We used to grab a newspaper to find the personals. Then small online start-up Craigslist improved the business model and the user experience. As did news websites. Now newspapers are struggling to stay alive.
We used to run to Barnes & Nobles or Borders to buy our book. Then small online start-up Amazon improved the business model and the user experience. Now Borders might be going out of business.
We used to go to the big telecommunication companies for our phone calls. Then small online start-up Skype improved the business model and the user experience. Now TelCos are struggling to stay alive.
We used to open up the Yellow Pages to find our information. Then small online start-ups Google/Yahoo improved the search business model and the user experience. I haven’t seen a Yellow Pages in years.
We used to depend on the big cable companies and Blockbuster for our TV/Film entertainment. Now Apple TV, Netflix, Hulu and Boxee are improving the business model and the user experience. Goodbye cable companies.
We used to rely on Major Record Companies and magazines for to discover our favorite new music….
It’s not hard to discover a pattern here. Time after time the market leaders in an industry fail to innovate, and worst yet they fail to grow with the customer’s needs once others innovate. It took close to a decade for Major Labels to embrace digital downloads, and even then they did so reluctantly. Why wasn’t the US Postal service an early adopter and cheerleader for e-mail and internet service? They could’ve facilitated a situation where their strong brand for delivering messages was transferred and we’d all started our first emails at yourname@uspost.com instead of yourname@aol.com. But they didn’t.
There is no way to save the old model, or the old kings. The new generation of music industry professionals and artists is itching to take over, and they will. How could the giants in the music business just disappear and be overtaken by small start-ups? “I’ve seen it before, and I’ll see it again. Just little bits of history repeating.”