Welcome to the blog of Dr. Lisa Burns' Media Studies senior capstone class (Section A) at Quinnipiac University. If you're looking for the latest on media industry trends and insightful media analysis, you've come to the right place.
Tuesday, April 11, 2017
Media Trends, Question 2 (April 18th)
Which two
industries do you think will undergo the most change in the next 10 years? How
will media professionals and consumers be impacted by those changes? Limit: 12 responses
The two industries that I think will undergo the most change in the next 10 years are the television industry and the radio industry. People are constantly saying that radio is dead, but it is actually thriving in a way that people don’t realize. I listen to the radio everyday whether it is Elvis Duran in the morning or NPR in the afternoon, I spend the majority of my time in the car listening to the radio. The iHeartRadio app is a great example of the future of radio. The iHeartRadio app allows users to listen to live radio even when they are not in the car. It also allows users to listen to radio stations that aren’t in their area which is an advantage for people who moved away from their favorite radio station and aren’t able to listen to the morning show anymore. As long as that station is offered on iHeartRadio they can use the app to listen to their station. They also have podcasts and for Elvis Duran fans they have a whole replay channel that lets you listen to that day and previous shows whenever (my favorite feature). Within the next few years I think we will start to see radio evolve even more digitally. At the 2014 Consumer Electronics show, CEO of iHeartMedia Bob Pittman state said, “you can’t stop technology, nor can you control it. The only winning strategy is to embrace it” (Libassi). With the new upgrade to the iHeartRadio app I think that we will start to see a second wind for the radio industry.
The television industry had a record-breaking year last year with 455 original television shows airing, an 8% increase from last year and 137% increase from a decade ago (Goldberg). A trend that is already happening that I think will only continue is watching TV on services such as Netflix, Amazon, Hulu and on Demand. People are more inclined to watch full season of episodes or have the option of watching previous episodes. Networks like NBC have stacking rights for a majority of their shows, which keeps consumers wanting more (Lynch). Networks like Netflix are really pushing the boundaries with TV shows and I think that it’s going to be a big trend within the next 10 years. Last year Netflix spent $6 billion on original series, alone which is insane to think about but it shows the commitment Netflix has to the TV industry. I think that we are going to see a decline in the number of TV shows but more quality shows that push the boundaries, following in Netflix footsteps.
Lynch, Jason. "Advertisers Beware – Audiences Are Taking Longer Than Ever to Watch TV Shows," Ad Age 2 Aug. 2016. Web. Goldberg, Lesley. "Scripted Originals Hit Record 455 in 2016, FX Study Finds," The Hollywood Reporter 21 Dec. 2016. Web. Libassi, Matthew V. "Exclusive: Radio On Its Deathbed? Elvis Duran Speaks Out!" Fox Business. Fox Business, 18 Aug. 2016. Web. 13 Apr. 2017.
Each major media industry is making changes every day, week, month, and year to better the industry for the consumers. The changes in these media industries are also acted upon in order to keep up with the ways that consumers receive and use the media of that specific industry. Although all of the major media industries are undergoing these changes the two industries that will undertake the most change within the next 10 years are the film and music industries. First Let’s start with the film industry. Within the past couple years many online streaming services, such as Amazon and Netflix have been dipping their toes into the film industry. It wasn’t until the 2016-2017 year that both companies took a plunge leading them both to successes, but setting up a large change for the film industry. Being that both Amazon and Netflix are subscription based they have the money and ability to buy up movies and they don’t necessarily have to report to or worry about a movie tanking because their revenue keeps coming in. This leaves them in the position to become power players within the film industry, “It has personnel, the deep pockets and the sheer chutzpah to make its investment much, much bigger,” (Galloway 2016). This ability will a factor that changes the industry within many years because Amazon and Netflix have guts to go against the grain and take risk with films, budget, and the way this products are released unlike traditional film companies. Amazon and Netflix ultimately, “aren’t just going to siphon away the biggest and best projects, they’re going to release, them in the biggest and best ways,” (Galloway 2016). Furthermore another change that will be undertaken within the next 10 years due to the up incline of Amazon and Netflix is the way that films are disturbed. Many film consumers like to view a movie instantaneously and in the comfort of their home. With that being said in future films are going to have the option of being released in theater for those who enjoy the act of going to the movies and on the platform of Either Amazon or Netflix. This method may not be working now because all of the revenue from films is made due to their theoretical release, but this isn’t a concern for Online streaming platforms, “The advantage for us and other streamers is that don't have to make money on theatrical. Online is the growth engine. I can lose significantly on theatrical but the buzz surrounding the release will increase our subscriber base," (Roxborough 2017). Therefore, with Netflix and Amazon stepping into bigger roles within the film industry they have the opportunity to eventually stop catering and working with film distributors and theaters (i.e. Amazon) and release films on their own. This is because they know that they are catering to large market of consumers who want the ability to have an in home movie experience with new release and because they are aware that they don’t really have anything to lose because their system is based of off online growth.
The other industry that will be undergoing changes within ten years is the music industry. Recently the music industry has taken major steps in evolving by now taking into accountant streaming artist, albums, and music. It is no secret that physical record sales have been declining due to ability for consumers to stream music. However, “recorded music sales increased primarily due to an increase in digital streaming revenues, “ and, “ …announced recently that, largely thanks to streaming, the U.S. recorded music industry had seen an 8.1 percent growth this year, “ (Flanagan & Blair 2016). With all of this being said the major change that the music industry will go is that albums and songs will soon become completely streaming online because that is where a lot of artist are making their money in regards to the content they produce. Also because if they continue to produce physical copies of albums artist are losing money due to the cost of product of CDs and so forth. However, if this becomes a change for the industry within ten years the other major change needs to be the amount of money that artist, songwriters, and so forth receive for the work they produce. This is because as of now, “Its economics are rarely as rewarding for songwriters, publishers and even some labels and artist,” (Levine 2016). Therefore, there would have to be a change in the way that those people receive compensation for their work on streaming services. Overall, in both industries I think consumers will be impacted in a good way because this already the way that consume or want consume these forms of media. In regards to the impact on media professional within the film industry these changes would really affected the large film houses and the people that run it because Netflix and Amazon are adapting and willing to adapt to these changes faster than they are, which will eventually cut them out entirely. Lastly, the impact the changes in the music industry will have on its professionals is difficult one. By having streaming online albums there is a possibility for many artist to cut out the middle man (Label) and just do all the work himself or herself as an independent. However, I feel that their could still be the need for the label, agents, and other professionals in the form of the artist needing or wanting to have that security or support of larger entity protecting them.
Works Cited Flanagan, Andrew, and Gavin J. Blair. "Sony Sees Music Revenues Jump Thanks to Streaming." Billboard. Billboard Magazine, 1 Nov. 2016. Web. 13 Apr. 2017. Galloway, Stephen. "Galloway on Film: Challenges From Amazon and Netflix Signal the End of the Studio System." The Hollywood Reporter. The Hollywood Reporter, 01 Aug. 2016. Web. 13 Apr. 2017. Levine, Robert. "Is the Record Business Really Back? How Streaming Is (And Isn't) Turning a Profit." Billboard. Billboard Magazine, 03 Nov. 2016. Web. 13 Apr. 2017. Roxborough, Rebecca FordScott. "Berlin: Netflix and Amazon Evolve From Industry Disrupters to Market Darlings." The Hollywood Reporter. The Hollywood Reporter, 10 Feb. 2017. Web. 13 Apr. 2017.
Over the next ten years I think the film industry and the music industry will undergo the most change. At this point in time both of these industries have a window of opportunity to expand or flounder, however I think both are going to change successfully over the next ten years. In recent years movie theater ticket sales have dropped and theaters have been losing money, “in 2014, movie attendance plunged to the lowest level in 20 years” (Zhang, 2016). However “revenue at the North American box office clocked in at $11.36 billion in 2016, setting a new high-water mark and up 2.1 percent from 2015’s record” (McClintock, 2017). Disney films played a large part in this boom and I believe that Disney will continue to be a film front-runner due to the long list of upcoming remakes, which have already proven to be highly successful. Even before the actual film had been released, “a 90-second teaser trailer [of “Beauty and the Beast”] had generated a record 92 million views in its first day online, leaving Hollywood slack-jawed – not even “Star Wars: The Force Awakens” had attracted as much interest” (Barnes, 2017). Not only was the trailer successful, but the movie itself reached the top of the Box office in its first weekend, proving that if Disney continues along this successful remake path, the company will continue to dominate the film industry and hopefully continue to encourage audiences to attend the movie theater. In general, I think movie theaters are going to make a comeback due to an increase in Blockbuster films and by creating a more luxurious experience; already movie theaters are improving seating, incorporating bars, and increasing snack options. Not only is movie theater service improving, but the technology is improving as well. “In the future, movie theaters will deliver more than bigger screens and higher resolution. With the development of flexible screens, motion controls and other technology, an audience may be able to connect to the movie and experience the story as a participant” (Zhang, 2016). It’s about giving people a reason to want to attend the movie theater, and I believe with improved service and extensive technology, movie theaters can bring viewers back to the big screen in the upcoming years.
