, people want to see lots of content, see it where they want it, how they want it without paying for it. Rather than riding this roaring current, old media is fighting the rip and while they are not drowning due to the continued vitality of the old channels, they are not participants in the new media play. Worse, they are allowing the biggest disruptive strategy in business history to take a stranglehold around their throats.
If you have read this blog before, you know that I believe that success in the media business is all about disruptive strategies. The old media boys have set themselves up for disruption and if there is a danger that UGC brings it is this. The next play for UGC is the living room and the television set. Interactive TV will mean UGC and free content on the TV and the rights boys are likely to be found with their pants down again.
What should they do? Forget the fight. It is lost. UGC is here. So, instead of fighting a losing fight, ride the big wave....put every bit of image and clip content you possibly can into the UGC world for syndication to any site that wants it (hire 50+ UGC editors to do nothing but put your content into this world). Use YouTube and MySpace as marketing vehicles for going to movies and games, watching shows and games on television and getting consumers to buy rights to better content online. And One last thing....wake up to the fact that users have huge systems that can embrace significant applications. Capture the ardent fan and his or her system with a proprietary client that DELIVERS your amazing content to the desktop along with your ads and upsells! And, help the fan create their own UGC relevant to your content and post it to your environment so that they STAY HOME with you.
Yep, use UGC to create the means by which you acquire and strengthen customers, make $ and siphon the UGC enthusiasm into your world. In short, develop and execute a strategy to disrupt and bypass the biggest disruptor in history- Google!
More to come....
As you probably know, Time Magazine awarded its "Person of the Year" award to "You" in honor of what You are doing in generating the new Internet Content with User Generated Content. They even put a mirror on the cover so that You can see Yourself!
It is time that this blog address some of the issues raised by UGC and its implications for our digital media industry.
To be the cynic, UGC has been around since Day One of the Internet. I had my first blog when my Windows 95 system made FTP easy and Netscape Navigator Gold put out the first WYSIWYG editor. Not much has changed (technically) since then. The publishing step is easier and you don't need FTP, but you still need an idea and the focus to post it as often as possible and that is the hardest part.
MySpace and You Tube are not the first UGC enablers to hit it rich, either. YHOO bought GeoCities in 1996 for a ton of cash!
The difference is the proliferation of easy publishing tools, services and digital devices to produce content beyond the written word. Yes, cheap digital cameras have made everyone a producer!
While it is easy to understand why so many are producing, it is harder to grasp the reason that people are spending so much time looking at other UGC. The social element of this inserts a business model that formerly did not exist. The big ($60B?) question is whether this is hurting old, produced media (the rights protected versions) and what the Big Boys should do (if anything) as the result of its emergence.
There is a long advocated theory in digital media that there is never an emerging network or channel that is bad for the existing media, that media will consistently expand to fill new opportunities and that old channels will survive. While that sounds like some bullshit coming from the mouths of old media execs trying to save their skins, there is definitely some validity. Television as we know it is not going away. Radio continues to be strong as does in Theater movie entertainment. New Channels mean new outlets and new ways to cross-market as the channels develop. That does not mean that the content businesses that inhabit the old channels will survive. They need to recognize the new opportunities and address them, service their customers wherever they reside and use new media as both new $ opportunities and feeders for old $ plays.
So, UGC is definitely HURTING Old Media because new customers are looking at content Old Media has nothing to do with. It is as though the old media boys are missing out on an entire generation of customers.
Why are they missing out? It is simple....it is because they are fighting the new channel and its fundamentals. In short, people want to see lots of content, see it where they want it, how they want it without paying for it. Rather than riding this roaring current, old media is fighting the rip and while they are not drowning due to the continued vitality of the old channels, they are not participants in the new media play. Worse, they are allowing the biggest disruptive strategy in business history to take a stranglehold around their throats.
If you have read this blog before, you know that I believe that success in the media business is all about disruptive strategies. The old media boys have set themselves up for disruption and if there is a danger that UGC brings it is this. The next play for UGC is the living room and the television set. Interactive TV will mean UGC and free content on the TV and the rights boys are likely to be found with their pants down again.
What should they do? Forget the fight. It is lost. UGC is here. So, instead of fighting a losing fight, ride the big wave....put every bit of image and clip content you possibly can into the UGC world for syndication to any site that wants it (hire 50+ UGC editors to do nothing but put your content into this world). Use YouTube and MySpace as marketing vehicles for going to movies and games, watching shows and games on television and getting consumers to buy rights to better content online. And One last thing....wake up to the fact that users have huge systems that can embrace significant applications. Capture the ardent fan and his or her system with a proprietary client that DELIVERS your amazing content to the desktop along with your ads and upsells! And, help the fan create their own UGC relevant to your content and post it to your environment so that they STAY HOME with you.
Yep, use UGC to create the means by which you acquire and strengthen customers, make $ and siphon the UGC enthusiasm into your world. In short, develop and execute a strategy to disrupt and bypass the biggest disruptor in history- Google!
More to come....
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