Blog PostsNow that digital has won, creative dominion will be the next frontier

Now that digital has won, creative dominion will be the next frontier

“We won. Now what?”

The statement was uttered by Velocity Partner’s Doug Kessler to a Content Marketing Institute writer, Robert Rose. Kessler’s poignant question encapsulates the state of online marketing at this point in time. Sure, we’re dealing with the techlash, a hyper-realistic media logic, and social media immaturity, but social media didn’t kill culture and even the most archaic of businesses are focusing on their digital transformation.

The big question for online marketing is quickly becoming — now what?

The diminishing returns of optimisation

Investing in online marketing optimisation isn’t as straightforward as one might think. I put together this model to highlight the challenge of balancing the right level of marketing optimisation.

The diminishing returns of optimisation.
The diminishing returns of optimisation.

Every brand must invest in optimisation to reach critical mass and get past phase A as quickly as possible. In phase B, the brand is earning more money with every investment made in further optimisation — it’s a land grab. Once the brand gets past peak optimisation, the gains starts to diminish in phase C. This is due to an increased level of difficulty in making easy gains on behalf of the competition. Phase C is a delicate balance between over-investing in online optimisation and getting outperformed by other online marketers. Past the cape of inversion, where the logic is reversed, any optimisation gains will only increase the total loss.

In summary: There’s no competitive advantage in pushing online optimisation past the cape of inversion.

Why we can’t all be media companies

“Content is king.” Well, it’s not that straightforward.

Is creating better and better media content for online channels sustainable in infinitum? I’m a big fan of content marketing, but from an economical perspective, the value of highly useful content has a downward-sloping demand curve that are typical for anything en route to becoming commoditized.

The downward sloping curve.
The downward sloping curve.

Useful content is already so far out right in the long-tail, that P=01. In a scenario where optimisation is the same, one way to compete is therefore to offer relatively better content than the competition at the perceived value of free. The other way is to explore ways to reduce the available quantity — a strategy that isn’t synonymous with focusing on creating more and better content.

Still, these are battle royal strategies; the only way to win in a mature content-based market is to outlast the competition as the space for success is thinning out.

Why we can’t all be open infrastructures

What if instead of competing with another mail-to-order business, you become the actual post office? In this day and age, the analogy isn’t so absurd. Facebook is a digital media company, but not by producing any sort of media, but by being the world’s premier media distributor. Instead of beating the market, you become the market. Because if the house always wins, the best strategy is to be that house.

But there are, of course, trade-offs. The winner in a platform economy typically “takes all”.

Why there can't be too many ecosystem platforms.
Why there can’t be too many ecosystem platforms.

Simply put: There’s not room for everyone to transition into becoming dominant online platforms.

Why creative dominion is the next frontier

I’ve thought long and hard about “what’s next?” for online marketing. Some companies have fine-tuned digital strategies and process already; what should they be doing to make a push for the next frontier? As shown above, the answer seems to be quite elusive.

I find myself returning to one basic conclusion — creativity as the difference-maker.

In his article Creativity is the New Productivity, Scott Belsky argues that information technology and artificial intelligence is commoditizing itself and thus freeing up mental capacity. As productivity becomes a commodity, value will increasingly have to be derived from human creativity.

creative dominion | PR Industry | Doctor Spin
Creativity is the new productivity.

It seems plausible that machine learning, automation, neural networks, quantum supremacy, and artificial intelligence will compete with human abilities as well, but the fact remains that creativity, according to the principle of scarcity, can’t ever be commoditized.

When everything is perfectly optimised, creative dominion becomes the next competitve edge.

Photo by Timothy Eberly on Unsplash.


  1. There’s a possibility that P<0 which means that content creators at times must pay for getting their content exposed. This has implications for the world of advertising as well, as commercial messages must compete with useful content.


Avatar of Jerry Silfwer
Jerry Silfwer
Jerry Silfwer, aka Doctor Spin, is an awarded senior adviser specialising in public relations and digital strategy. Currently CEO at KIX Communication Index and Spin Factory. Before that, he worked at Kaufmann, Whispr Group, Springtime PR, and Spotlight PR. Based in Stockholm, Sweden.

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