Another change in the film industry is the addition of streaming services sending their original content to the big screen. In 2016, “there were 15 movies in the package [of potential Oscar-nominated films] and none of them came from the usual suspects. All were being released by one company: Amazon” (Galloway, 2016). Streaming services are going to begin giving the studios a run for their money because “the upstarts aren’t just going to siphon away the biggest and best projects, they’re going to release them in the biggest and best ways, too. They are financial and artistic behemoths – and they understand the future better than any of the great Hollywood institutions that remain rooted in the past” (Galloway, 2016). With added competition to the studios and large budgets, especially Netflix, streaming services can start to dominate the film industry by hiring A-list actors and also hiring A-list producers, directors, writers, etc. As streaming services become more successful in the film industry, more talented professionals will want to work with them taking away from the studios; however, I don’t think streaming services will ever actually put the big, original studios out of business because “the majors are still the first port of call for any significant project” (Galloway, 2016). I think both consumers and media professionals will be impacted in positive ways by these changes. As movie theaters continue to evolve, consumers will most likely be willing to pay more for tickets and snacks because the experience will be well-worth it. Streaming media professionals have a huge opportunity to enter the big-screen film market, and although it provides competition for studios, hopefully that competition will encourage studios and streaming services to make higher-quality films that make people actually want to attend the theater, which will in return get the Box Office back on track.
The music industry, I believe, will also see changes over the next ten years. Currently, there are a variety of streaming services, however they all can’t last forever; some streaming services are bound to do better than others. As MiDia Research founder Mark Mulligan said, “It is difficult to have more than a couple of big, all-things-to-all-people services” (Rys, 2017). I think in the upcoming years media convergence will occur and there will be less streaming options, however the streaming services that remain will become more interactive with more options within the streaming services themselves. “In a year full of milestones, 2016 became the first time streaming overtook sales as the music industry’s most dominant model, accounting for 51.3 percent of album consumption and besting physical and downloads combined” (Rys, 2017). It is most likely that streaming will put traditional ways of listening to music out of business, including CDs and physical music stores, however this may not be a bad thing for the music industry considering “streaming led the U.S. music industry to its first back-to-back yearly growth this millennium and in the first half of 2016 was the single highest source of revenue in the U.S. recorded-music industry, bringing in $1.61 billion” (Rys, 2017). Subscriber growth has also been increasing over the years, which proves that people are making the switch from traditional music-listening options to the new and improved streaming option. I think switching to streaming will impact consumers and most media professionals in a positive way. As less streaming services become available, professionals can focus on making the ones left over as interactive as possible, and hopefully with new additions people could be willing to pay more for streaming services. With improved selective streaming services, listeners would be getting what they paid for.
Works Cited
Barnes, Brooke. "‘Beauty and the Beast’ - Disney’s $300 Million Gamble." New York Times 8 March 2017. Web.
Galloway, Stephen. "Challenges From Amazon and Netflix Signal the End of the Studio System." The Hollywood Reporter 1 Aug. 2016. Web.
McClintock, Pamela. "2016 Box Office Hits Record $11.4B in North America Despite Angst." The Hollywood Reporter 1 Jan. 2017. Web.
Rys, Dan. “2017 Streaming Wars – Will Spotify, Apple Music or Amazon Dominate?” Billboard. 6 Jan. 2017. Web.
Zhang, Yu. “4 New Movie Theater Trends.” National Center for Business Journalism. 26 Oct. 2016. Web.
The two media industries that will see the biggest changes are traditional cable television and terrestrial radio. The primary reason for the drastic changes to these businesses are very similar, and there are two words to describe it: the internet. The internet provides consumers with an unprecedented amount of accessibility. They can now watch what they want, when they want, without many (if any) commercials. This was not the case for the majority of the 20th century. If you watched something on television, unless it was HBO, you were seeing it with advertisements on their time. Now with the surging popularity of Netflix and premium channels like Showtime/HBO, consumers are more likely to “cut the cord” and abandon paying for a cable subscription altogether. I lived in an apartment this summer in NYC and didn't pay for any cable. I don't plan on every paying for a cable package. Too many channels I don't watch for too much money. What I predict to happen instead, is that networks will have more leverage in renegotiating their contracts because of the ale-carte trend. Scripps, who owns Food Network and HGTV, might be intrigued to offer their content to consumers for $5 a month and will allow access on Apple TV and Roku—bypassing a cable company like Comcast entirely. I don't think thats likely to happen within the next 5 years, but possibly 10. Netflix is going to be the dominant player in home entertainment. As they fine tune their original content, and leverage more bargaining power with networks, they will have a vast library of quality content that the average viewer can’t have in their media diet. Alan Wurtzel, president of R&D for NBC Universal said, "I don't believe there's enough stuff on Netflix that is broad enough and consistent enough to affect us in a meaningful way on a consistent basis (Lynch).” Mr. Wurtzel is a liar. NBC and their networks are operating like 20th century television stations. While they perhaps produce quality content here and there, nobody wants to tune in at 8pm on a Tuesday to watch it. Those days are finished. The sooner Mr. Wurtzel acknowledges the greatest threat to his company’s existence, the better off he and his colleagues will be. Now on to FM radio. What a dinosaur. I’m pretty sure my grandmother now listens to Pandora and she was a radio actress back in her day. To their credit, FM stations are still operating. However, once advertisers begin to flock to Spotify, Pandora, and other mediums to reach their audiences, their days will be finished—and the end is nigh. The internet obviously destroyed this once very popular medium for enjoying music. Spotify and Apple Music will be the dominant players now for music exploration and enjoyment. “This is Spotify's first user number announcement since the service hit 40 million last September, which means it took the streaming service just five-and-a-half months to gain 10 million subscribers -- half a month quicker from when the service went from 30 million to 40 million subscribers (Gensler).” This kind of growth is incredible. 40 million paying customers per month? That is certainly something to talk about. How many paying customers do FM stations depend on? 0. That sounds like an inferior business model to me. My sister, who is 17, can’t remember the last time she turned on the FM dial in the car. She, at the tender age of 17, knows nothing other than streaming music? Do I feel badly that she’ll never know what it was like having to flip through presets to find a station not playing advertisements at the moment? No, because ads are terrible.
The next 10 years are going to be a pivotal time in the media industry. I believe that one of the industries that will undergo the most change is going to be the music industry. The way people listen to and purchase music has changed so much in even the years I have been listening and actively been a music consumer. Artists and record companies need to realize that a physical album being sold is not the best plan of action to sell music. Very few people are going to the store to get the latest album instead they are downloading it at their convince. Currently Spotify and Apple Music are the big competitor for downloads. There are other outlets to of music streaming but these seem to be the most popular. The number of subscribers is growing each year “Spotify and Apple Music together added more than 20 million ¬subscribers, ¬boosting their ¬numbers to 40 ¬million and 20 ¬million, respectively.”(Rys) Media professionals are starting to realize more and more that music is going another way. For example, Chance the Rapper won the best new artist award this past year at the Grammy’s and only streamed music and had no record company backing him. The fact that he won a Grammy shows just how much the industry is changing. Talented artists can now promoted themselves by releasing their own music for download without the help of a studio. Studio professionals need to recognize that their typical way of producing and selling music is a thing of the past and need to seek out new ways to gain a profit via downloading.
Another industry that will see a big shift is cable television. Gone are the days of appointment viewing, streaming video on demand services is the way of the future. Netflix is the leading competitor for television watching currently. They spare no cost when it comes to creating their original content, With spending estimated at $6 billion on originals, it should come as little surprise that Netflix topped all five broadcast networks with a total of 43 originals”(Goldberg) This new trend has created cord cutters making cable television less relevant. Networks have started to notice this trend, for example NBC has a deal with Hulu. However, many networks are not creating original content on these SVOD services and they should be. Consumers have seen the shift and many have an SVOD streaming service in conjunction with cable television but many are getting rid of traditional television in the years to come. Many consumers will not be too affected by the changes that will come to traditional cable because many are already adjusting. Those who may be affected the most could be the elderly. However, networks needs to get creative and figure out how to adapt to this changing time.
Goldberg, Lesley. "500 Scripted Shows?! How Netflix, Amazon Are Sending Originals to All-Time Highs." The Hollywood Reporter. N.p., 05 Jan. 2017. Web. 18 Apr. 2017.
"2017 Streaming Wars: Will Spotify, Apple Music or Amazon Dominate?" Billboard. N.p., n.d. Web. 18 Apr. 2017.
