Wildcard Wednesday . . .

VOICE ENABLEMENT THE STAR OF AMAZON PRIME DAY:  While Amazon doesn’t formally release its Amazon Prime Day sales results, industry forecasts are pointing to another record breaking day.  All in yesterday’s sales revenue is expected to finish around $2.1-2.2B (that’s “B” for billion in just one day), with $1.6-1.7B coming from the US.  Trying to measure YoY growth is a little difficult since Amazon Prime Day is now 30 hours longs (started Monday night), and is in 30 countries this year compared to 10 last year.  According to the attached AdWeek article the star of this year’s APD is definitely Amazon’s Echo device.  Early estimates are that Amazon sold 3x the number of Echoes worldwide as they did on APD in 2016.  This comports with the overall surge the industry is seeing in voice-enabled device purchases, as connected home IoT technology goes mainstream.  Nice to see Voice taking such a leading role in the eCommerce-sphere!

DUOPOLY DOMINATION OR MUTUALLY DEPENDENT LOOP?:  The first thing that becomes clear upon reading the attached article from The Wrap is the utter domination that the Google/Facebook duopoly has over the print industry.  Not only does G/FB haul in more ad revenue than the entire global print industry (think about that for a minute), the print publishers are now beholden to the pair for distribution.  In other words, print publications no longer have enough readers to stay in business, so they’re forced to push their content through G/FB, which ends up making their masters even more powerful.  But behind that headline there’s another more subtle dynamic to the relationship.  In a weird way G/FB needs the print publishers for a steady stream of content almost as much as the publishers need them for distribution.  Because if the publishers cease to exist there won’t be enough content on G/FB to satisfy their audiences.  So this creates a paradox where G/FB wants to take as much print rev as possible, yet need the publications to stay in business.  So how will this play out?  There’s an interesting guess in the last paragraph of the article about G/FB buying blue chip publishers to ensure a steady stream of content.  Wouldn’t that be ironic?

SPOTIFY’S SMOKING GUN:  Over the last 24 hours the story of fake artists on Spotify has picked up traction.  According to the industry site Musically most of the top 50 pseudo-artists can be traced to small group of music producers in Sweden, which is Spotify’s home country.  The theory is that Spotify has commissioned these artist to create ambient style music to beef up the content of its “Chill” formats, which are usually just long form instrumental tracks. Technically speaking there’s nothing illegal about Spotify paying composers to create original music which is played on their platform.  But the optics of paying producers to create bulk music under several different artist names stinks.  It’s a credibility buster for the listener, because how can you be sure you’re discovering a legitimate new artist or just a song off a music production assembly line?  And it also hurts actual artist and labels who are losing royalties every time Spotify plays house maid “music”.

Have a great Wednesday guys!

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