Making Freemium Add Up. Music industry

Making Freemium Add Up: An Assessment of Content Monetization

25 May 2013

Visit Website

Industry analyst Mark Mulligan’s blog hosts a number of free reports covering topics such as streaming and new formats; subscribers also get access to supplemental reports.

Report example: Making Freemium Add Up: An Assessment of Content Monetization

The paid content market is finally getting going but it has been a long time in the making. When web business slowly pieced together the remnants of the post- dotcom bubble Internet economy, attention naturally shifted business models that were not dependent upon advertising. But Internet users were not ready to cold turkey from free content and most paid content sectors stuttered in the 2000’s. Apple’s iTunes Store was the key exception and because it drove approximately three quarters of digital music sales, music came to be viewed as the canary in the mine for paid content more generally. It is a rule that is still common intellectual currency, but it is time for a reassessment of music’s role in the paid content marketplace. Not just because Apple’s unique iTunes ecosystem is not representative of the broader Internet, but also because of the growing success of paid content’s third way: freemium