In my opinion, every industry is changing because of technology and the way people consume information today. The two media industries that are changing the most in my opinion are the advertising industry and the music industry. Earlier in the semester, we discussed how the advertising industry has changed so much because of technology. Things like billboards, radio ads, and commercials are becoming obsolete because of easier, faster, and more efficient ways to access information. If a company can send out an ad on social media and pay for it to reach millions in a specific demographic then why would they pay for a billboard with the hopes that someone may look up to see their advertisement. Commercials and radio ads are not effective anymore because of the streaming industry. People do not want traditional advertisements. They do not want to feel disrupted by commercials. That is why the advertising industry has done a switch to social media and new inbounds marketing techniques because this form of advertising is more relevant to consumers and less disruptive. Advertisers have come up with technology that tracks what websites and products consumers look at so that they can then advertise to them on the internet (Tynan, 1). Companies are starting to realize what consumers want and what social media channels they are on. Advertisers have become so smart they put in advertisements that look like a part of the content their demographic is consuming. Social media channels have created “buy buttons” where consumers can purchase right when they see something they like from browsing (Halzack, 1).
(Chasse Continued) The changes in the advertising and music industry are related to each other because of streaming. People in the music industry have realized with the changes in technology that people want it all, and that subscriptions to products or services are very trendy. Apple Music, being one of the main streaming services recently hit 20 million followers. With that being said, this has been a really successful outlet for people to hear any music they want. Streaming also has been a successful outlet for artists to put content out without being affiliated with a record label. Chance the Rapper for example, broke history by having his music released to Apple Music exclusively without being attached to any record label at all. (Halperin, 1). Because of the streaming industry and the control that it has given many artists, record labels could be facing extinction in the future. Record labels are going to be impacted by this switch because they are going to be out of jobs and will need to figure out how to stay relevant with the industry. Artists will be affected because they will continue to have more control over their music. An issue that music-streaming services have had in the past is the amount that they are paying artists. Artists in the past have only received a microscopic amount of money per stream when they are the ones who create the content. Artists like Taylor Swift and Jason Aldean have raised awareness for this problem by taking their music off of Spotify. It has since gotten better, but streaming services will need to learn in the future how to pay the artists better because there have been problems with that in the past. Halperin, Shirley. "Apple Music Hits 20 Million Subscribers; Execs Want 'More, Faster -- We're Hungry!'" Billboard. N.p., 6 Dec. 2016. Web.
Halzack, Sarah. "Why the social media ‘buy button’ is still there, even though most never use it." Washington Post. 14 Jan. 2016. Web.
Tynan, Dan. "Explained - Here's How Advertising Tracks You Across the Web." Yahoo Tech. 17 Nov. 2014. Web.
After a semester of learning about different media industries, it is hard to not see that the two media industries that will see the most change are the Music industry and Television industry. Both the Music industry and Television industry are seeing sustainable amounts of change right now. The Television industry in particular has seen a dip in the number of viewers in recent years. This can be directly attributed to how people are watching television now, instead of watching TV when it is aired live, delayed watching or watching it on their own time is now the new norm (Lynch). This is merely one reason why SVOD services like Netflix have proven to be such strong competition for cable TV. Add in the fact that Netflix produces a total of 43 original scripted television shows on their platform, something that is much more valuable (to me) than the scripted hogwash that cable TV spits out (Goldberg). In the next ten years there will be a huge shift to SVOD services, and we may very well see a response from cable TV to stay relevant either by buying more scripted originals themselves, allowing more access to TV shows on tablets or smartphones or something entirely different to stay ahead of the curve, but I believe the last is unlikely. The Music industry is also seeing tremendous changes, currently there is a race going on, on who can establish a strong foothold in the music streaming realm. The two biggest competitors Spotify and Apple music have chosen two different approaches. While the two applications are very similar, they both allow the user to stream music to their computers, smart phones, tablets, and give the user the ability to create playlists to share with friends and other users, the main distinction between the two are the music license deals.
Kronenberger 2 Apple Music is attempting to strike exclusivity deals with certain artists in hopes that users will purchase Apple Music so they can hear albums first (Halperin). Spotify on the other hand is the only streaming service that allows the user to stream free, on-demand tunes with advertising. Currently Spotify is winning this race with double the subscribers that Apple Music has at 40 million (Rys). I think it is too early to predict the future over the next ten years, however, if Apple Music is really able to attract so many top artists that having Apple Music is the only way to listen to these top artists then I can see how Apple Music could jump ahead of Spotify. Being a Spotify user myself, who doesn’t mind ads, I and many others don’t have a reason to switch to Apple Music, especially if my taste in music doesn’t revolve around the top 100. Works Cited Goldberg, Lesley. "500 Scripted Shows?! How Netflix, Amazon Are Sending Originals to All-Time Highs." The Hollywood Reporter. N.p., 05 Jan. 2017. Web. 18 Apr. 2017. Halperin, Shirley. "Apple Music Hits 20 Million Subscribers; Execs Want 'More, Faster -- We're Hungry!'" Billboard. N.p., 12 June 2016. Web. 18 Apr. 2017. Lynch, Jason. "Advertisers Beware: Audiences Are Taking Longer Than Ever to Watch TV Shows." – Adweek. Adweek, n.d. Web. 18 Apr. 2017. Rys, Dan. "2017 Streaming Wars: Will Spotify, Apple Music or Amazon Dominate?" Billboard. N.p., 6 Jan. 2017. Web. 18 Apr. 2017.
Each industry is always changing, which forces media professionals and consumers to adapt. I believe that the music industry will undergo a significant change in the next 10 years. It had a tremendous amount of success in 2016, bringing in $1.61 billion only halfway through the year. But, this growth has sparked competitors, such as Pandora and Amazon, to start streaming as well. Currently, the top two labels are Spotify and Apple Music. However, smaller companies such as Tidal and SoundCloud are going to need to offer something completely different from what the market leaders already have. As stated in With new competitors and momentum, the sector led by Spotify and Apple Music is poised to change dramatically. BUT can it survive its biggest challenges? “One example will be different price points and new services, as incoming players look to undercut the currently standard $9.99/month all-access model. iHeart and Pandora have already negotiated direct deals with labels to offer enhanced radio at $4.99 that includes offline listening and replay functions, while Amazon, through discounts for its Prime members ($7.99/month) and owners of its hugely successful voice-activated home assistant Echo ($3.99/month), has made similar moves” (Rys). I think the different pricing is a great idea. The smaller companies need to stay creative and possibly merge together at some point because the bigger companies like Spotify and Apple Music are taking off. The consumers will learn to adapt because ultimately, they are forced to, and will most likely pay the higher price to stream music.
I believe that the social media industry will also undergo change in the next 10 years. There have already been changes on popular sites such as Instagram and Facebook. As stated in Instagram Ups Ad Time For Brands, “Instagram is now letting brands run ads up to 60 seconds in length” (O’Malley). Instagram seems to be the site that advertisers want to post their content on. “…Facebook has recently been far more willing to monetize Instagram. Brand networks, for one, recently saw ad impressions on the popular platform rise more than 13-fold from 50 million in August to 670 million in December” (O’Malley). Ultimately, I think social media is going to consist of mostly advertising within the next few years. There’s already so much of it and I actually see more ads than other normal posts from friends, family, etc. Social media sites all generally revolve around the same idea of “sharing” content, but I could see certain sites merging together. Consumers will adapt because social media is too popular to stop using. While there are people who are not a fan of it, it’s mostly how people communicate nowadays. Media professionals will adapt too, and like I said before, I think it will become even more “advertising oriented” than it already is. For any industry, it’s important to stay relevant and continuously produce new content. Media professionals have been forced to adapt to the changing technology and new media applications because there will always be competition. In fact, social media has been changing the music industry. According to Raffi Keuhnelian in How Digital Marketing Is Changing the Music Industry, “Social media has allowed musical talents from around the world to become global superstars… Artists use it to communicate with their fans by keeping them in the know-how of the latest news and upcoming releases” (Agrawal). While word-of-mouth can also be helpful for companies, I think right now it’s hard to compete with social media and it will be for awhile. Almost everything is digital now because it’s more convenient for consumers. I believe that digital marketing will stay relevant given the success it has had thus far, but I do think that it’s possible the music and social media industry could merge together at some point. The music industry already uses social media as a platform to market their brands and technology is constantly evolving. It may sound like an odd combo, but I wouldn’t be surprised.
The two industries that will undergo the most change in the next ten years will be the music industry and the cable television industry. In all actuality the changes have been taken place already so one can only imagine what will happen in the next few years. One of the biggest changes in the music industry are that artists no longer need to depend on a major record deal to become successful. The best example that comes to mind is Chance the Rapper. He has yet to sign to a record label and his achievements continue to flourish with his album, Coloring Book. “[it] became the first streaming-only album to chart on the Billboard 200, it opened in the top 10…(Austen, 1).” Chance even won a grammy, something many didn’t expect from an artist who has no record label backing him up and from a streaming-only album. Seeing the newfound success that unsigned artists have will peak the interests and give hope to up and comers to continue working because it will only be a matter of time until their song becomes a hit. This will impact the industry because record labels will have less artists to sign, meaning less money for them. Consumers can still enjoy the unsigned artists and support them without giving money to major record companies. Consumers would still be able to listen to their works on a streaming service like Spotify and Apple Music.
