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  • Patreon: A New Service and Pricing Strategy for Subscription-based Crowdfunding

    Launched in May 2013, Patreon was the leading subscription-based platform in the online crowdfunding market. For over five years, the company operated successfully and expanded its large base of artists and content providers (known as “creators” on Patreon) and their fans and contributors (known as “patrons” on the platform). Patreon charged its content creators a standard 5 per cent fee, plus transaction costs, offering the artists over 90 per cent of the crowdfunded amounts. However, the founder and chief executive officer of Patreon realized that the company could not survive by maintaining the current uniform pricing and services structure. Patreon had to develop a set of more advanced tools to attract new content creators to the platform and enhance the experience of the contributing patrons. Patreon had to revise its pricing strategy to pay for the development of new services, grow its customer base, and improve the company’s profitability.
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  • Patreon: A New Service and Pricing Strategy for Subscription-based Crowdfunding - Presentation

    Presentation to accompany product W31031.
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  • BTS: Success and Risk with Fans and Influencers on Social Media

    Korean pop music (K-pop), once limited to an Asian market, broke its cultural boundaries and became global in 2012 when Psy’s song-and-dance video “Gangnam Style” went viral around the world. The subsequent global success of the Korean idol boy band BTS confirmed that K-pop had a place in an international music market. With international performances and major US awards since its debut in 2013, BTS was carefully analyzed by those who wanted to identify the reasons for its success. Factors such as the band’s active use of social media and quality transgenerational content were commonly identified, but media reports pointed mainly to the influence of the band’s fan group, or ARMY, and its social media influencers, known as hommas, as reasons for BTS’s success. Big Hit Entertainment (Big Hit), BTS’s talent agency, needed to sustain the band’s unprecedented success. What should Big Hit consider in developing a sustainable competitive advantage in a global music market increasingly taking advantage of new media?
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