The Impact of Social Media Features on Print Media Firms’ Online Business Models

Institutional limits to service dominant logic and servitisation in innovation efforts in newspapers

“…Both servitisation and SDL have conceptualised and suggested, from different perspectives, how customer value is created and can be captured by closer and more complex relationships with the customer. In fact, many newspapers are currently involved in a process of servitising their value proposition (Viljakainen & Toivonen, 2014), although this has yet to result in a viable new business model for the industry (Anon, 2015;Wikström & Ellonen, 2012).…”

“…Prior to the Internet, it was possible for media organisations to have a relatively low level of innovation or entrepreneurial activity (Wikström & Ellonen, 2012). This is since the product offered was largely a print newspaper in the hands of the reader, thus access to multiple sources was limited.…”

“…Strategies linked to social media have been identified where studies have reported on the adding of social media aspects to web-based services of Scandinavian newspapers and magazines and how this has affected their business models (Wikström & Ellonen, 2012). Social media impacts involve the communication between customers and media organisations in applications such as Twitter and Facebook, which allows for immediacy and direct contact.…”

“…Social media impacts involve the communication between customers and media organisations in applications such as Twitter and Facebook, which allows for immediacy and direct contact. The effect of this was to "transform their online value propositions" while having little effect on the revenue of the media organisations (Wikström & Ellonen, 2012). The strategies were largely product related except for client-related services (e.g.…”

Business model innovation in news media organisations – 2018 special issue of the European Media Management Association (emma)

“…Céstino and Matthews (2016) build further on path dependency to explain the persistence of the newspaper business model and stress that "path un-locking" entails innovation in an organisation's value creation logic. Wikström and Ellonen (2012) investigate the repercussions of technological change on the various "building blocks" of newspapers' business models and claim that news media organisations have failed to restructure their business models and to develop new capabilities needed to adapt to deal with social media platforms. In her book Innovators in Digital News, Küng (2015, p.ix) examines the success of key players in digital news including New York Times and Vice and explores the "extremely coherent elements" of their winning business models.…”