The television industry is also going to change as time goes on. Although many may argue that cable and broadcast television will never die out, I think that there is still a chance that SVOD will take over. “80 percent of content viewing that occurs during prime time is of cable and broadcast shows, while only 13 percent represents SVOD options. SVOD "is a compliment, not a replacement" to linear TV,” (Lynch, 1). This may be the belief of professionals in the industry but in a couple of years I think that SVOD services will try to find new ways to attract more consumers, especially the marginalized aged groups that don’t seem to be interested in new things like Netflix or don’t want to have to pay for it. One of the biggest attractions to broadcast/cable TV were sports which is how many networks make their money however, that soon may change. Sports games have tried to stick with the trends and revamp the way they release content by allowing streaming services for games. “There is a lot of demand for services like this, but there are only a few established service providers in the market,” (Dachman, 1). Having these streaming services they are adjusting to the ways the newer generations are consuming media. This will have a big affect on the professionals in the television industry because without sports they lose their biggest appeal. To me, the content that SVOD services provide are much better and it’s just more convenient than broadcast and cable networks. These are the two industries I think that will undergo the most changes and it will have a great effect on both professionals and consumers. The changes have already started and who’s to say they won’t happen within the next five years instead of ten.
References: Austen, Ben. "The New Pioneers: Chance The Rapper Is One Of The Hottest Acts In Music, Has A Top 10 Album And His Own Festival -- All Without A Label Or Physical Release". Billboard. N.p., 2016. Web. 18 Apr. 2017.
(1/3) The two industries that I think will undergo the most change in the next ten years are the Television and Music industries. In both of these industries here are multiple platforms where a person can view or listen to them. The problem is which one is going to be sustainable in the long run. With television, you have the traditional watch it when it airs through your cable provider, On Demand, record the show, or get it from a streaming service. With the music industry, you can get it from purchasing it through ITunes, buy the CD, or stream it. So which avenue of broadcasting their product should these industries take? For television, the biggest struggle that they face is the ownership of the show. “The last two years mark networks’ strongest drive for program ownership since the abolishment of fin-syn rules in 1993 that allowed the networks to own their shows.” (Andreeva) This is because if they have full ownership of the program, they will make more money when airing it though cable and when they make deals with streaming companies. Another problem that TV studios face is the fact of getting stacking rights. “NBC, along with ABC, were particularly aggressive in pursuing in-season stacking rights on all new shows, which allow nets to stream all episodes from a series’ current season on its platforms, not just the standard “rolling five” most recent ones.” (Andreeva) With the ownership of their shows, ABC has now created a streaming platform where they can show all of the new episodes from a show without having to worry about the “rolling five” platform, so streaming companies have. This hurts streaming companies, but TV networks have figured out a way to profit on all avenues of getting their content out to the public.
(2/3) Another struggle that TV will have is how to get advertisements into their programming. “Advertising is still sold based on the number of viewers within three or seven days of an episode airing, but audiences are taking their sweet old time when it comes to watching those shows.” (Lynch) With Netflix and Hulu there are no ads (If you pay for no ads on Hulu). This gives these platforms a certain appeal with is come to viewership because who like ads? So where is the ad revenue coming from? I think that for platforms like these TV studios will have to be savvier when it comes to product placement in the TV shows themselves. They make money from car companies and phone companies when they are featured in the show. So if ads are cut all together on some platforms, it would be smart to have those products from the advertisements that they are using within the show so they are still making money. The impact for the consumers if a tv studio does it correctly is they won’t even notice as much. Consumers will not be getting commercials, but they are getting them within the show themselves. So their favorite character might have an iPhone or be driving the latest model of a car in each episode making them want to buy the product that they are using. Instead of having the same annoying commercial play over and over again. For music, I think the biggest change that they will have is that record companies might be losing their glow. Meaning we have seen a lot of artists make it without the help of a record label. Chance the rapper made it big without a record companies help just by streaming his music on a streaming platform. So what does this mean for record labels? “The streaming business also will require labels to fundamentally change how they operate. First, they’ll need to shift promotion and marketing efforts to drive consumption rather than transactions. Second, as smartphones increasingly are used to consume video content, labels need to produce more of it. Finally, labels have to ensure they don’t help make streaming services so powerful that they will start releasing music themselves, as Apple essentially did with Frank Ocean’s Blonde.” (Levine) The impact that this has on record label professionals is a lot because everything eventually goes to streaming. The smartest move that they should make is creating or partnering with a streaming service so that they gain some of the profit that streaming service are making. The downside for consumers is if they did this a lot of the music that would be put on this service would be exclusive. “Since most users will never subscribe to more than one streaming service, he believes that limiting access to music only incentivizes fans to seek it out on pirate sites or YouTube, where it generates less revenue.” (Levine)
Works Cited Andreeva, Nellie. “Network Ownership & In-Season Stacking Rights Rule 2016 Upfronts”. Deadline. 19 May 2016. Web. Levine, Robert. “’Bad for the Indistry’ – Spotify;s Artist Whisper Troy Carter Slams Exclusives, Updates Company’s Subscriber Total”. Billboard. 25 Aug. 2016. Web. Levine, Robert. “Is Record Business Really Back? How Streaming Is (And Isn’t) Turning a Profit”. Billboard. 3 Nov. 2016. Web. Lynch, Jason. “Advertisers Beware – Audiences Are Taking Longer Than Ever to Watch TV Shows”. Ad Week. 2 Aug. 2016. Web.
The first industry that will undergo the most change in the next ten years is the music industry. Currently, we are seeing the industry being changed exponentially in a relatively very short amount of time. The biggest change we are seeing right now is with the amount of consumers making the switch to paying for a streaming subscription. This is where we see such a massive in a short amount of time. Apple Music, for instance, reported that their subscriber base jumped from 17 million to 20 million in only three months, marking a 15 percent jump (Halperin). This is significant because the popularity of streaming has the possibility to pave the road of the music industry in the next decade. It’s doing this by changing the way people pay for music – something that music industry has been struggling to do since the Internet allowed the masses to download music for free. For instance, another change that Apple reports is that 60 percent of customers using Apple Music have not bought content from the iTunes Music Store in the last 12 months – a portion of which are dormant users but “the mast majority of new customers” (Halperin). Essentially, people are no longer paying for individual records or songs, historically was how any one would pay for music. This business model is actually turning out to be flavorful to the record companies. As streaming rapidly becomes music’s leading format, the industry tallied 561 million album-consumption units in 2016, which was a 3 percent increase over 2015’s 543.8 million units. This increase marks the first time during the millennium that the music industry has posted gains in two consecutive years (Christman). This increase along with the competition of the streaming companies creating innovation in streaming is what gives reason to believe the music industry will undergo the most change in the next decade.
In a similar fashion, the next industry that will undergo the most change in the next ten years is the television industry. The major change that we are seeing in television is not only how people have turned to streaming, but also how streaming companies such as Netflix or Amazon are producing popular, original content. One of the main arguments against change in the television has to do with the amount of content that is being streamed by major streaming services such Netflix. Alan Wurtzel, president of research and development for NBCUniversal, states, “I don’t believe there’s enough stuff on Netflix that is broad enough and consistent enough to affect us in a meaningful way on a consistent basis” (Lynch). Despite this claim, The Hollywood Reporter reports that Netflix topped all five broadcast networks in producing 43 original series in 2016 (Goldberg). This is showing the potential streaming services have in not only getting people to switch to their services but also can predict how television content will be distributed in the next ten years. We could very possibility see some of television’s best and most popular content being available solely on streaming services.
The two industries that I think will undergo the most change in the next 10 years are the television industry and the radio industry. People are constantly saying that radio is dead, but it is actually thriving in a way that people don’t realize. I listen to the radio everyday whether it is Elvis Duran in the morning or NPR in the afternoon, I spend the majority of my time in the car listening to the radio. The iHeartRadio app is a great example of the future of radio. The iHeartRadio app allows users to listen to live radio even when they are not in the car. It also allows users to listen to radio stations that aren’t in their area which is an advantage for people who moved away from their favorite radio station and aren’t able to listen to the morning show anymore. As long as that station is offered on iHeartRadio they can use the app to listen to their station. They also have podcasts and for Elvis Duran fans they have a whole replay channel that lets you listen to that day and previous shows whenever (my favorite feature). Within the next few years I think we will start to see radio evolve even more digitally. At the 2014 Consumer Electronics show, CEO of iHeartMedia Bob Pittman state said, “you can’t stop technology, nor can you control it. The only winning strategy is to embrace it” (Libassi). With the new upgrade to the iHeartRadio app I think that we will start to see a second wind for the radio industry.
