Are Single Revenue Media Companies Dead?

That subject line caught my eye the other day.  As someone who started with a programming shop turned SEO shop, the idea of a single revenue media company makes sense to me.  You focus on what you know and do it well.  Television stations sell ad spots, newspapers sell ads, and websites sell ad spaces, whether they do it CPM or CPC.

Should companies need to diversify?  In my mind, when I’m representing a company, I want to have plenty of places to put their ads.  However, the mega channel companies usually suck at all of them as opposed to the single channel companies.  Many companies go to the Mega companies because they lack a dedicated media buyer in house, and hate the idea of hiring an agency.  But this to me seems like a great area for agencies to add value, and what is a multi-channel company other than a agency + series of channel companies.

Somewhere, the company is grabbing the agency model, because they are paying their customer service people.  If they make less than agencies do, it’s because they do a worse job, just pushing you to channels that don’t do a good job.

The whipsaw of the market hurts the undiversified, but if you are really good at what you do, if you manage to handle the downswings, you should do better than if you are mediocre at everything.

Leave a Reply