New business models for emerging media and entertainment revenue opportunities

Abstract

PurposeAs a growing share of consumer value shifts to new industry entrants, this paper seeks to suggest how long‐time leaders in many media and entertainment (M&E) market segments can replace declining traditional revenue with equivalent value from digital media.Design/methodology/approachThe paper suggests how established media and entertainment companies – newspapers, broadcasters, music labels and movie studios – can proactively address both their potential revenue challenge and find new business models.FindingsThe paper finds that media companies need to “rethink” their business models and seek innovative ways to enhance the consumer experience and connect with consumers.Research limitations/implicationsThis is a 2010 IBM Institute for Business Value analysis.Practical implicationsM&E companies will require the capabilities to build analytics and insights, develop consumer‐centric models and enable multiplatform delivery.Originality/valueThree strategies will likely help M&E leaders overcome the revenue issues they face – focusing on the consumer experience, embracing new distribution platforms and expanding revenue models.