Home

Erasing the Value of Ownership




In my previous post on Cover Flow, I wondered:

“The problem of losing your own “long tail” of media files really interests me. It seems to me to be connected to the greater culture of social media / viral marketing / user ratings, where things “float to the top” based on popularity. “Floating” promotes quick discovery and direct access. 

“[…] what happens to the 80% or 90% or even 99% of products/files that don’t appear in the Most Popular lists? Do they get discovered? Even within your own little digital galaxy of computer, iPod, cell phone, etc., you can create your own Most Popular lists (“Recently Viewed”, “Most Frequently Listened To”, “Recent Calls”) that both speed your access to favorite data and impair your reach to the other stuff. Your favorite old songs, books, or art may slide down through the ranking system over time, effectively erasing the value of ownership.

Yesterday, I came across a related idea in Nudge (a book I highly recommend):

“Consider some evidence involving music downloads. Matthew Salganik and his coauthors (2006) created an artificial music market, with 14,341 participants who were visitors to a Web site popular with young people. The participants were given a list of previously unknown songs from unknown bands. They were asked to listen to a brief selection of any songs that interested them, to decide which songs (if any) to download, and to assign a rating to the songs they chose. About half of the participants were asked to make their decisions independently, based on the names of the bands and the songs and their own judgment about the quality of the music. The other half could see how many times each song had been downloaded by other participants. […]

“Were people nudged by what other people did? There is not the slightest doubt. […] individuals were far more likely to download songs that had been previously downloaded in significant numbers, and far less likely to download songs that had not been as popular. Most strikingly, the success of songs was quite unpredictable, and the songs that did well or poorly in the control group, where people did not see other people’s judgments, could perform very differently in the “social influence worlds.” In those worlds, most songs could become popular or unpopular, with much depending on the choices of the first downloaders. The identical song could be a hit or a failure simply because other people, at the start, were seen to choose to have downloaded it or not.

This has to make you wonder if the music business is changing even more drastically than we’d assumed. Everyone knows that music is sold online now. There are fewer CDs and more Music Store downloads; fewer full albums, and more singles. Let’s not even touch the issue of music piracy.

Long Tail

But is there a skew in the number of singles being sold? In other words, are more copies of fewer songs making it big? This would seem to be the logical result of buying music online, in the context of “social influence worlds” of iTunes & Co. What’s startling is that this result implies a far more drastic curve than the oft-predicted Long Tail. The Long Tail assumes that there is a statistically meaningful market “under the tail”, and that the internet makes it both possible and economically practical to find and distribute accordingly.

If, however, the internet’s effect on media (of any type) is to drive the peak higher and flatten the Long Tail yet further, will there be adequate incentive to populate that Tail with marketable media — with niche books, niche music, niche applications? What will this mean for those who create content; recording artists, writers, programmers? Will it become just too hard to be discovered?

Leave a Reply