Entertianment wants to be free

It has been interesting observing the trends in the music industry of late. The industry has failed to innovate as fast as the consumer electronics companies and the consumers themselves. As a result of this, revenues are falling in most markets. There has been a hue and cry about the inpact of piracy and the dishonesty of consumers. A side effect has been a series highly mediatised raids on consumers which have done more to erode consumer goodwill.

This approach does not really address the root of the problem. Consumers download not because they don't want to pay for things but because the consumers want to see value and innovation in what they are offered by the entertainment industry. A lot of evidence indicates that given enough value and enough innovation, consumers have no issue paying.

If this is true, then what is the formula for creating new business opportunites in the entertainment space? DigiCompanion beleives that the key is to subsidise the content provided to the consumer at first and to pack into it so much innovation that he wants to invest.

I'll speak of some examples of how we are doing this in my next post.

JMH