Term papers writing service


Evaluate the contribution made by a range of method of generating income within b b

Online shops Portals This paper has been written assuming that most NOF projects will be working with a range of digitised content, which includes text, image, video and audio. However, as the most mature area in this sector for revenue generation is that for the digital image, we have focussed more in this area when giving examples. It is also important to appreciate the difference between sustainability and income generation. The former does not necessarily rely on the latter.

Finally, a few words on intellectual property rights and copyright. Before considering any of the income generating options, it is important that each institution understand the rights position regarding their collections.

The copyright consultant Sandy Norman has published a number of titles covering copyright across a range of libraries in conjunction with the Library Association. More information is available from the Library Association Web site [ 2 ]. Digital content can also be deposited with VADS, through both voluntary submissions and strategic alliances. This benefits content providers by providing a long-term archival home for the materials in which they have invested time, effort and money.

Providers also benefit from VADS promoting the digital collections and the organisations who created them. There is a licence agreement online [ 5 ] that may be useful, although it does not deal with the commercial sale of content. Target markets There are a number of ways in which income can be generated directly from digitised material. Before looking at the specific mechanisms, it is important to understand the target markets available.

Generally speaking, there are three main target markets: The public The culture and education sectors The public This is a notoriously difficult sector to generate revenue from, especially when using the Internet as a channel to market. It is estimated that as at August 2000, there were over 17. In the short to medium term, this is expected to continue growing at the rate of around 11,000 new users per day [ 6 ]. This rate of explosive growth has been greater than the take-up of almost any other technology platform, including radio, TV and telephone.

Usage started to accelerate in 1995, with the largest increases during 1999-2000.

It is not expected that the Internet will take anything like this long to mature, but the reality is that it is still a very young medium, particularly for selling. New business models are still developing and predicting successful models is not easy. Few could have predicted, for example, the success of online auction services, such ebay [ 7 ] and qxl [ 8 ]. The public are also very nervous of using online commerce, especially when using credit cards.

It should be remembered also that a large percentage of the population still currently do not have Internet access or the knowledge of how to use it and many do not have credit cards. The demographics of the Internet consumer-base are not that of a typical retail or mail order business opportunity.

This needs to be considered when reviewing potential business opportunities. However, the Government is committed to providing universal Internet access, and all UK public libraries will be offering public access to the Internet by 2002.

  1. There are data protection and data security issues to consider here of course, and it necessitates user-registration which may put some people off from using your service. Providers also benefit from VADS promoting the digital collections and the organisations who created them.
  2. Examples of portals in different sectors include.
  3. Digital content can also be deposited with VADS, through both voluntary submissions and strategic alliances.
  4. Digital content can also be deposited with VADS, through both voluntary submissions and strategic alliances.

Typical revenue levels generated from sales directly to the public are very much lower than those for commercial sales. To get a sufficient return on investment, selling in this area may require a high volume of sales per item of content. Some examples of cultural institutions that sell content online include: Content sales are not the sole source of income into this sector, as there will be opportunities to generate additional revenue from other sources, such as advertising, affiliate programs and sponsorship.

These are covered in more detail later in this paper. Finally, any business opportunities in this area will need to be supported by a marketing strategy and related resource and budget. What does this mean to organisations planning to sell their digital collections?

Currently, direct selling to the public using the Internet is risky and revenue levels are likely to be fairly low. Any revenue plan based primarily around public sales needs to be realistic; detailed cash-flow forecasts should be prepared showing likely sales and revenue figures. There may be value in providing a public-facing sales opportunity as part of a wider offering, as long as it is not the primary source of income.

Commercial organisations This sector presents the opportunity to generate the most revenue from the sale of digitised assets. However, it is not an easy route and is one that needs to be considered very carefully. Some organisations can certainly generate income from the sale of content in this sector.

A Shoe for a Shoe, And a Smile

To illustrate the potential for business to business content sales in this sector, one cultural organisation, having similar content to a library or museum, sells conventional non-digital copies of its photos and transparencies.

It does not market the images and relies on word of mouth. Although this is not a unique example it should be said that this particular organisation has excellent staff and some good collections that are in demand, however it proves a point that revenue can be generated from cultural content.

Few cultural institutions currently have operational business to business sites on the Web. Examples of institutions having their own internal commercial libraries include note that these are links to the main site and not to a specific commercial service: However, be very careful when trying to assess the value of your content, as many cultural institutions believe that they are sitting on a gold-mine and this is not always the case. It is all about the real value and saleability of content.

Marketing is an important consideration too as the institution highlighted in the illustration above has a reputation and contacts built up over a long period of time that many institutions will not have. ICT can provide benefits in automating many of the processes associated with meeting customer demand for commercial product. However, there are several major issues associated with commercial content sales: To exploit these commercial opportunities institutions need to become, in effect, a commercial content library.

This may not be feasible or desirable for many. However, there are several choices available that could overcome this: Work with other consortia to aggregate collections and share infrastructure. This collective approach could provide the infrastructure necessary to deliver a commercial service, whilst giving an acceptable balance between income generation and the effort required to run it. Approach existing commercial content services and explore opportunities to use their existing infrastructure and marketing to help sell collections.

