Imagine for a moment that it’s time to kick back after a long day of work (at home). You slip off your work slippers, close your laptop, and grab your phone. An hour later, you’re a few levels deep into your favorite video game, and you find yourself stuck. What’s holding you back? Are you slaying dragons and need an extra weapon pack to defeat them and unlock your destiny? Is your chicken farm in need of some new siloes or better incubators? Whatever your mission, you are faced with a choice: make an in-app purchase for an advantage, or keep your money and carry on without assistance. What you choose is up to you, but you’ve just unwittingly been immersed into the depths of a vital strategy for media and entertainment companies: digital monetization.
Digital monetization, at its core, is all about a complete view of the consumer: what you like, what products you buy, what makes you happy, and what will make you buy more. Whether you realize it or not, each day you’re being profiled by dozens, if not hundreds, of companies looking to paint a complete picture of you as a consumer and, in the end, retain you as a loyal and happy customer.
A Holistic Strategy Is Key
Why is it so important for media and entertainment companies to have an effective, holistic monetization strategy? Well, fire up your laptop or smart TV and scroll a bit to see why. Consumers have more options than ever before. We often have to Google movies to track down the right streaming service, decide if we’re willing to pay, and try to remember to cancel that subscription if we have to sign up for a new one. It can make you feel like a tiny person trapped in a pinball machine as content bounces from service to service, forcing you to track it down when it’s time to binge. The pandemic spurred massive changes in the media and entertainment landscape, and as its effects continue to unfold, the impact of these changes is likely to continue.