How Hollywood Can Out-Apple Apple: Free Mobile Content Critical to Future Success of Mobile Device Transactions
Posted by gasusan2005 on 02/26/08 in Apple, Business
White Paper from Parks Associates and ETC@USC lays foundation for future success in mobile content distribution
Leading consumer research firm Parks Associates and entertainment technology think tank Entertainment Technology Center (ETC@USC) today released a new white paper detailing steps to achieve profitable distribution of mobile content on mobile platforms and devices. In How Hollywood Can Out-Apple Apple, Parks Associates and ETC@USC suggest that content owners should offer more free content on mobile devices in order to aggressively promote movies and programming on traditional media. By offering free content, this will prime the pump for future premium offerings.
Parks Associates notes that less than 10% of Internet users are willing
to purchase a digital movie download at current price points. The new white paper exhorts Hollywood to use Apple’s own tactics of offering bargain content in order to sell higher margin products for its own benefit — in this case, to drive consumers to new theatrical releases, TV programming, and eventually made-for-mobile programming, or “mobisodes.”
“Many content owners have tried re-purposing TV and movie content on
mobile devices and have largely been disappointed by the revenues on those platforms,” said David Wertheimer, Executive Director of the ETC@USC. “While we believe wholeheartedly in ‘Anytime/Anywhere’ availability of content, we also know that these devices, when content is created specifically for them, can create opportunities for marketing and selling content elsewhere, especially now, while consumer habits are just taking shape.”
“Hollywood shouldn’t let Apple make all the money, especially since they are the ones making the movies,” said John Barrett, director of research at Parks Associates. “Judicious use of free mobile content can help drive ticket and DVD sales.”
David Wertheimer, Executive Director of the ETC@USC, and John Barrett,
Director of Research for Parks Associates, have both studied consumer
behaviors and attitudes toward digital media. The white paper, an
unprecedented collaboration between the two research organizations, is
available for download at http://www.etcenter.org/publications and
http://www.parksassociates.com/hollywood.
Source: Parks Associates press release
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