Why to Invest in Digital Content

Why to Invest in Digital Content


Despite the worldwide economic crisis, the internet global growing trend is continuing to expand exponentially and at an alert pace with no signs of slowing down for the next few years. The trends noticed on the online content market are showing a strong global growth in the number of the Internet and digital media users, a growing number of the mobile (smartphones) Internet users, a strong growth in using broadband, a fast worldwide implementation of the desktop and mobile Web 2.0 standard and a strong growth in using social networking. This strong global growth of the internet creates great opportunities for companies active in fields such as technology and media.

Directly connected with the digital material growth are the gains in the online advertising industry. If only considering the US online advertising numbers, we notice a continuing growing trend, from 4% in 2002, to 10% in 2007 and 17% in 2012. Digital media companies and online news companies are catching the opportunity and they are developing fast. For example, an online news company such as such Business Insider generated $ 4.8 million in revenue in 2010, mostly from advertising. Also, according to Google Analytics, Business Insider has gained an impressive rise in traffic, generating around 8 million visitors in February 2011.

The e-commerce sector is another field showing strong growth trends. This includes all the online stores in general, but among them the fast growth is seen for the providers of digital products, such music or e-books. These digital items can be easily downloaded online and they do not involve managing an inventory or shipping costs.

Also known under the name of digital media, the digital content may take many forms, such as text, audio files, video files, animations, graphics (ie Corel Draw) and images. Usually the term digital content includes any information available for downloading or distribution on electronic media such as e-books, videos and movies, iTunes songs. Many professionals in the industry are considering that in general terms, digital content is anything that can be published.

The future of the digital content market looks bright. The era of the stand alone desktop PC is history already. The next generation applications are focusing more and more on the mobile internet segment of the market. The rising in popularity of Smartphones, Tablet PCs and e-Readers screens makes that the consumer of media products is having now a wide choice of selection to look for digital content, around the classic computer. To reach success in this field, the content creators have to design better ways to present content to the consumers, based on the audience target.

In this context, according to the investment strategists and the financial advisors, for people with capital to put in the financial markets investing in digital content is a smart choice at the moment. The most important investment opportunities in the digital content market are those connected with social networks' infrastructures, the special interest and ethnically oriented digital content, the interactive digital content and the digital content specialized on entertainment and socialization for the mobile Internet.


Source by Abdelrahman Abdalla

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