There are few startups or young companies that doesn’t have a blog these days. We all know the benefits of producing content in one shape or another, but exactly how to do it the right way?

There are several ways to establish yourself as a quality content provider, and some things you need to avoid when interacting with people through content.

Build Credibility and expertise

Content marketing is more about showing of your knowledge, to help people, than to sell something.

A common mistake companies often do, is to produce their content like a very good-looking ad for their product. Wrong.

A blog article will usually never lead to a sale or a direct purchase, it’s about building credibility as an expert in your field. So when your potential customers is ready to make a purchase he or she knows what brand to trust with his wallet.

How content marketing doesn’t work.

This means that you can’t fake being an expert if you really want to get something out of your content. This blog you’re reading right now is not existing for you to buy or invest anything in itnig.

We want to be a real resource for the startup community, so that our startups benefits from the reputation itnig has as a good provider of useful knowledge.

If you’re company full of experts or people with a lot of experience you should take advantage of their knowledge, and present it through your content.

If you’re a startup, with a young team without experience, you can bring in external people from your network, experts or others for an interview, but present it through your brand, so both you and your external expert benefit from it.

Stay Relevant

Staying in touch with trends is getting harder, as trends are changing every day.

One of the ways of staying in touch with what’s relevant for your audience is creating a balance of current and evergreen content.

To only cover current trends is great when it’s hyped, but it’s a big risk to take if it fades away in a month or two. In other words, many hours of hard work can be wasted. To stay relevant you also need to present evergreen content; videos & posts that explain timeless topics which have been discussed, and will be discussed for the next ten years:

All of these articles are evergreen, and will bring people to the itnig blog for the next years. With a balance between this kind of content, and current events in the industry you’re in, you’ll be sure to create a brand that shines of relevance.

Avoid content shock

We are reaching a point in content marketing where publishing 500 word articles for SEO isn’t really working anymore.


As everyone is creating content we need to know our customers or users much better. Do the research, and instead of creating tons of short posts, create longer content with higher value. Also because Google now favors that kind of content. The average word count of a Google first page result is 1,890 words. Also Medium favor longer content, as a 7 minute read will rank better in their algorithms.

If you’re building or running a company I guess you spend a good amount of time getting to know your customers. Use this information to shape your content.

It’s however worth mentioning that if you’re doing video content, the rule of length does not apply as much as with written or audio content. If it’s not a super interesting keynote, try to keep it shorter, around 1–2 minutes, especially in social media.

Across platforms

There’s tons of places on the internet where you can promote your content.

Medium, Twitter, Facebook, Youtube, Snapchat, LinkedIn, the list goes on..

The key is again to know your customer and your content. All platforms has their target audience and one or more types of content that performs well. Medium is obviously good for text, especially longer form. Facebook and Youtube is great for video. Twitter is great for spreading the word fast.

The different social media channels all serve their particular purpose, and you can’t stick to only one. When itnig writes a medium article we always try to include:

  • Videos
  • Photos
  • Social media content

It should be a goal to do this in all posts, but it’s hard and resource demanding. It’s however these posts that people read and share the most.

Now, go build your own content factory!

…………………………..

This post was written by @sindre hopland, media manager at itnig, and based on Scott Mackin’s talk at itnig this fall.

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T.

The reasons why Disney will dominate the media industry

The perception that Disney is only a producer of children’s content is long gone. The company has managed to multiply by 10 its market capitalization in 10 years and I believe it will do it again in the next 10 years based on 3 factors: content, the entry in new businesses and spillover effects on current businesses.

CONTENT

Disney has been making movies for almost a hundred years. They have been movies for all the family but targeted to kids, which are the ultimate decision-makers when going to the movies. This is an example of the classical content they were producing up until the last 10 years.

Found in Pinterest https://www.pinterest.es/pin/129548926755761740/

Despite having a powerful content library, Disney has amassed the most impressive collection of content in the world via acquisitions:

  • 21st Century Fox: 71B
  • Lucasfilm (2012): 4B
  • Marvel (2009): 4B
  • Pixar (2006): 7B
  • Hulu (2009): ??. They acquired 30% and an additional 30% with the acquisition of Fox

With the recent acquisition of Fox, there are only big four other movie studios left in the market: SonyWarner BrosUniversal, and Paramount.

Just to give perspective. This is the list of the top 3 grossing movies for the last 3 years. Spoiler, they are all from Disney:

  • 2017: Star Wars The Last Jedi (rubbish if you ask me), Guardians of the Galaxy 2 (not great) and Beauty and the Beast.
  • 2018: Black Panther, Avengers: Infinity War and Incredibles 2.
  • 2019: Avengers: Endgame, Captain Marvel and Aladdin (Still not counting with Toy Story 4, Spiderman, The Lion King, Frozen 2 and Star Wars: The rise of Skywalker)

Having content as an asset in the movie industry is relevant because of the fact that over 90% of every year’s Top Box Office Hits are not original. Notice that the 9 hits mentioned above are not original content, including Captain Marvel which is a character well known despite debuting in theaters. Moviegoers are risk-averse and showing characters the public is familiar with is synonymous of success in a market where the production of a movie can cost hundreds of millions of dollars.

