Review The Weather Company: Creating Consumer Apps that Leverage Big Data

After finishing a presentation on The Weather Company: Creating Consumer Apps that Leverage Big from HBS case study, I want to briefly talk through the case.

The Company

TWC represented the most well-known name in the weather business. The Weather Channel’s 2013 audience totaled more than 100 million viewers and the network generated $350 million in annual income. It’s popular weather website, weather.com, boasted 8 million daily visitors and was the go-to website in 2013 for obtaining weather information. In fact, the website commanded an impressive 51 percent of the market share, followed by AccuWeather with just 14 percent

TWC has three divisions: TV, digital & professional services: “Digital and specialized business information products are two of the biggest drivers of growth for TWC.

It’s weather data came not only from the National Weather Service but also from data TWC gathered on its own and from data supplied by 100,000 private individuals with their own weather stations.

Business Model

TWC employed an advertising-based revenue model. Consumer ads were displayed alongside TWC’s weather data, regardless of where the data was served up— on TV, its website, or its mobile app.

A second revenue stream for TWC was the weather data and the expert analysis it marketed to corporate clients: TWC provides Professional Services to help its corporate clients profit from its weather forecasts by enabling them to anticipate the impact of weather on their bottom line.

Consumer Apps Ideation Process

They kept “Establish more binding relationships with existing ones and increase ad revenue” in mind, and reacted to the mobile mind shift. The company held Hackathon and got the idea of cyclist app that later on pivoted to a running app.

My take away

B2B is a very sustainable business for TWC since TWC is more of a company that has an absolute advantage in weather data field. However, it is still a new market and not yet saturated for them to have their B2C business. No matter what they do, either collaborating with other Apps or doing their own or stick with their B2B business, TWC has to research their customer cause customers for their B2B and probably the same for B2C because they need to know the customers of  B2B company they work with. Furthermore, since this generation is a digital generation, entering Apps market or social media market would be a good idea for TWC to survive in future and grow in future.

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