The On-Demand Economy and How We Live: Communication, Information, Media and Entertainment
Access to media content can be achieved by temporary ownership or renting, and not purchase, and by consuming fractional portions rather than the entire package. This creates demand for novelty as it shortens the life cycle of any given message.
Abstract DCT has provided choices over content and the vehicle for consuming media content. Unbundling enables the authors of content, the sellers, to be separate from the distributors, or buyers, of their creations. This induces both sides to innovate in the creation, curation and dissemination process, as exemplified by user-generated content in social media and product reviews. Consumption of content is a choice between ownership of individual units in the content bundle; renting via streaming or temporary ownership and the traditional format of purchasing the entire bundle via download. The distinction, from a consumption point of view, between a product that is owned and a service that incurs a onetime fee has been dissolved - access is all that matters.
Keywords Ownership versus access to content • Creation • distribution and delivery of content • Social media
© The Author(s) 2017 71
S. Bhatt, How Digital Communication Technology Shapes Markets,
Palgrave Advances in the Economics of Innovation and Technology,
Granularity in the CIME industries is manifested by multiple consumption formats: ownership of individual units in the content bundle; renting or temporary ownership of units in the content bundle; and the traditional format of owning the entire bundle. The distinction, from a consumption point of view, between a product that is owned and a service that incurs a one-time fee has been dissolved. Access can be obtained by purchase or rental agreements, making ownership a redundant contractual arrangement.
In this chapter, I first address choices facing buyers and sellers of media content and then explore the nature of the content. An important form of crowd sourced content, social media, is discussed in the second section, in the context of engagement, empowerment and immediacy. The business model of the CIME industries sits on a core revenue foundation provided by the advertising industry, examined in the final section of this chapter.