Some Potential Good News for Media Companies

 |  Includes: AMZN, BKS, GOOG, NWS, TWX
by: Research Recap

It’s not all gloom and doom for the media industry, according to L.E.K. Consulting. In a white paper, L.E.K. identifies five new media opportunities:

  • Online video content can be lucrative, but the optimal delivery is through the cable bill
  • E-readers are driving readership and becoming a growth driver for the book and magazine market — the “iPod Nation” consumer segment is good, but the “e-reader Republic” offers even more opportunities for new media services

36% percent of the books read by people with e-readers represent incremental consumption— meaning more than one-third of the books read on e-readers would not have been read in print

  • Consumers are multi-tasking while online, specifically watching TV and/or listening to music – advertisers should note and take advantage
  • Internet radio is finally becoming relevant
    Internet Radio
  • Don’t forget about new media for people over age 50, a potential new growth area

Free paper available here.