SWOT Analysis: ABC/Reuters
The Australian Broadcasting Corporation has enjoyed some success in the Second Life virtual world. In 2007, they were receiving 1980 visits per week to their site (Winterford, 2007). The company has built this success by offering a wide range of content on their “island.” The ABC island contains a mix of entertainment and information. The entertainment component is particularly strong for two reasons. One is that it contains uniquely Australian content, which is a relatively unique feature and a drawing point. The other reason is that ABC places emphasis on the same types of attention-grabbing entertainment that one would expect in any other medium. Indeed, ABC’s island is in essence a virtual rendering of a newspaper or television channel. This plays to the inherent nature of the virtual world — it is entertainment for the consumer. ABC draws traffic because it provides a variety of entertainment to its visitors. Thus, a key strength in the product offering itself.
Another strength is that the company drives traffic to the site. They have ABC Friends, which allows users to receive updates on new events and announcements with respect to the ABC island. This technique is common for other types of business in the real world, but not for media businesses. The ever-changing nature of their websites and channels is inherent — there is little need to alert consumers to updates. However, within the virtual world this is more of a necessity, in part because the company’s brand does not have as much equity in that world, but also in part because the virtual world has a relatively small population at present.
There are weaknesses to ABC’s virtual world strategy, however. One is that the company is subject to security and vandalism. In May of 2007, the ABC island was all but destroyed by a hacker attack. Without adequate security, the island was bombed by the vandals. Undoubtedly the resulting publicity only helped to drive more traffic to the ABC island, but it also highlighted the weakness ABC has with respect to security in the virtual world.
The other main weakness of ABC’s presence in the virtual world is that it is not profitable. The virtual world, at this point of development, is largely a marketing tool. This explains ABC’s emphasis on content, but at some point the company is going to need to justify the expense and effort with real revenues.
There are a handful of opportunities as well. The Corporation can use the island to drive more traffic to its other media properties. Because the virtual world does not have a platform for direct sales, it serves as another marketing arm. ABC should therefore leverage the traffic that it gains in the virtual world to drive traffic back to the real world properties. In essence, the virtual world island and the real world website can develop a two-way traffic flow.
There are threats, however. The first is the threat of vandalism. Clearly, the hacker attacks on the ABC island in 2007 exposed the company to the negative side of the virtual world. An ever bigger threat is the slow uptake of the virtual world. In any other form of media, 2000 hits per week would be considered terrible traffic. Such performance s accepted because the virtual world is a new media form that has yet to reach critical mass. However, there are questions as to whether investments in the virtual world will pay off, given that traffic at Second Life has somewhat stagnated. For much of 2008, traffic stagnated. However, traffic growth began to accelerate again towards the end of 2008 (Wagner, 2009). The stalled growth, however, calls into question the long-term viability of the virtual world as a media form, representing the most significant threat to ABC’s presence in Second Life.
ABC’s eBusiness model is similar to the one it has established in real life. There is an element of the infomediary model in that ABC provides information and content. There are two drawback to this approach, however. One is that there exists no means to follow through on sales, so the approach generates traffic and attention but does not directly convert it into purchase. The second drawback is that because the virtual world is occupied by avatars, it is impossible for ABC to tell where these avatars come from in real life — they have no sense of the audience they are reaching, only its size (Winterford, 2007). The virtual world model — is a variant of the community business model. For Linden Lab, this model works directly. The benefit for ABC is not to derive revenue from the community, but to become a part of the community and develop the two-way traffic flow. It remains to be seen how viable this tactic is as an eBusiness strategy as it is an emerging concept. It is essentially a form of public broadcasting, but it relies on the two-way traffic flow to bring customers out of the virtual world into one were ABC can gained revenue directly.
At the beginning of March, 2009, global media outlet Reuters closed its Second Life bureau (Reuters, 2009). The company had utilized only a couple of writers at the bureau, and reported primarily on happenings within the virtual world. The departure was explained as a reaction to the stagnant user growth of the first ae of 2008 (Krangel, 2008).
There were few strengths with respect to Reuters virtual world presence. One was that the company maintained strong brand continuity. The Reuters reflected in Second Life was an accurate representation of Reuters in the real world.
In terms of weaknesses, there were several. One was that the Reuters presence in the virtual world was not tied to any overall corporate objective. They reported on events in the virtual world but by segregating their virtual and real world operations they failed to drive traffic between the two. This relates to the second weakness, in that Reuters did not have a discernable purpose in the virtual world. They performed their same base function, but this did not have any virtual or real world revenue generating potential. Moreover, Reuters has a weak real world presence — they have a respected brand but one since they have few proprietary media properties they are less able to engage in real/virtual world cross-promotion in the way the ABC does.
