Friday, November 30, 2007

The Superstar Premium

An interesting article appeared today on the BBC website about the Superstar Premium. It basically says that the superstars are getting richer because of nu-media allowing them to be a global phenomenon. Instantly.

The Superstar Premium idea also applies to products such as music and video games.

For example video games fall into two categories, triple-A games and the rest. The AAA games go on to sell millions worldwide, whilst the rest - although costing virtually the same amount to make - can sell just a few thousand.

Even though the Premiership footballers and the triple-A games aren't thousands of times better than the rest, they earn tens or hundreds of times more. Why? Because they are better.

And when you are excellent, being just a couple of percent better - to make you the best - makes you so much more valuable. After all, who wants to finish second? And if you can sell your brand of "the best" product to a worldwide audience you're going to make a considerable amount of money.

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