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DigiCULT
.
Info
32
COST INFORMATION
- The average price of an analogue item
=
28.24 (from 48 responses)
- The average price of a digital item
=
25.99 (from 42 responses)
- The average price differential
=
10.51% (from 40 direct comparisons
possible digital is cheaper than
analogue)
- Digital is ~10% cheaper than the
comparable analogue item, based on the
price offered the consumer.The ranging
of the prices for digital and analogue
are shown in the figure.
I
t is worth noting that fifteen of the
forty responses show a 0% difference in
price. Therefore, in 37.5% of comparable
cases, the consumer was offered a choice
of delivery medium without having to
consider the economic ramifications of
that choice.
F
igure 2 shows the range of price
differentials between analogue and
digital. In 82.5% of cases digital is either
the same price or cheaper for the
consumer than the analogue equivalent.
CONCLUSIONS AND IMPLICATIONS
The Business Case
M
any institutions felt that they were
being pushed into massive changes
without the systems to support them
being properly considered.Very few insti-
tutions seemed to have a full appreciation
of overall institutional strategies for the
move to digital, with less than 30% of the
institutions appearing to have carried out
detailed planning or implemented the sig-
nificant organisational change required for
Figure 1: Range of digital and analog prices
Figure 2:The range of price differential between analog and digital