ReplyDeleteThe television industry had a record-breaking year last year with 455 original television shows airing, an 8% increase from last year and 137% increase from a decade ago (Goldberg). A trend that is already happening that I think will only continue is watching TV on services such as Netflix, Amazon, Hulu and on Demand. People are more inclined to watch full season of episodes or have the option of watching previous episodes. Networks like NBC have stacking rights for a majority of their shows, which keeps consumers wanting more (Lynch). Networks like Netflix are really pushing the boundaries with TV shows and I think that it’s going to be a big trend within the next 10 years. Last year Netflix spent $6 billion on original series, alone which is insane to think about but it shows the commitment Netflix has to the TV industry. I think that we are going to see a decline in the number of TV shows but more quality shows that push the boundaries, following in Netflix footsteps.
DeleteLynch, Jason. "Advertisers Beware – Audiences Are Taking Longer Than Ever to Watch TV Shows," Ad Age 2 Aug. 2016. Web.
Goldberg, Lesley. "Scripted Originals Hit Record 455 in 2016, FX Study Finds," The Hollywood Reporter 21 Dec. 2016. Web.
Libassi, Matthew V. "Exclusive: Radio On Its Deathbed? Elvis Duran Speaks Out!" Fox Business. Fox Business, 18 Aug. 2016. Web. 13 Apr. 2017.
Each major media industry is making changes every day, week, month, and year to better the industry for the consumers. The changes in these media industries are also acted upon in order to keep up with the ways that consumers receive and use the media of that specific industry. Although all of the major media industries are undergoing these changes the two industries that will undertake the most change within the next 10 years are the film and music industries.
ReplyDeleteFirst Let’s start with the film industry. Within the past couple years many online streaming services, such as Amazon and Netflix have been dipping their toes into the film industry. It wasn’t until the 2016-2017 year that both companies took a plunge leading them both to successes, but setting up a large change for the film industry.
Being that both Amazon and Netflix are subscription based they have the money and ability to buy up movies and they don’t necessarily have to report to or worry about a movie tanking because their revenue keeps coming in. This leaves them in the position to become power players within the film industry, “It has personnel, the deep pockets and the sheer chutzpah to make its investment much, much bigger,” (Galloway 2016). This ability will a factor that changes the industry within many years because Amazon and Netflix have guts to go against the grain and take risk with films, budget, and the way this products are released unlike traditional film companies. Amazon and Netflix ultimately, “aren’t just going to siphon away the biggest and best projects, they’re going to release, them in the biggest and best ways,” (Galloway 2016).
Furthermore another change that will be undertaken within the next 10 years due to the up incline of Amazon and Netflix is the way that films are disturbed. Many film consumers like to view a movie instantaneously and in the comfort of their home. With that being said in future films are going to have the option of being released in theater for those who enjoy the act of going to the movies and on the platform of Either Amazon or Netflix.
This method may not be working now because all of the revenue from films is made due to their theoretical release, but this isn’t a concern for Online streaming platforms, “The advantage for us and other streamers is that don't have to make money on theatrical. Online is the growth engine. I can lose significantly on theatrical but the buzz surrounding the release will increase our subscriber base," (Roxborough 2017). Therefore, with Netflix and Amazon stepping into bigger roles within the film industry they have the opportunity to eventually stop catering and working with film distributors and theaters (i.e. Amazon) and release films on their own. This is because they know that they are catering to large market of consumers who want the ability to have an in home movie experience with new release and because they are aware that they don’t really have anything to lose because their system is based of off online growth.
The other industry that will be undergoing changes within ten years is the music industry. Recently the music industry has taken major steps in evolving by now taking into accountant streaming artist, albums, and music. It is no secret that physical record sales have been declining due to ability for consumers to stream music. However, “recorded music sales increased primarily due to an increase in digital streaming revenues, “ and, “ …announced recently that, largely thanks to streaming, the U.S. recorded music industry had seen an 8.1 percent growth this year, “ (Flanagan & Blair 2016). With all of this being said the major change that the music industry will go is that albums and songs will soon become completely streaming online because that is where a lot of artist are making their money in regards to the content they produce. Also because if they continue to produce physical copies of albums artist are losing money due to the cost of product of CDs and so forth. However, if this becomes a change for the industry within ten years the other major change needs to be the amount of money that artist, songwriters, and so forth receive for the work they produce. This is because as of now, “Its economics are rarely as rewarding for songwriters, publishers and even some labels and artist,” (Levine 2016). Therefore, there would have to be a change in the way that those people receive compensation for their work on streaming services.
DeleteOverall, in both industries I think consumers will be impacted in a good way because this already the way that consume or want consume these forms of media. In regards to the impact on media professional within the film industry these changes would really affected the large film houses and the people that run it because Netflix and Amazon are adapting and willing to adapt to these changes faster than they are, which will eventually cut them out entirely. Lastly, the impact the changes in the music industry will have on its professionals is difficult one. By having streaming online albums there is a possibility for many artist to cut out the middle man (Label) and just do all the work himself or herself as an independent. However, I feel that their could still be the need for the label, agents, and other professionals in the form of the artist needing or wanting to have that security or support of larger entity protecting them.
Works Cited
Flanagan, Andrew, and Gavin J. Blair. "Sony Sees Music Revenues Jump Thanks to Streaming." Billboard. Billboard Magazine, 1 Nov. 2016. Web. 13 Apr. 2017.
Galloway, Stephen. "Galloway on Film: Challenges From Amazon and Netflix Signal the End of the Studio System." The Hollywood Reporter. The Hollywood Reporter, 01 Aug. 2016. Web. 13 Apr. 2017.
Levine, Robert. "Is the Record Business Really Back? How Streaming Is (And Isn't) Turning a Profit." Billboard. Billboard Magazine, 03 Nov. 2016. Web. 13 Apr. 2017.
Roxborough, Rebecca FordScott. "Berlin: Netflix and Amazon Evolve From Industry Disrupters to Market Darlings." The Hollywood Reporter. The Hollywood Reporter, 10 Feb. 2017. Web. 13 Apr. 2017.
Olivia Dufault (1)
ReplyDeleteOver the next ten years I think the film industry and the music industry will undergo the most change. At this point in time both of these industries have a window of opportunity to expand or flounder, however I think both are going to change successfully over the next ten years.
In recent years movie theater ticket sales have dropped and theaters have been losing money, “in 2014, movie attendance plunged to the lowest level in 20 years” (Zhang, 2016). However “revenue at the North American box office clocked in at $11.36 billion in 2016, setting a new high-water mark and up 2.1 percent from 2015’s record” (McClintock, 2017). Disney films played a large part in this boom and I believe that Disney will continue to be a film front-runner due to the long list of upcoming remakes, which have already proven to be highly successful. Even before the actual film had been released, “a 90-second teaser trailer [of “Beauty and the Beast”] had generated a record 92 million views in its first day online, leaving Hollywood slack-jawed – not even “Star Wars: The Force Awakens” had attracted as much interest” (Barnes, 2017). Not only was the trailer successful, but the movie itself reached the top of the Box office in its first weekend, proving that if Disney continues along this successful remake path, the company will continue to dominate the film industry and hopefully continue to encourage audiences to attend the movie theater. In general, I think movie theaters are going to make a comeback due to an increase in Blockbuster films and by creating a more luxurious experience; already movie theaters are improving seating, incorporating bars, and increasing snack options. Not only is movie theater service improving, but the technology is improving as well. “In the future, movie theaters will deliver more than bigger screens and higher resolution. With the development of flexible screens, motion controls and other technology, an audience may be able to connect to the movie and experience the story as a participant” (Zhang, 2016). It’s about giving people a reason to want to attend the movie theater, and I believe with improved service and extensive technology, movie theaters can bring viewers back to the big screen in the upcoming years.
Olivia Dufault (2)
DeleteAnother change in the film industry is the addition of streaming services sending their original content to the big screen. In 2016, “there were 15 movies in the package [of potential Oscar-nominated films] and none of them came from the usual suspects. All were being released by one company: Amazon” (Galloway, 2016). Streaming services are going to begin giving the studios a run for their money because “the upstarts aren’t just going to siphon away the biggest and best projects, they’re going to release them in the biggest and best ways, too. They are financial and artistic behemoths – and they understand the future better than any of the great Hollywood institutions that remain rooted in the past” (Galloway, 2016). With added competition to the studios and large budgets, especially Netflix, streaming services can start to dominate the film industry by hiring A-list actors and also hiring A-list producers, directors, writers, etc. As streaming services become more successful in the film industry, more talented professionals will want to work with them taking away from the studios; however, I don’t think streaming services will ever actually put the big, original studios out of business because “the majors are still the first port of call for any significant project” (Galloway, 2016).
I think both consumers and media professionals will be impacted in positive ways by these changes. As movie theaters continue to evolve, consumers will most likely be willing to pay more for tickets and snacks because the experience will be well-worth it. Streaming media professionals have a huge opportunity to enter the big-screen film market, and although it provides competition for studios, hopefully that competition will encourage studios and streaming services to make higher-quality films that make people actually want to attend the theater, which will in return get the Box Office back on track.
