Media Industry Must Reinvent Its Monetisation Model, Says Uday Shankar

Business leader Uday Shankar has urged the media sector to rethink its revenue strategies, pointing out that while media organisations have driven major advances in content creation and distribution, they remain tied to traditional monetisation models. Speaking to entrepreneurs at the Fortune India 40 Under 40 event, Shankar outlined the need for fresh approaches to revenue generation, shared lessons drawn from his background in journalism, and addressed risk-taking in business leadership.

What Happened

Addressing an audience of entrepreneurs, Uday Shankar noted that the media landscape has introduced significant innovations across content, creativity, branding, and distribution channels. However, he stated that the sector has lagged behind in updating its business models. According to Shankar, primary revenue sources such as advertising and subscriptions have seen little structural change, even as broader industry dynamics transformed.

With businesses across varied industries now vying for advertising spends, Shankar explained that media organisations need alternative avenues to unlock the value of their large and loyal audiences. Highlighting his focus at JioStar, he noted that the organisation is actively building new monetisation engines, particularly in areas connecting content and commerce.

Key Highlights

• Legacy Revenue Models: Shankar observed that media companies remain legacy-bound in monetisation despite achieving widespread innovation in creative output, distribution, and branding.
• Rising Ad Competition: Increasing competition from other sectors for advertising budgets requires media platforms to identify modern ways to engage and monetise their user base.
• JioStar’s Strategy: At JioStar, where Shankar played a key role in shaping the combination, strategic efforts are centered on launching new revenue models, including content and commerce integration.
• Journalistic Mindset in Business: Shankar attributed his analytical approach to his journalism career, explaining that asking the right questions and consulting relevant experts provides answers to complex corporate problems.
• Societal Alignment: Drawing from his travels across rural India, Shankar emphasised that long-term corporate success requires businesses to generate real value for society rather than advancing at its expense.
• Managing Fear and Risk: Acknowledging that fear of failure is natural, Shankar stressed that calculated risks and sustained persistence are necessary to create conditions for success.

Why This Matters

The observations come at a critical juncture for the broader media ecosystem, where traditional advertising revenues face fragmentation from competing industries. As leaders like Shankar point out, relying solely on standard subscriptions and ad placements may no longer suffice for media firms aiming to sustainably support their scale. By pushing for models that unite content with commercial initiatives, media enterprises are exploring how to derive greater economic value directly from their existing audiences.

What to Watch Next

Following Shankar’s remarks, industry observers can monitor how platforms such as JioStar build and roll out these emerging monetisation engines, particularly around commerce and content integrations, and whether other media entities begin shifting away from legacy subscription and ad-dependent frameworks.

Frequently Asked Questions

What critique did Uday Shankar make about the media industry?

Shankar stated that while media companies have successfully innovated in creativity, branding, and distribution, they have remained legacy-bound when it comes to inventing and adopting new monetisation models.

What alternative revenue avenues did Shankar mention for JioStar?

Shankar noted that JioStar is focusing on establishing new monetisation engines, specifically citing opportunities that link content with commerce.

How does Shankar view risk and the fear of failure in business?

Shankar stated that the fear of failure is ever-present and normal, but it should not deter leaders from taking calculated risks. He highlighted that obsessing over potential issues must be balanced with relentless persistence once a course of action is decided.

Source: Fortune India