The Future of New Media vs. Old Media
Where is new media headed, in comparison to what old media has accomplished? Especially in terms of revenue generation? Vin Crosbie at ClickZ posted his perspective, New Media Predictions, Part 1 (link below).
“In almost all cases, new media’s operating revenues, when discounted for inflation, will never equal those that used to be generated by traditional media companies.”
Crosbie writes about the scarcity of old media, meaning the limited places to publish ads in newspapers, magazines, radio, TV, etc., as compared to the seemingly infinite opportunities to publish advertising in the realm of new media – particularly as associated with the Internet. Contemplating a supply and demand equation, more supply equals lower costs.
He further notes:
“In traditional media the media companies were the middlemen between consumers and content or between consumers and advertisers. The Internet tends, more often than not, to eliminate middlemen. Advertisers can now reach consumers directly.”
“The affiliate structure of America’s radio and television industries is about to implode due to broadband new media.”
“We’ll see bloodbaths and major restructuring in the U.S. television industry in the coming decade now that broadband Internet access is making the traditional affiliate business model obsolete.”
Click here to read the full article: New Media Predictions, Part 1.
Tags: Advertising Revenues, Broadcast Advertising, Marketing Media, media buying, Media Outlets, Media Technology, new media
Social Media | GA | 
September 18, 2009 8:43 am
Subscribe