Olivia Dufault (3)
DeleteThe music industry, I believe, will also see changes over the next ten years. Currently, there are a variety of streaming services, however they all can’t last forever; some streaming services are bound to do better than others. As MiDia Research founder Mark Mulligan said, “It is difficult to have more than a couple of big, all-things-to-all-people services” (Rys, 2017). I think in the upcoming years media convergence will occur and there will be less streaming options, however the streaming services that remain will become more interactive with more options within the streaming services themselves. “In a year full of milestones, 2016 became the first time streaming overtook sales as the music industry’s most dominant model, accounting for 51.3 percent of album consumption and besting physical and downloads combined” (Rys, 2017). It is most likely that streaming will put traditional ways of listening to music out of business, including CDs and physical music stores, however this may not be a bad thing for the music industry considering “streaming led the U.S. music industry to its first back-to-back yearly growth this millennium and in the first half of 2016 was the single highest source of revenue in the U.S. recorded-music industry, bringing in $1.61 billion” (Rys, 2017). Subscriber growth has also been increasing over the years, which proves that people are making the switch from traditional music-listening options to the new and improved streaming option. I think switching to streaming will impact consumers and most media professionals in a positive way. As less streaming services become available, professionals can focus on making the ones left over as interactive as possible, and hopefully with new additions people could be willing to pay more for streaming services. With improved selective streaming services, listeners would be getting what they paid for.
Works Cited
Barnes, Brooke. "‘Beauty and the Beast’ - Disney’s $300 Million Gamble." New York Times 8 March 2017. Web.
Galloway, Stephen. "Challenges From Amazon and Netflix Signal the End of the Studio System." The Hollywood Reporter 1 Aug. 2016. Web.
McClintock, Pamela. "2016 Box Office Hits Record $11.4B in North America Despite Angst." The Hollywood Reporter 1 Jan. 2017. Web.
Rys, Dan. “2017 Streaming Wars – Will Spotify, Apple Music or Amazon Dominate?” Billboard. 6 Jan. 2017. Web.
Zhang, Yu. “4 New Movie Theater Trends.” National Center for Business Journalism. 26 Oct. 2016. Web.
The two media industries that will see the biggest changes are traditional cable television and terrestrial radio. The primary reason for the drastic changes to these businesses are very similar, and there are two words to describe it: the internet.
ReplyDeleteThe internet provides consumers with an unprecedented amount of accessibility. They can now watch what they want, when they want, without many (if any) commercials. This was not the case for the majority of the 20th century. If you watched something on television, unless it was HBO, you were seeing it with advertisements on their time. Now with the surging popularity of Netflix and premium channels like Showtime/HBO, consumers are more likely to “cut the cord” and abandon paying for a cable subscription altogether. I lived in an apartment this summer in NYC and didn't pay for any cable. I don't plan on every paying for a cable package. Too many channels I don't watch for too much money. What I predict to happen instead, is that networks will have more leverage in renegotiating their contracts because of the ale-carte trend. Scripps, who owns Food Network and HGTV, might be intrigued to offer their content to consumers for $5 a month and will allow access on Apple TV and Roku—bypassing a cable company like Comcast entirely. I don't think thats likely to happen within the next 5 years, but possibly 10.
Netflix is going to be the dominant player in home entertainment. As they fine tune their original content, and leverage more bargaining power with networks, they will have a vast library of quality content that the average viewer can’t have in their media diet. Alan Wurtzel, president of R&D for NBC Universal said, "I don't believe there's enough stuff on Netflix that is broad enough and consistent enough to affect us in a meaningful way on a consistent basis (Lynch).” Mr. Wurtzel is a liar. NBC and their networks are operating like 20th century television stations. While they perhaps produce quality content here and there, nobody wants to tune in at 8pm on a Tuesday to watch it. Those days are finished. The sooner Mr. Wurtzel acknowledges the greatest threat to his company’s existence, the better off he and his colleagues will be.
Now on to FM radio. What a dinosaur. I’m pretty sure my grandmother now listens to Pandora and she was a radio actress back in her day. To their credit, FM stations are still operating. However, once advertisers begin to flock to Spotify, Pandora, and other mediums to reach their audiences, their days will be finished—and the end is nigh. The internet obviously destroyed this once very popular medium for enjoying music. Spotify and Apple Music will be the dominant players now for music exploration and enjoyment. “This is Spotify's first user number announcement since the service hit 40 million last September, which means it took the streaming service just five-and-a-half months to gain 10 million subscribers -- half a month quicker from when the service went from 30 million to 40 million subscribers (Gensler).” This kind of growth is incredible. 40 million paying customers per month? That is certainly something to talk about. How many paying customers do FM stations depend on? 0. That sounds like an inferior business model to me. My sister, who is 17, can’t remember the last time she turned on the FM dial in the car. She, at the tender age of 17, knows nothing other than streaming music? Do I feel badly that she’ll never know what it was like having to flip through presets to find a station not playing advertisements at the moment? No, because ads are terrible.
Works Cited
DeleteGensler, Andy. "Spotify Officially Hits 50 Million Paid Subscribers." Billboard. N.p., 02 Mar. 2017. Web. 18 Apr. 2017.
Lynch, Jason. "NBC Says Netflix Doesn't Yet Pose a 'Consistent' Threat to Broadcasters. Here's Why." – Adweek. Adweek, n.d. Web. 18 Apr. 2017.
The next 10 years are going to be a pivotal time in the media industry. I believe that one of the industries that will undergo the most change is going to be the music industry. The way people listen to and purchase music has changed so much in even the years I have been listening and actively been a music consumer. Artists and record companies need to realize that a physical album being sold is not the best plan of action to sell music. Very few people are going to the store to get the latest album instead they are downloading it at their convince. Currently Spotify and Apple Music are the big competitor for downloads. There are other outlets to of music streaming but these seem to be the most popular. The number of subscribers is growing each year “Spotify and Apple Music together added more than 20 million ¬subscribers, ¬boosting their ¬numbers to 40 ¬million and 20 ¬million, respectively.”(Rys) Media professionals are starting to realize more and more that music is going another way. For example, Chance the Rapper won the best new artist award this past year at the Grammy’s and only streamed music and had no record company backing him. The fact that he won a Grammy shows just how much the industry is changing. Talented artists can now promoted themselves by releasing their own music for download without the help of a studio. Studio professionals need to recognize that their typical way of producing and selling music is a thing of the past and need to seek out new ways to gain a profit via downloading.
ReplyDeleteAnother industry that will see a big shift is cable television. Gone are the days of appointment viewing, streaming video on demand services is the way of the future. Netflix is the leading competitor for television watching currently. They spare no cost when it comes to creating their original content, With spending estimated at $6 billion on originals, it should come as little surprise that Netflix topped all five broadcast networks with a total of 43 originals”(Goldberg) This new trend has created cord cutters making cable television less relevant. Networks have started to notice this trend, for example NBC has a deal with Hulu. However, many networks are not creating original content on these SVOD services and they should be. Consumers have seen the shift and many have an SVOD streaming service in conjunction with cable television but many are getting rid of traditional television in the years to come. Many consumers will not be too affected by the changes that will come to traditional cable because many are already adjusting. Those who may be affected the most could be the elderly. However, networks needs to get creative and figure out how to adapt to this changing time.
ReplyDeleteGoldberg, Lesley. "500 Scripted Shows?! How Netflix, Amazon Are Sending Originals to All-Time Highs." The Hollywood Reporter. N.p., 05 Jan. 2017. Web. 18 Apr. 2017.
"2017 Streaming Wars: Will Spotify, Apple Music or Amazon Dominate?" Billboard. N.p., n.d. Web. 18 Apr. 2017.
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ReplyDeleteIn my opinion, every industry is changing because of technology and the way people consume information today. The two media industries that are changing the most in my opinion are the advertising industry and the music industry.
ReplyDeleteEarlier in the semester, we discussed how the advertising industry has changed so much because of technology. Things like billboards, radio ads, and commercials are becoming obsolete because of easier, faster, and more efficient ways to access information. If a company can send out an ad on social media and pay for it to reach millions in a specific demographic then why would they pay for a billboard with the hopes that someone may look up to see their advertisement.
Commercials and radio ads are not effective anymore because of the streaming industry. People do not want traditional advertisements. They do not want to feel disrupted by commercials. That is why the advertising industry has done a switch to social media and new inbounds marketing techniques because this form of advertising is more relevant to consumers and less disruptive. Advertisers have come up with technology that tracks what websites and products consumers look at so that they can then advertise to them on the internet (Tynan, 1).
Companies are starting to realize what consumers want and what social media channels they are on. Advertisers have become so smart they put in advertisements that look like a part of the content their demographic is consuming. Social media channels have created “buy buttons” where consumers can purchase right when they see something they like from browsing (Halzack, 1).
