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CEOs See Digital As Driver: According to Ernst & Young’s latest CEO study, “Opportunity and Optimism: How CEOs are Embracing Digital Growth,” released in Oct. 2012, global media and entertainment CEOs expect digital revenue will be a rapidly increasing percentage of overall revenue for companies.
The report finds that approximately half of all the CEOs surveyed believe digital will increase their overall revenues and margins by at least 10% within the next three years. Study highlights include:
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84% of CEOs feel that the role social media plays within their companies allows them to connect with customers, while 69% say social is a tool to build audiences.
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63% say social helps with brand building and 50% say it serves as a distribution platform or channel, and also as a source of revenue.
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When compared with mobile-based technologies, social media gets short shrift: 79% of CEOs say tablets will have the greatest impact, while 62% say smartphones will also be influential. Social media comes in at the bottom of the list.
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All of the CEOs polled believe mobile devices (including tablets) are the key to spurring demand for content. CEOs are especially bullish about emerging markets, where growing mobile device availability coupled with an improving wireless broadband infrastructure are creating significant opportunities for media companies to grow.
Source: Ernst & Young
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