Coming Unbundled: Media Companies Continue to Adopt Direct-to-Consumer Subscription Models
It's not a one-strategy-fits-all world. The future revenue and delivery model that will be most effective for any specific publishing house will depend greatly on the market segment it serves. But it is increasingly clear that when compared to traditional book publishing revenue models, the revenue model of the future will be characterized by three dominant trends:
- First, the content will be delivered digitally. Physical print will continue to play a valuable but secondary role.
- Second, content will be delivered in the form of a subscription service, in which a customer is given access to digital content for a defined subscription period, rather than a purchasing a physical copy or a perpetual license.
- Finally, whenever possible, content organizations, including book publishers, will seek out ways of creating direct marketing and delivery relationships with the reader.
While the path is not fully clear, the clouds have parted enough for us to see the next steps that lie ahead.
Andrew Brenneman is founder and president of Finitiv (www.finitiv.com).