(Chasse Continued)
DeleteThe changes in the advertising and music industry are related to each other because of streaming. People in the music industry have realized with the changes in technology that people want it all, and that subscriptions to products or services are very trendy. Apple Music, being one of the main streaming services recently hit 20 million followers. With that being said, this has been a really successful outlet for people to hear any music they want. Streaming also has been a successful outlet for artists to put content out without being affiliated with a record label. Chance the Rapper for example, broke history by having his music released to Apple Music exclusively without being attached to any record label at all. (Halperin, 1). Because of the streaming industry and the control that it has given many artists, record labels could be facing extinction in the future. Record labels are going to be impacted by this switch because they are going to be out of jobs and will need to figure out how to stay relevant with the industry. Artists will be affected because they will continue to have more control over their music.
An issue that music-streaming services have had in the past is the amount that they are paying artists. Artists in the past have only received a microscopic amount of money per stream when they are the ones who create the content. Artists like Taylor Swift and Jason Aldean have raised awareness for this problem by taking their music off of Spotify. It has since gotten better, but streaming services will need to learn in the future how to pay the artists better because there have been problems with that in the past.
Halperin, Shirley. "Apple Music Hits 20 Million Subscribers; Execs Want 'More, Faster -- We're Hungry!'" Billboard. N.p., 6 Dec. 2016. Web.
Halzack, Sarah. "Why the social media ‘buy button’ is still there, even though most never use it." Washington Post. 14 Jan. 2016. Web.
Tynan, Dan. "Explained - Here's How Advertising Tracks You Across the Web." Yahoo Tech. 17 Nov. 2014. Web.
After a semester of learning about different media industries, it is hard to not see that the two media industries that will see the most change are the Music industry and Television industry. Both the Music industry and Television industry are seeing sustainable amounts of change right now. The Television industry in particular has seen a dip in the number of viewers in recent years. This can be directly attributed to how people are watching television now, instead of watching TV when it is aired live, delayed watching or watching it on their own time is now the new norm (Lynch). This is merely one reason why SVOD services like Netflix have proven to be such strong competition for cable TV. Add in the fact that Netflix produces a total of 43 original scripted television shows on their platform, something that is much more valuable (to me) than the scripted hogwash that cable TV spits out (Goldberg). In the next ten years there will be a huge shift to SVOD services, and we may very well see a response from cable TV to stay relevant either by buying more scripted originals themselves, allowing more access to TV shows on tablets or smartphones or something entirely different to stay ahead of the curve, but I believe the last is unlikely. The Music industry is also seeing tremendous changes, currently there is a race going on, on who can establish a strong foothold in the music streaming realm. The two biggest competitors Spotify and Apple music have chosen two different approaches. While the two applications are very similar, they both allow the user to stream music to their computers, smart phones, tablets, and give the user the ability to create playlists to share with friends and other users, the main distinction between the two are the music license deals.
ReplyDeleteKronenberger 2
DeleteApple Music is attempting to strike exclusivity deals with certain artists in hopes that users will purchase Apple Music so they can hear albums first (Halperin). Spotify on the other hand is the only streaming service that allows the user to stream free, on-demand tunes with advertising. Currently Spotify is winning this race with double the subscribers that Apple Music has at 40 million (Rys). I think it is too early to predict the future over the next ten years, however, if Apple Music is really able to attract so many top artists that having Apple Music is the only way to listen to these top artists then I can see how Apple Music could jump ahead of Spotify. Being a Spotify user myself, who doesn’t mind ads, I and many others don’t have a reason to switch to Apple Music, especially if my taste in music doesn’t revolve around the top 100.
Works Cited
Goldberg, Lesley. "500 Scripted Shows?! How Netflix, Amazon Are Sending Originals to All-Time Highs." The Hollywood Reporter. N.p., 05 Jan. 2017. Web. 18 Apr. 2017.
Halperin, Shirley. "Apple Music Hits 20 Million Subscribers; Execs Want 'More, Faster -- We're Hungry!'" Billboard. N.p., 12 June 2016. Web. 18 Apr. 2017.
Lynch, Jason. "Advertisers Beware: Audiences Are Taking Longer Than Ever to Watch TV Shows." – Adweek. Adweek, n.d. Web. 18 Apr. 2017.
Rys, Dan. "2017 Streaming Wars: Will Spotify, Apple Music or Amazon Dominate?" Billboard. N.p., 6 Jan. 2017. Web. 18 Apr. 2017.
Carly Knowles.
ReplyDeleteEach industry is always changing, which forces media professionals and consumers to adapt. I believe that the music industry will undergo a significant change in the next 10 years. It had a tremendous amount of success in 2016, bringing in $1.61 billion only halfway through the year. But, this growth has sparked competitors, such as Pandora and Amazon, to start streaming as well. Currently, the top two labels are Spotify and Apple Music. However, smaller companies such as Tidal and SoundCloud are going to need to offer something completely different from what the market leaders already have. As stated in With new competitors and momentum, the sector led by Spotify and Apple Music is poised to change dramatically. BUT can it survive its biggest challenges? “One example will be different price points and new services, as incoming players look to undercut the currently standard $9.99/month all-access model. iHeart and Pandora have already negotiated direct deals with labels to offer enhanced radio at $4.99 that includes offline listening and replay functions, while Amazon, through discounts for its Prime members ($7.99/month) and owners of its hugely successful voice-activated home assistant Echo ($3.99/month), has made similar moves” (Rys). I think the different pricing is a great idea. The smaller companies need to stay creative and possibly merge together at some point because the bigger companies like Spotify and Apple Music are taking off. The consumers will learn to adapt because ultimately, they are forced to, and will most likely pay the higher price to stream music.
Knowles cont.
DeleteI believe that the social media industry will also undergo change in the next 10 years. There have already been changes on popular sites such as Instagram and Facebook. As stated in Instagram Ups Ad Time For Brands, “Instagram is now letting brands run ads up to 60 seconds in length” (O’Malley). Instagram seems to be the site that advertisers want to post their content on. “…Facebook has recently been far more willing to monetize Instagram. Brand networks, for one, recently saw ad impressions on the popular platform rise more than 13-fold from 50 million in August to 670 million in December” (O’Malley). Ultimately, I think social media is going to consist of mostly advertising within the next few years. There’s already so much of it and I actually see more ads than other normal posts from friends, family, etc. Social media sites all generally revolve around the same idea of “sharing” content, but I could see certain sites merging together. Consumers will adapt because social media is too popular to stop using. While there are people who are not a fan of it, it’s mostly how people communicate nowadays. Media professionals will adapt too, and like I said before, I think it will become even more “advertising oriented” than it already is.
For any industry, it’s important to stay relevant and continuously produce new content. Media professionals have been forced to adapt to the changing technology and new media applications because there will always be competition. In fact, social media has been changing the music industry. According to Raffi Keuhnelian in How Digital Marketing Is Changing the Music Industry, “Social media has allowed musical talents from around the world to become global superstars… Artists use it to communicate with their fans by keeping them in the know-how of the latest news and upcoming releases” (Agrawal). While word-of-mouth can also be helpful for companies, I think right now it’s hard to compete with social media and it will be for awhile. Almost everything is digital now because it’s more convenient for consumers.
I believe that digital marketing will stay relevant given the success it has had thus far, but I do think that it’s possible the music and social media industry could merge together at some point. The music industry already uses social media as a platform to market their brands and technology is constantly evolving. It may sound like an odd combo, but I wouldn’t be surprised.
Knowles cont.
DeleteCitations:
Agrawal, AJ. "How Digital Marketing Is Changing the Music Industry." Inc. 19 May 2016. Web. 18 Apr. 2017.
O'Malley, Gavin. "Instagram Ups Ad Time for Brands." MediaPost. 4 Feb. 2016. Web.
Rys, Dan. "2017 Streaming Wars: Will Spotify, Apple Music or Amazon Dominate?" Billboard. 6 Jan. 2017. Web. 17 Apr. 2017.
The two industries that will undergo the most change in the next ten years will be the music industry and the cable television industry. In all actuality the changes have been taken place already so one can only imagine what will happen in the next few years. One of the biggest changes in the music industry are that artists no longer need to depend on a major record deal to become successful. The best example that comes to mind is Chance the Rapper. He has yet to sign to a record label and his achievements continue to flourish with his album, Coloring Book. “[it] became the first streaming-only album to chart on the Billboard 200, it opened in the top 10…(Austen, 1).” Chance even won a grammy, something many didn’t expect from an artist who has no record label backing him up and from a streaming-only album. Seeing the newfound success that unsigned artists have will peak the interests and give hope to up and comers to continue working because it will only be a matter of time until their song becomes a hit. This will impact the industry because record labels will have less artists to sign, meaning less money for them. Consumers can still enjoy the unsigned artists and support them without giving money to major record companies. Consumers would still be able to listen to their works on a streaming service like Spotify and Apple Music.