There were opportunities inherent with the Reuters involvement in the virtual world. They could have used their presence to raise their profile among consumers, and to communicate their brand proposition. Reuters could have used the virtual world to reflect real world event, which ultimately are of more relevance to virtual world members than the events in the virtual world. Another opportunity was to build a strong virtual world presence. If Reuters could have established its brand in Second Life, and if Second Life experienced strong user growth, Reuters could effectively have a strong virtual market share, one that could have translate in part over to the real world.
In terms of threats, there were many. Aside from the overall structural threats that also apply to ABC, there was intense threat of competition. There are few barriers to entry in the virtual world, so competitors from all over the world to set up. Given the relatively low traffic in Second Life, this puts the Reuters presence in front of very few eyeballs, dramatically reducing the potential benefits of presence.
One of the reasons that Reuters left the virtual world was that there is no viable eBusiness model in that world. As ABC has learned, the most viable eBusiness model is to drive traffic back to the real world. Reuters’ original entry into the virtual world, however, was to experiment with the concept and discern the possibilities. They were reporting on virtual world events primarily. This was not a revenue generating activity and had no hope of becoming one. Reuters’ separation between the virtual world and the real world precluded any viable eBusiness model, as no model has been successfully adapted to a virtual world with its own virtual currency.
Winterford, Brett. (2007). Virtual Worlds a Risky Bet for Business? ZDNet Australia. Retrieved April 16, 2009 from http://www.zdnet.com.au/insight/security/soa/Virtual-worlds-a-risky-bet-for-big-business-/0,139023764,339281415,00.htm
ABC Island in Second Life. (2009). Australian Broadcasting Corporation. Retrieved April 16, 2009 from http://www.abc.net.au/services/secondlife/
Wagner, James Au. (2009). Exclusive: Second Life Starts to Grow Again. Gigaom. Retrieved April 16, 2009 from http://gigaom.com/2009/04/15/exclusive-internal-second-life-data-shows-returning-growth/
Reuters Second Life page. (2009). Retrieved April 16, 2009 from http://secondlife.reuters.com/
Krangel, Eric. (2008). Why Reuters Left Second Life, and how Linden Lab can Fix it. Silicon Alley Insider. Retrieved April 16, 2009 from http://www.businessinsider.com/2008/11/why-reuters-left-second-life-and-how-linden-lab-can-fix-it
Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?
Whichever your reason is, it is valid! You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.
Students barely have time to read. We got you! Have your literature essay or book review written without having the hassle of reading the book. You can get your literature paper custom-written for you by our literature specialists.
Do you struggle with finance? No need to torture yourself if finance is not your cup of tea. You can order your finance paper from our academic writing service and get 100% original work from competent finance experts.
While psychology may be an interesting subject, you may lack sufficient time to handle your assignments. Don’t despair; by using our academic writing service, you can be assured of perfect grades. Moreover, your grades will be consistent.
Engineering is quite a demanding subject. Students face a lot of pressure and barely have enough time to do what they love to do. Our academic writing service got you covered! Our engineering specialists follow the paper instructions and ensure timely delivery of the paper.
In the nursing course, you may have difficulties with literature reviews, annotated bibliographies, critical essays, and other assignments. Our nursing assignment writers will offer you professional nursing paper help at low prices.
Truth be told, sociology papers can be quite exhausting. Our academic writing service relieves you of fatigue, pressure, and stress. You can relax and have peace of mind as our academic writers handle your sociology assignment.
We take pride in having some of the best business writers in the industry. Our business writers have a lot of experience in the field. They are reliable, and you can be assured of a high-grade paper. They are able to handle business papers of any subject, length, deadline, and difficulty!
We boast of having some of the most experienced statistics experts in the industry. Our statistics experts have diverse skills, expertise, and knowledge to handle any kind of assignment. They have access to all kinds of software to get your assignment done.
Writing a law essay may prove to be an insurmountable obstacle, especially when you need to know the peculiarities of the legislative framework. Take advantage of our top-notch law specialists and get superb grades and 100% satisfaction.
We have highlighted some of the most popular subjects we handle above. Those are just a tip of the iceberg. We deal in all academic disciplines since our writers are as diverse. They have been drawn from across all disciplines, and orders are assigned to those writers believed to be the best in the field. In a nutshell, there is no task we cannot handle; all you need to do is place your order with us. As long as your instructions are clear, just trust we shall deliver irrespective of the discipline.
