Navigating the Risky Terrain of Media Innovation: Insights from Industry Leaders

In a captivating panel discussion at Variety's Entertainment & Technology Summit, industry-leading executives delved into the delicate balance of risk and reward in today's turbulent media landscape. Moderated by Variety's Todd Spangler, the "Power Couple: Entrepreneurship + Entertainment" panel brought together a diverse group of experts to share their perspectives on driving innovation while mitigating potential pitfalls.

Embracing the Bleeding Edge of Risk

Pioneering the Future of Media

The panelists unanimously agreed that to achieve true innovation, one must be willing to take on significant risks. Donald Mustard, partner at AGBO, the indie studio founded by Anthony and Joe Russo, eloquently captured this sentiment, stating, "If you really ever want to do something innovative and groundbreaking, you gotta be taking massive risks all the time." Mustard emphasized that operating at the forefront of possibility often means navigating uncharted territory, where the potential for failure is ever-present.Justina Omokhua, SVP at Parkwood Entertainment, Beyoncé's media, management, and production company, echoed this sentiment, highlighting the importance of asking critical questions before embarking on ambitious new projects. "Is the thing that I'm trying to do new, is it novel, is it innovative? And sometimes it's all three, and other times it's just one. And so you have to ask the questions of yourself and be willing to take the risk," Omokhua explained.

Adapting to Shifting Market Demands

Omokhua further emphasized the need to closely monitor consumer trends and market demands, stating that her team closely tracks customer inputs on a "monthly" or even "weekly" basis. This data-driven approach allows them to stay agile and responsive to the ever-evolving preferences of their target audience. "What is their likelihood to purchase given the current state of affairs? Is this something that somebody's going to be inclined to do? Buy whiskey, use a hair product, go to a concert, listen to this specific type of music," Omokhua said, highlighting the multifaceted nature of understanding consumer behavior.

Maintaining Discipline and Resilience

While embracing risk is essential, the panelists also stressed the importance of maintaining discipline and resilience in the face of setbacks. Asad Qizilbash, SVP of product and head of PlayStation Productions, cautioned against falling into the "good days-bad days" mindset when evaluating new initiatives. "You're gonna make mistakes. There's gonna be things that don't work out… But you've gotta have the discipline to know that things are gonna go wrong in the short term," Qizilbash said, emphasizing the need to take a longer-term view and be willing to make tough decisions when necessary.

Accessing Capital and Funding

The panel also touched on the financial aspects of launching innovative projects, with Judy Tu, SVP and senior relationship manager in City National Bank's entertainment division, noting that the cost of capital is becoming more accessible. Tu expressed her enthusiasm for the entrepreneurial spirit exhibited by the panelists, stating, "It's music to my ears, in that you have all of these companies who are being incredibly thoughtful about how they approach risk."

Embracing the Future of Technology

As the discussion drew to a close, Mustard shared his excitement for the creative possibilities opened by the future of smartphone and artificial intelligence technology. While acknowledging the sensitivity surrounding AI in the media space, Mustard emphasized the importance of media executives being prepared for the inevitable changes that will come with technological advancements. "The trend of yesterday is the trend of yesterday. Our opportunity is to create the next trend," Mustard said, underscoring the need for industry leaders to adopt a forward-thinking mindset and actively shape the future of their respective fields.