Booz & Company1
The Regionalization of Media:
The digital platform offers truepan-Arab coverage, providingopportunities for regionalexpansion. Local players shouldquickly build regional online assetsand invest in the necessary contentand marketing to capture theirshare of the regional audience.2.
The Changing Demographicsof Connected Users:
“Youthusers” and “female socialites”are emerging as the champions of new media and will account forthe lion’s share of the regionalaudience. Successful players willbuild products and services thataddress these segments’ quest forubiquitous and interactive content.3.
The Shift to Advertising-drivenRevenue Models:
Mobile platformswill remain dominant for newmedia content, but will increasinglyadopt advertising-based revenuemodels. New media players will
need to achieve uency in common
and emerging advertising schemes.4.
The Importance of StrategicPartnerships:
The new media valuechain requires a wide range of competencies that fall within thedomains of different CMT sectors.Companies will need to secure dura-ble partnerships with best-in-classplayers that have relevant capabili-ties to complement their own.
Communications, media, and technology (CMT) players in theMiddle East and North Africa (MENA) region have experi-enced double-digit growth in recent years. However, they havethus far been slow to capitalize on the accelerating shift to newmedia. Although the business case for new media has yet tomaterialize for most companies in the region, the market sceneis changing rapidly: Technologies are converging; traditional lines of demarcation between telecom operators, media com- panies, Internet players, and handset manufacturers are blur-ring; and there is a vacuum in terms of the customized, readilyaccessible, digital content that consumers want. To succeed in this radically different landscape, players must understand four key dynamics and devise strategies to capitalize on them: