In an effort to provide the industry with insights into emerging trends and new business models, the Local Media Innovation Index has been established. The Local Media Association has assembled a panel of 85 senior-level executives that are charged with growing digital revenue and/or audience at their local media company, who will take part in this effort.
The panel represents a diverse mix of large and medium-size local media companies including many of the top 25 in North America.
First topic: smart home technology and voice assistants
About 50 of the Index’s 85 members participated. The survey took place between May 15-19 and the primary goal was to understand how local media companies are approaching this space.
Here are four numbers that stood out:
Nearly half of all local media companies have no strategy in place when it comes to voice assistants such as Alexa. Here are the details:
• 47% of respondents reported no strategy
• 32% were in the process of developing one
• 21% had a strategy in place
Is there a sustainable business model here? The results in the survey leave us wondering.
• 28% think there is a sustainable business model on the horizon when it comes to voice assistants.
• 11% say no way.
• The majority (62%) are just not sure.
Branding and audience growth opportunities are important even if a sustainable business model has not been established. Here’s what respondents said about this topic:
• 83% believe that the branding and audience growth opportunities are a good enough reason to be investing, even if voice assistants prove difficult to monetize.
Most don’t believe there’s a chance Google can outpace Amazon in this space.
• 21% think Google will overtake Amazon in the voice assistant space
• The vast majority do not believe that Amazon will be overtaken by Google in this space.
• 21% do think this will happen in the next 3-4 years. Note: Google currently has an 18% market share.
We are in the early days when it comes to media companies and voice assistants. There are a lot of issues to be worked out with Amazon and Google as these devices become mainstream. At LMA, we are excited to be working with Amazon and Google at this early stage.
To submit ideas for questions/ topics – simply email Nancy Lane at email@example.com. And if you are charged with growing digital revenue and/or audience at your company and haven’t signed up to be part of our panel, please do so at https://www.surveygizmo.com/s3/4348398/Innovation-Index-Registration.
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