ReplyDeleteThe television industry is also going to change as time goes on. Although many may argue that cable and broadcast television will never die out, I think that there is still a chance that SVOD will take over. “80 percent of content viewing that occurs during prime time is of cable and broadcast shows, while only 13 percent represents SVOD options. SVOD "is a compliment, not a replacement" to linear TV,” (Lynch, 1). This may be the belief of professionals in the industry but in a couple of years I think that SVOD services will try to find new ways to attract more consumers, especially the marginalized aged groups that don’t seem to be interested in new things like Netflix or don’t want to have to pay for it. One of the biggest attractions to broadcast/cable TV were sports which is how many networks make their money however, that soon may change. Sports games have tried to stick with the trends and revamp the way they release content by allowing streaming services for games. “There is a lot of demand for services like this, but there are only a few established service providers in the market,” (Dachman, 1). Having these streaming services they are adjusting to the ways the newer generations are consuming media. This will have a big affect on the professionals in the television industry because without sports they lose their biggest appeal. To me, the content that SVOD services provide are much better and it’s just more convenient than broadcast and cable networks. These are the two industries I think that will undergo the most changes and it will have a great effect on both professionals and consumers. The changes have already started and who’s to say they won’t happen within the next five years instead of ten.
DeleteReferences:
Austen, Ben. "The New Pioneers: Chance The Rapper Is One Of The Hottest Acts In Music, Has A Top 10 Album And His Own Festival -- All Without A Label Or Physical Release". Billboard. N.p., 2016. Web. 18 Apr. 2017.
Dachman, Jason. "NBC’S Playmaker Media, Turner’S Istreamplanet Combo Aims To Reshape Booming OTT/VOD-Services Market". Sports Video Group. N.p., 2017. Web. 18 Apr. 2017.
Lynch, Jason. "NBC Says Netflix Doesn't Yet Pose A 'Consistent' Threat To Broadcasters. Here's Why". Adweek.com. N.p., 2016. Web. 18 Apr. 2017.
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ReplyDeleteThe two industries that I think will undergo the most change in the next ten years are the Television and Music industries. In both of these industries here are multiple platforms where a person can view or listen to them. The problem is which one is going to be sustainable in the long run. With television, you have the traditional watch it when it airs through your cable provider, On Demand, record the show, or get it from a streaming service. With the music industry, you can get it from purchasing it through ITunes, buy the CD, or stream it. So which avenue of broadcasting their product should these industries take?
For television, the biggest struggle that they face is the ownership of the show. “The last two years mark networks’ strongest drive for program ownership since the abolishment of fin-syn rules in 1993 that allowed the networks to own their shows.” (Andreeva) This is because if they have full ownership of the program, they will make more money when airing it though cable and when they make deals with streaming companies. Another problem that TV studios face is the fact of getting stacking rights. “NBC, along with ABC, were particularly aggressive in pursuing in-season stacking rights on all new shows, which allow nets to stream all episodes from a series’ current season on its platforms, not just the standard “rolling five” most recent ones.” (Andreeva) With the ownership of their shows, ABC has now created a streaming platform where they can show all of the new episodes from a show without having to worry about the “rolling five” platform, so streaming companies have. This hurts streaming companies, but TV networks have figured out a way to profit on all avenues of getting their content out to the public.
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DeleteAnother struggle that TV will have is how to get advertisements into their programming. “Advertising is still sold based on the number of viewers within three or seven days of an episode airing, but audiences are taking their sweet old time when it comes to watching those shows.” (Lynch) With Netflix and Hulu there are no ads (If you pay for no ads on Hulu). This gives these platforms a certain appeal with is come to viewership because who like ads? So where is the ad revenue coming from? I think that for platforms like these TV studios will have to be savvier when it comes to product placement in the TV shows themselves. They make money from car companies and phone companies when they are featured in the show. So if ads are cut all together on some platforms, it would be smart to have those products from the advertisements that they are using within the show so they are still making money. The impact for the consumers if a tv studio does it correctly is they won’t even notice as much. Consumers will not be getting commercials, but they are getting them within the show themselves. So their favorite character might have an iPhone or be driving the latest model of a car in each episode making them want to buy the product that they are using. Instead of having the same annoying commercial play over and over again.
For music, I think the biggest change that they will have is that record companies might be losing their glow. Meaning we have seen a lot of artists make it without the help of a record label. Chance the rapper made it big without a record companies help just by streaming his music on a streaming platform. So what does this mean for record labels? “The streaming business also will require labels to fundamentally change how they operate. First, they’ll need to shift promotion and marketing efforts to drive consumption rather than transactions. Second, as smartphones increasingly are used to consume video content, labels need to produce more of it. Finally, labels have to ensure they don’t help make streaming services so powerful that they will start releasing music themselves, as Apple essentially did with Frank Ocean’s Blonde.” (Levine) The impact that this has on record label professionals is a lot because everything eventually goes to streaming. The smartest move that they should make is creating or partnering with a streaming service so that they gain some of the profit that streaming service are making. The downside for consumers is if they did this a lot of the music that would be put on this service would be exclusive. “Since most users will never subscribe to more than one streaming service, he believes that limiting access to music only incentivizes fans to seek it out on pirate sites or YouTube, where it generates less revenue.” (Levine)
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DeleteWorks Cited
Andreeva, Nellie. “Network Ownership & In-Season Stacking Rights Rule 2016 Upfronts”. Deadline. 19 May 2016. Web.
Levine, Robert. “’Bad for the Indistry’ – Spotify;s Artist Whisper Troy Carter Slams Exclusives, Updates Company’s Subscriber Total”. Billboard. 25 Aug. 2016. Web.
Levine, Robert. “Is Record Business Really Back? How Streaming Is (And Isn’t) Turning a Profit”. Billboard. 3 Nov. 2016. Web.
Lynch, Jason. “Advertisers Beware – Audiences Are Taking Longer Than Ever to Watch TV Shows”. Ad Week. 2 Aug. 2016. Web.
The first industry that will undergo the most change in the next ten years is the music industry. Currently, we are seeing the industry being changed exponentially in a relatively very short amount of time. The biggest change we are seeing right now is with the amount of consumers making the switch to paying for a streaming subscription. This is where we see such a massive in a short amount of time. Apple Music, for instance, reported that their subscriber base jumped from 17 million to 20 million in only three months, marking a 15 percent jump (Halperin). This is significant because the popularity of streaming has the possibility to pave the road of the music industry in the next decade. It’s doing this by changing the way people pay for music – something that music industry has been struggling to do since the Internet allowed the masses to download music for free. For instance, another change that Apple reports is that 60 percent of customers using Apple Music have not bought content from the iTunes Music Store in the last 12 months – a portion of which are dormant users but “the mast majority of new customers” (Halperin). Essentially, people are no longer paying for individual records or songs, historically was how any one would pay for music. This business model is actually turning out to be flavorful to the record companies. As streaming rapidly becomes music’s leading format, the industry tallied 561 million album-consumption units in 2016, which was a 3 percent increase over 2015’s 543.8 million units. This increase marks the first time during the millennium that the music industry has posted gains in two consecutive years (Christman). This increase along with the competition of the streaming companies creating innovation in streaming is what gives reason to believe the music industry will undergo the most change in the next decade.
ReplyDeleteIn a similar fashion, the next industry that will undergo the most change in the next ten years is the television industry. The major change that we are seeing in television is not only how people have turned to streaming, but also how streaming companies such as Netflix or Amazon are producing popular, original content. One of the main arguments against change in the television has to do with the amount of content that is being streamed by major streaming services such Netflix. Alan Wurtzel, president of research and development for NBCUniversal, states, “I don’t believe there’s enough stuff on Netflix that is broad enough and consistent enough to affect us in a meaningful way on a consistent basis” (Lynch). Despite this claim, The Hollywood Reporter reports that Netflix topped all five broadcast networks in producing 43 original series in 2016 (Goldberg). This is showing the potential streaming services have in not only getting people to switch to their services but also can predict how television content will be distributed in the next ten years. We could very possibility see some of television’s best and most popular content being available solely on streaming services.
Works Cited
DeleteChristman, Ed. "Nielsen 2016 Report: Streaming Smashes From Adele, Drake & More Offset Sinking Music Sales." Billboard. N.p., 09 Jan. 2017. Web. 18 Apr. 2017.
Goldberg, Lesley. "500 Scripted Shows?! How Netflix, Amazon Are Sending Originals to All-Time Highs." The Hollywood Reporter. N.p., 05 Jan. 2017. Web. 18 Apr. 2017.
Halperin, Shirley. "Apple Music Hits 20 Million Subscribers; Execs Want 'More, Faster -- We're Hungry!'" Billboard. N.p., n.d. Web. 18 Apr. 2017.
Lynch, Jason. "NBC Says Netflix Doesn't Yet Pose a 'Consistent' Threat to Broadcasters. Here's Why." – Adweek. Adweek, n.d. Web. 18 Apr. 2017.