Report

December 2001

Guides Redefine Mass Media

Eric Scheirer 		New technology, by empowering consumers, will end media companies' control over distribution. Consumers will use guides to assemble media experiences, forcing media companies to refocus on content and audiences.
by Eric Scheirer with Josh Bernoff, Charlene Li, Sadaf Roshan

MARKET OVERVIEW
  • 87% of consumers prefer some content on the Internet.
  • Big media's eroding distribution control threatens profits.
ANALYSIS
  • Guides replace distribution as the media industry's core.
  • Even as guides create $15 billion in new revenues, media company economics will fall apart.
  • Rather than try to become guides, media companies should focus on audiences and content creators.
ACTION
  • AOL Time Warner must keep AOL pure.
WHAT IT MEANS
  • The FCC steps in to regulate guides.
 
Figures & Data
  • Figure 1.  New Choices And Competitors Fragment Audience Coalitions
  • Figure 2.  Audiences Prefer The Internet For Many Types Of Content
  • Figure 3.  Today's Guides And Their Business Models
  • Figure 4.  The Media Industry's Model Declines; A New Landscape Emerges
  • Figure 5.  What Media Conglomerates Should Do With Their Content Properties
   
RELATED MATERIAL 
  • Research Methodology
  • Companies Interviewed For This Report
  • Related Research
 
GRAPEVINE
  • Listen.com: At last, a viable online distributor?
  • TV's church/state separation dissolves.
  • BMG backs off copyproof CDs . . . again.

 

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