The Next Phase of Social? Listen Closely

The Next Phase of Social? Listen Closely

The rise of audio apps has been undeniable, captivating the attention of podcast and music enthusiasts alike. The appeal lies in the ease and convenience that audio formats offer. Unlike traditional media, audio startups face a less crowded and competitive landscape. Listening to someone's voice creates a personal connection, and unedited audio content delves deeper into ideas rather than relying on visuals. It's a medium that can be intellectually stimulating and emotionally engaging.

Over the years, podcasts have gained mainstream popularity, with over half of the US population tuning in to approximately a million shows. The emotional impact that audio can evoke, whether it's the exhilaration of a concert, the laughter of a baby, or the roar of a stadium crowd, is inherently social. While audio apps initially revolved around podcasting and audiobooks, we are now witnessing the emergence of a new era in social audio experiences.

Clubhouse is a prime example of this evolution. It offers a unique blend of a conference call, a podcast, and a live talk show. The content may be ephemeral, similar to a phone call, but it takes place on a horizontal and public platform, akin to live podcasting. By mixing and matching different attributes, countless configurations can be explored to create innovative and cohesive products.

I believe three key themes will shape the future of social audio: innovation in content format, the evolution of the business model, and the growing ubiquity of audio. Future products may embrace long-form content with a twist, such as high-quality educational material or short stories from renowned authors. This shift in content format has also highlighted a fundamental truth: creators often under-monetize their audiences in an ad-driven world. Fans are willing to pay more for premium content, paving the way for native social audio monetization and unlocking the potential of the next generation of social companies.

Just as history has shown us, these innovations will give rise to new product categories and consumer demands. The need for speed, voice capabilities, and portability drove the development of the telephone, steam-powered printing press, and typewriters. The same cycle of innovation is repeating itself in the modern era. The next decade will likely witness the same level of productivity and value in audio as we've seen in messaging, video, and other media formats.

ERRC Grid: A Way of Starting

In the realm of business strategy, the concept of Blue Ocean refers to an untapped market space in an unknown industry or innovation. It involves providing unique value propositions to customers while maintaining profitability by eliminating conventional features that have no impact on the customer base. The ERRC Grid, on the other hand, highlights the importance of non-conformity in performance.

The relationship between non-conformity and performance can be described as curvilinear or inverse U-shaped. Moderate non-conformity has a significant impact on a company's performance. The ERRC Grid supports mild divergence, suggesting that deviating slightly from conventions can greatly enhance a company's success.

Whether it's a company or a product, embracing non-conformity can lead to improved performance. By challenging traditional norms and thinking outside the box, businesses can differentiate themselves from competitors and offer unique value to customers. The ERRC Grid serves as a starting point for companies looking to break free from the constraints of conformity and explore new avenues for growth and success.

In conclusion, the future of social audio holds immense potential for innovation and growth. The unique nature of audio content and its inherent social appeal present opportunities for new products and business models. As the audio landscape continues to evolve, three actionable pieces of advice can guide companies and creators:

1. Embrace innovation in content format: Explore new ways to deliver audio content, whether it's through long-form educational material or curated storytelling experiences. Think outside the traditional podcasting and audiobook formats to create unique and engaging content that resonates with audiences.

2. Evolve the business model: Move beyond sponsored promotions and monetize social audio platforms in a native and organic way. Tap into the willingness of fans to pay for premium content and create revenue streams that support creators and foster the growth of social audio.

3. Emphasize ubiquity of audio: Recognize the growing ubiquity of audio in our daily lives. Incorporate audio into various aspects of communication and media consumption to meet the changing preferences and habits of consumers. From messaging platforms to video content, find ways to integrate audio seamlessly and enhance the overall user experience.

By listening closely to the trends and opportunities in social audio, we can navigate the next phase of this transformative medium and unlock its full potential. The convergence of audio and social platforms offers a new frontier for creators, businesses, and audiences alike.