Archive for the 'Revenue' Category

YouTube: The Victorian Edition

Slate.com has a new Slide Show piece up today: What the First Movie Goers Saw.

The piece is an essay that includes 10 short films from the first years of the 20th century.

You can link directly to one of the slide show videos here.

These early films are hard to categorize: Often less than a minute long, they are experimental without being avant-garde (except in one case, which I’ll get to). Perhaps they look oddly modern because of the recent rise of Web video: YouTube has fostered our patience for short clips that would probably look insipid on the big screen, and the spirit of improvisation that thrives on the Web seems alive n the Victorian films, as well.

She writes later:

The novelty of these earliest films, most of which simply offered glimpses of the real world in motion, lasted for about a decade. By 1907, more fictional narratives than documentary scenes were being shot; and by 1915, Charlie Chaplin was using movies to generate a new kind of star power.

I believe the same will hold true of Internet: we will have a period of the “real world” and the documentary, but in time “star power” of one kind or another will take hold.

Go down and look again at the video from Britain’s Got Talent I posted. Notice something: people know when something is better than something else. We actually know when something is really well done — and we respond with approval. (I notice this as a child reading comic books. There was no doubt that the work of Neal Adams, Gen Colan, and Jack Kirby (to name a few of my favorites) was superior to the art of other artists in the field — and I responded with favor to the titles they drew.)

Amateur Hour can only last so long. While I believe that the current “folk art” period of YouTube will always be with us, ultimately the novelty of the new medium and delivery will wear off and people will respond to more professional work.

I think and by 1915, Charlie Chaplin was using movies to generate a new kind of star power.” Chaplin didn’t generate that star-power, the audience did. It was a big thank you for making movies even better than they had been before.

Thus my warning to all the executives around Los Angeles excited about making a killing on “user generated content” (read: “We don’t have to pay actors and writers!”) — This too shall pass.

Some folks are going to come along and make what I call “content-on-purpose.” The same shift that Chaplin created when he took a medium that had been very casual and awkward and brought professionalism, emotion and artistry to bear upon it.

The same thing will happen in a dozen different ways with the Internet.

And at that point the buzz phrase won’t be, “How do you monetize it?” but “Get me the next Chaplin!”

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Is an online-ad firm really worth $6 billion?

Slate.com has terrific article on on-line advertising today.

Here, I think, is the key quote:

Television, magazines, and newspapers may be hanging on because they are more powerful media for reaching the consumers companies most want to reach. But I suspect they’re hanging on for another demographic reason. Advertising is supposed to be a with-it, hot, trendy, tomorrow-based industry. But at root, the business of advertising is one of allocating capital, not cooking up clever jingles. And the people who make the decisions about how to allocate that $300-odd billion in capital each year—CEOs of consumer products companies, Fortune 500 executive vice presidents, media buyers, brand managers, agency heads—well, they’re old. It takes time to climb the corporate ladders to get to the rungs where really important decisions are made. Of course, these people, most of whom came of age as consumers in the 1960s, 1970s, and 1980s, use the Internet, spend a lot of time on it, and buy stuff on it. But they don’t understand it intuitively the way the younger crowd does. Do you think the CEOs of Ford, Citigroup, or Procter & Gamble are uploading photos to their MySpace pages, downloading music, and blogging.

I find this a lot with advertisers and studio executives I talk to.

It’s like there’s this huge infrastructure. This infrastructure is composed of a physical infrastructure (like buildings and avids and a high end production pipeline) and mental-infrastructure, which is all the work people have invested into thinking a certain way to succeed. And this huge infrastructure is the size of a huge oil tanker. And you say to people, “Really. You need to turn the direction of the boat.”

But they can’t or they won’t. Because they’ve already invested so much in this huge thing and the direction it’s going.