This approach is covered in more detail later in this paper. Content sales are not the sole source of income into this sector, as there will be opportunities to generate additional revenue from other sources, such as advertising, affiliate programs and sponsorship which are covered in more detail later in this paper. Again, it is recommended that detailed and realistic revenue and cash-flow forecasts are created if this is a chosen option.

The culture and education sectors These sectors provide further opportunities to generate subscription or license revenue.

This sector has the demand as well as the infrastructure in most cases to use such a service. However, funds to date have been limited and it is unlikely that cultural institutions or education establishments would commit to funding multiple services. This is part of a long term strategy to encourage the continuing development of an educational software industry that will provide high quality resources.

Schools, LEAs and Regional Broadband Consortia may therefore provide both a market, and also a mutually beneficial source of partnerships.

The Regional Broadband Consortia are, in some cases, developing their own digital learning resources, and it may be possible to build long term partnerships which will include the hosting and delivery of digital learning resources [ 20 ]. Becta [ 50 ] have developed a Curriculum Software Initiative, giving information to support developers of educational software and digital learning resources.

Evaluate the contribution made by a range of method of generating income within b b

It is this sector that is likely to provide more two-way transactions between projects and third parties - cultural and educational organisations probably offer the greatest opportunities for projects and consortia to work collaboratively with them to form longer-term partnerships to develop and deliver Web services.

SCRAN is a searchable resource base of history and culture with photos, objects, artwork, movies and audio. The five-year contract they have negotiated with JISC pays for access from every further and higher education authority.

Two thousand schools also have access. So downloads of high quality content can be restricted to users in licensed institutions, such as public libraries, and they have the means to police licensed users to discourage unauthorised use of SCRAN content.

To market and sell to potential users effectively in this sector a collaborative approach is recommended. Approaches to schools, further and higher education establishments are best made centrally, through Local Education Authorities and the Regional Broadband Consortia, for example. Another issue is ensuring that potential users in the education sector are aware of the resources that are available and understand how they might use them to meet their own requirements - in a classroom situation - for example.

Projects may consider it worth while to address these issues. This may take the form of simple awareness training, but in some cases could extend to providing training resources, such as manuals or guidelines on how to use the service most effectively. Main types of income generation Essentially there are two main types of income generation for digitised assets on the Internet: Income directly derived from the digitised material Other income associated with the publication of digitised material Income directly derived from the digitised material This includes online sales, royalty payments, license fees and subscriptions from the sale or provision of access to the digitised assets.

Sale of content online This is where the rights to use content is sold online. Users should be given the opportunity to search, browse and download content. It is recommended that wherever possible, processes connected with the display, download and billing for content should be automated, to minimise impact upon the institutions concerned.

It is important that consideration is given to the management and control of licensing and rights and that appropriate steps are taken to prevent abuse of copyright. This could include a rights management database, encryption, file locking and watermarking. There are many providers in the market of digital library rights management systems and services.

For more information, it is suggested that the mda [ 21 ] could be a good starting point as they have a register of technology providers active in the culture sector.

  1. Examples of portals in different sectors include. Target markets There are a number of ways in which income can be generated directly from digitised material.
  2. However, there is a limit to the revenue levels that can be generated limited by the number of users multiplied by the subscription fee. However, there is likely to be a significant cost associated with this as, for example, a display, billing and shipping system will be required to manage transactions.
  3. Main types of income generation Essentially there are two main types of income generation for digitised assets on the Internet.

Also providers outside of this sector should be considered as digital library and rights management tools are very mature in sectors such as publishing and medicine. The Tate Gallery has also published its scale of charges on the Web [ 24 ].

Evaluate the contribution made by a range of method of generating income within b b

The advantage of this revenue generating approach is that if an institution has digital assets that are popular, the service can actively promote these to stimulate maximum possible revenue. Also, more complex processes and systems, especially billing, need to be put in place and the project may need to ensure that it makes a high volume of images available.

Subscription-based services This is where a subscription fee is charged, allowing access to a library of images. Some sites operate on a multi-tier subscription basis, where basic information is given for free and more detailed information is accessible for a one-off fee or for a regular subscription. The best approach depends on the type of content and site structure and projects must continue to ensure that NOF funded content is made available free to users at the point of access.

As an example of a subscription-type service, see the Fathom Web site [ 25 ], which provides lectures, interviews, online course and trails, for example, from their member institutions - which include The Natural History Museum, Cambridge University Press, the University of Chicago and the New York Public Library. The advantage of a subscription-based service approach is that the billing process and systems can be simplified, as only a regular subscription is required.

It also allows a more regular cash-flow. However, there is a limit to the revenue levels that can be generated limited by the number of users multiplied by the subscription fee. There is also a need for more behind the scenes sophistication with the underlying technology. Licensing content to third parties Another option for the generation of revenue from digital content is through the sale of licenses to third parties, such as commercial digital libraries or software companies producing, for example, educational software or games.