media controls marketing power

media controls marketing power


An entrepreneur class provided by Wharton business school is going on at

Professors were talking about their experiences and insights about entrepreneurship and hopeful to find the truth and key to success. One conclusion impressed me :  Two factors in technology companies control share the profit pie:

  1. bargaining power : who controls scarcity
  2. marketing power: who controls final buyers.

I did not know this until today but after a thoughtful reasoning, I realized that scarcity is hard to obtain, even though we got the success of Apple’s products. For normal companies, the other factor matters most and to move further with the thought, media controls marketing power.  No wonder why Google is a media company, Facebook and Linkedin is a social media company. Whatsapp and Wechat made their media story on smartphones.

As an born entrepreneur, my first entrepreneurship goes back to childhood when I gather a lots of child-mates to go outside and using a self-made capture device to catch cicada from the trees and katydid from farm field share the preys with them when returning home.  Since I made the capture device and catch 100% of preys, so I controlled the scarcity and have 100% power of allocation.

But later on when I founded other companies, and struggled for years, I found even though I got an great idea, a great product, a profitable market a great team, I still facing to problem of not sufficiently and efficient market channels.

Marketing to users pains a lot. You have to spend a lot to prepare media, ads, videos, and find channel, however, most of the time, users does not buy it.

I was ever tired of telling them the story and marketing them with our products. On the other hand, I was thinking, how can I get users come to find me on their own, voluntarily.

So here is the truth, and been used many times by some business.

One word: Addiction.

Three words:  Porn, Gambling, Drug.

Legal business: Sexy, Gamification, Alcohol and Smoke

If you want avoid marketing power and let your user walk to your product, think about elements that using above “technologies”. Humans are living animals, sometime can’t withstand their limitations.

So you can imagine the difficulties as follows.

Marketing a new product > Media industries publishing an article or product > Games.

That is why Average Mobile RPMs iOS Banners $0.20 – $2.00 iOS Interstitials $3.00 – $5.00 Android Banners $0.15 – $1.50 Android Interstitials $2.00 – $4.00. Most Interstitial ads appear in mobile games, no exception.

Music and movie attract people for payment, so is game and Game has movie and music too.

If you happens in mobile game industry, contact me. Let’s make next business opportunity.




智力资本的商业模式:猪八戒到阔鸡 – 创富志-关于商业模式的杂志

智力资本的商业模式:猪八戒到阔鸡 – 创富志-关于商业模式的杂志


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