Five Points–Social Media Demand

1-The ‘goods’ we consume were once mostly tangible items, but are now frequently bits we find online. For instance, instead of purchasing a comedy DVD, many young people would rather surf the web for free youTube videos while they download the film. Virtual, internet goods we save on our hard-drive are becoming substitutes for durable goods which we used to keep on our home shelves.

2-People are using the internet to not just consume goods, but also to produce. One example is blogs. Instead of passively consuming news from professionals, frequently amateurs now join the discussion and take great pleasure in having their voice heard. New, burgeoning technology like the web empowers consumers to become creative producers.

3-Consumers have a strong affinity for collecting and organizing their goods and data to reflect their personality and taste. Devices such as the iPod, which have been wildly successful, have placed the creative power in the hands of the consumer.

4-Social Networking services such as Facebook are altering the nature of social relationships. We now have a channel of direct self-expression which our friends, relatives, and acquaintances can access and respond to instantaneously.

5-The author says, ‘When access is easy, we tend to favor the short, the sweet and the bitty.’ A collection of music tracks from different artists has replaced the full album, because it is now easier to put together a list of our favorites. As things become more accessible, people optimize their favorite goods with a greater degree of specificity.

Thanks to Tyler Cowen.