Our essay writers are graduates with bachelor's, masters, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an essay writer with our essay writing service is to have a college degree. All our academic writers have a minimum of two years of academic writing. We have a stringent recruitment process to ensure that we get only the most competent essay writers in the industry. We also ensure that the writers are handsomely compensated for their value. The majority of our writers are native English speakers. As such, the fluency of language and grammar is impeccable.
There is a very low likelihood that you won’t like the paper.
Not at all. All papers are written from scratch. There is no way your tutor or instructor will realize that you did not write the paper yourself. In fact, we recommend using our assignment help services for consistent results.
We check all papers for plagiarism before we submit them. We use powerful plagiarism checking software such as SafeAssign, LopesWrite, and Turnitin. We also upload the plagiarism report so that you can review it. We understand that plagiarism is academic suicide. We would not take the risk of submitting plagiarized work and jeopardize your academic journey. Furthermore, we do not sell or use prewritten papers, and each paper is written from scratch.
You determine when you get the paper by setting the deadline when placing the order. All papers are delivered within the deadline. We are well aware that we operate in a time-sensitive industry. As such, we have laid out strategies to ensure that the client receives the paper on time and they never miss the deadline. We understand that papers that are submitted late have some points deducted. We do not want you to miss any points due to late submission. We work on beating deadlines by huge margins in order to ensure that you have ample time to review the paper before you submit it.
We have a privacy and confidentiality policy that guides our work. We NEVER share any customer information with third parties. Noone will ever know that you used our assignment help services. It’s only between you and us. We are bound by our policies to protect the customer’s identity and information. All your information, such as your names, phone number, email, order information, and so on, are protected. We have robust security systems that ensure that your data is protected. Hacking our systems is close to impossible, and it has never happened.
You fill all the paper instructions in the order form. Make sure you include all the helpful materials so that our academic writers can deliver the perfect paper. It will also help to eliminate unnecessary revisions.
Proceed to pay for the paper so that it can be assigned to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.
You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer. Receive a paper.
The paper is sent to your email and uploaded to your personal account. You also get a plagiarism report attached to your paper.
PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY!!!
We provide professional writing services to help you score straight A’s by submitting custom written assignments that mirror your guidelines.
Get result-oriented writing and never worry about grades anymore. We follow the highest quality standards to make sure that you get perfect assignments.
Our writers have experience in dealing with papers of every educational level. You can surely rely on the expertise of our qualified professionals.
Your deadline is our threshold for success and we take it very seriously. We make sure you receive your papers before your predefined time.
Someone from our customer support team is always here to respond to your questions. So, hit us up if you have got any ambiguity or concern.
Sit back and relax while we help you out with writing your papers. We have an ultimate policy for keeping your personal and order-related details a secret.
We assure you that your document will be thoroughly checked for plagiarism and grammatical errors as we use highly authentic and licit sources.
Still reluctant about placing an order? Our 100% Moneyback Guarantee backs you up on rare occasions where you aren’t satisfied with the writing.
You don’t have to wait for an update for hours; you can track the progress of your order any time you want. We share the status after each step.
Although you can leverage our expertise for any writing task, we have a knack for creating flawless papers for the following document types.
Although you can leverage our expertise for any writing task, we have a knack for creating flawless papers for the following document types.
From brainstorming your paper's outline to perfecting its grammar, we perform every step carefully to make your paper worthy of A grade.
Hire your preferred writer anytime. Simply specify if you want your preferred expert to write your paper and we’ll make that happen.
Get an elaborate and authentic grammar check report with your work to have the grammar goodness sealed in your document.
You can purchase this feature if you want our writers to sum up your paper in the form of a concise and well-articulated summary.
You don’t have to worry about plagiarism anymore. Get a plagiarism report to certify the uniqueness of your work.
Join us for the best experience while seeking writing assistance in your college life. A good grade is all you need to boost up your academic excellence and we are all about it.
We create perfect papers according to the guidelines.
We seamlessly edit out errors from your papers.
We thoroughly read your final draft to identify errors.
Work with ultimate peace of mind because we ensure that your academic work is our responsibility and your grades are a top concern for us!
Dedication. Quality. Commitment. Punctuality
Here is what we have achieved so far. These numbers are evidence that we go the extra mile to make your college journey successful.
We have the most intuitive and minimalistic process so that you can easily place an order. Just follow a few steps to unlock success.
We understand your guidelines first before delivering any writing service. You can discuss your writing needs and we will have them evaluated by our dedicated team.
We write your papers in a standardized way. We complete your work in such a way that it turns out to be a perfect description of your guidelines.
We promise you excellent grades and academic excellence that you always longed for. Our writers stay in touch with you via email.