Why User-Generated Content is Good for All of Us
I concluded my previous blog post regarding piracy with the statement that the long-term damage dealt to the entertainment industry “is simply too high a price to pay for free content.” I stand by that assessment. It is essentially impossible for an entertainment provider to sell their product when that same exact product is being copied and distributed for free by pirates online.
But what about free content that isn’t the same, such as the myriad videos available on YouTube? That is a different case altogether. User-generated content does not steal from content providers to unfairly undermine them; instead, it competes with them in a manner that spurs innovation and increases the amount of content available to consumers.
YouTube is probably the easiest example, so I will stick with that. YouTube is a breeding ground for viral videos, and there are virtually no barriers to entry, so anybody can be a star if they have the right idea and a bit of luck. It is no longer necessary to break into the entertainment industry in a more traditional sense; each and every one of us can easily become a content provider if we so choose. That grants those of us who wish to remain consumers with a wealth of new options for viewing or listening to.
And where the availability of free content via piracy unfairly hurts the more established content providers, user-generated content acts as a legitimate form of competition, and even a source of revenue. Daniel Tosh has made an entire career out of adding off-color commentary to user-generated videos, and Internet celebrities can often become part of the more traditional entertainment industry, such as Lucas Cruikshank and his “Fred” character, who became the subject of a feature film that premiered on Nickelodeon in 2010 (http://www.comingsoon.net/news/movienews.php?id=64509).
In addition to being a source for new intellectual properties and ideas, user-generated content can also be used by established content providers to promote their for-pay products. Certainly, Facebook is a gold mine for the most important user-generated content: word of mouth. The right online promotion on Facebook (such as the common technique of revealing a teaser for a game, album, or movie upon reaching a certain number of “likes”) can get people talking about a specific release, spreading awareness.
Alternatively, companies can just make user-generated content a part of the product itself, such as Sony and its LittleBigPlanet franchise for its PlayStation products, which allows users to create their own levels for the game and share them with friends. Embracing user-generated content encourages users to continue to stay engaged with a product while simultaneously acting as marketing agents for the product.
This is a “free” that helps instead of hurting. User-generated content offers more options for consumers without being menacing enough to destroy established business models. In a sense, it is the best of both worlds, and one of the best developments that the Internet has offered in its history. I suspect that it will continue to increase in relevancy in the future, and I wholly embrace the impact that it will have on the entertainment industry.