Another essential part of the content are the actors. They give credibility to a movie and top talent can’t wait to appear on a superhero movie. Just look at the roster of Avengers Endgame with cameos from the likes of Robert Redford, Rene Russo, Michelle Pfeiffer, Michael Douglas, Natalie Portman, William Hurt, Samuel L Jackson or Ken Jeong, the Asian character on The Hangover. All of this without accounting for the main characters. Where else can you see this?

Source: https://www.editorchoice.com/avengers-endgame-cast/

NEW BUSINESS

One of the acquisitions mentioned is Hulu, a streaming platform in the US which also allows watching live content. I believe this is the future. Cable TV operators are doomed. The number of subscriber to Cable TV in the US has declined over the past years.

Source https://www.statista.com/statistics/536356/cable-shopping-networks-revenue-usa/

It’s clear the consumers are opting in to streaming on-demand platforms such as Netflix, HBO, Hulu, and Amazon Prime. That’s why Disney is launching Disney +.

This is a global trend. People across the world may not own a TV, but they have smartphones and internet connection. Netflix has launched a 3$ monthly cell-only subscription in India. Check this relentless growth of subscribers by Netflix.

Take a look at the last Shareholders report by Netflix, a public company that is burning billions every year -3,5B$ in 2019- and is expected to invest 15B$ in 2019 alone in new content. In my humble opinion, Netflix has by far the best streaming platform and the content is remarkably good, just look at the masterpiece Stranger Things season 3.

Source: https://s22.q4cdn.com/959853165/files/doc_financials/quarterly_reports/2019/q2/Q2-19-Shareholder-Letter-FINAL.pdf

Netflix will be the main competitor of Disney, who will claw back its content from other platforms over the next years, reducing the earnings of licensing rights, but attracting customers to their platform. I believe there will be a time where platforms won’t share much content, but eventually, this will rise opportunities for multiplatform viewing apps and some years from now, platforms will reshare content once they settled a loyal customer base. Users will be subscribed to multiple platforms and they would still like to watch what’s best in every one of them. It’s not a winner take it all market.

My final bet is that there’s another big piece of content that is currently slipping away from streaming platforms, live sports. This is the last resort of traditional TV and cable TV operators who have been able to tell customers when and where to watch TV. This is no more, TV is dead.

SPILLOVER EFFECTS

Let’s get some perspective here. Disney is a corporation that currently (2019) has annual revenues of around 70B$ and a net income of around 13B$ (15–20%). Where do they make money from? This is a comparison YoY between the fiscal years ended on September 30th. of 2018 vs 2017. All areas grow except for merchandising. Figures in B$.

Source: company reports

MEDIA

The main source of income is Media Network, which comes from ESPN, Disney Channel, ABC… Here’s the evolution of this revenue stream fro the last decade.

Source: https://www.statista.com/statistics/193211/revenue-of-walt-disneys-media-network-business-since-2008/

With the acquisition of Fox, this chart is going to experience a huge vertical shift.

PARKS AND RESORTS

Parks and resorts are the second biggest revenue stream of the Mickey Mouse company.

Walt Disney World Resort (Flick: Atiq Nazri)

This is a chart with the number (in millions) of yearly by visitors by each park. Around 150 million people go to a venue managed by Disney somewhere on the planet. This can only be achieved by a great hospitality experience and the best content:

Source: https://www.statista.com/statistics/194247/worldwide-attendance-at-theme-and-amusement-parks-since-2010/

STUDIO

This is the revenue that comes from the distribution of movies and music.

The chart below displays the Box Office market share evolution. Disney has managed to multiply by 2,5 in ten years, and now with the inclusion of Fox, the market share could get just shy of 50%, which is ridiculous. This is a major spillover effect from the massive content acquisition.

Source: https://www.cnbc.com/2019/06/14/disney-on-pace-to-earn-9-billion-at-the-global-box-office-in-2019.html

DIRECT TO CONSUMER

This is where the new platform Disney + will come into play. Disney + is a SVOD (Subscription Video on Demand) as far as we know. Other alternatives are AVOD (Advertising Video on Demand) where the users access for free but get adds (Youtube) and TVOD (Transactional Video on Demand) which is what Google is doing among others.

One of the first screenshots Disney shared for Disney +

So far they have had Hulu in this category, but with the introduction of Disney +, this will become of the main revenue streams for Disney. Eventually, the main one if you ask me. My guess is that in one year, Disney + can produce revenues of about 20B$ and grow from there. This is what Netflix is doing right now.

The advantage of Disney + is that they already have the content and they would only need to produce specific content for the platform such as The Mandalorian or the Marvel spinoff series with Black Widow and more. That would imply big operating profits since most content has already been amortized. The downside, however, will be the loss of the licensing revenue they get from streaming onto other platforms included in the Studio section. I’m betting this will be a money-printing machine.

CONCLUSION

Disney is a company that has endured through decades and over the last years has taken on a path of content acquisition and generation that pays off very well. This is why I am “hodling” on its stock.

Disney’s stock price evolution over the years