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Life after the dip -or- What happens when you lose everything? July 1, 2008

Posted by David Gillespie in digital strategy, marketing, music, Video Games, work/life.
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2 comments

Note: This is a continuation of yesterday’s thoughts.

Also note: not The Dip.

Capitol Records buildingIn the music industry’s case, they’ve spent the last decade attempting to bend consumer behaviour to their will. All the time and effort put into better encryption, DRM etc. only for it all to be futile, forcing people into a dead model. Think about that. Ten years of lawsuits, of bad ideas, of attempts to stall the forward march of consumer technology. Each writ issued was an extra nail in the coffin of a decrepit business model established to confuse value and price point and foist it upon the unwitting consumer. As one of my favourite writers likes to say, the epic, epic lulz. As a complete aside, anyone know how many lawyers the RIAA has? I’m just curious…

In the games industry’s case, budgets and teams are swelling, but this is not where industry growth is coming from. The really booming sectors are taking things back to small teams and games that take hours not days to play. Respecting people’s time and attention spans, you can spend five minutes doing something else entirely and then get back to what you are doing. It is a business model that is fluid, moving with the trends of its audience who are not the pimply teenagers with plenty of time on their hands anymore, they are developers themselves, they are in advertising, they’re lawyers and doctors and parents whose free time has not grown with their disposable income.

Exposing what people want to engage with and burying the stuff they’re not interested in is key, and it is only an issue if your business model rests on the viability of the things people don’t like. Digital Rights Management for starters if a zero-sum strategy where nobody wins. I’m a big believer artists should be compensated for the work they do (indeed one day I hope to do nothing but), but in the interim we need new models that are malleable. In the words of Seth Godin:

Persistence isn’t using the same tactics over and over. That’s just annoying.

Persistence is having the same goal over and over.

If your goal is delivering value, then everything will be fine. If your goal is to keep the game unchanged, then we have a problem on our hands.

Image courtesy of maubrowncow, with thanks to compfight.
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