SM 3.0 주요 전략 소개

Summary

SM Entertainment's SM 3.0 strategy aims to revolutionize the K-pop industry with a multi-faceted approach. This includes establishing multi-production centers, expanding global revenue, and enhancing monetization through licensing and fan platforms. SM plans a significant investment of 1 trillion won, targeting a 36% increase in IP revenue, and aims for 1.8 trillion won in total revenue by 2025. By diversifying its business model, SM intends to solidify its position as the industry leader in three years, positioning itself for continued success in the global market.

Takeaways

• 😀 SM 3.0 introduces an IP strategy with a multi-production center and multi-label system, breaking away from SM 1.0 and 2.0's single production system.
• 😀 The new multi-production system will include five production centers, one virtual IP production center, and global production centers to expand capabilities.
• 😀 SM's strategy aims to create a wide range of artist content to delight fans and enhance business achievements for the company and shareholders.
• 😀 The monetization strategy focuses on expanding secondary IPs, especially characters and universes, and increasing global licensing and distribution.
• 😀 By 2025, SM aims to achieve an average 36% annual revenue increase in MD and IP licensing, targeting 300 billion won in revenue.
• 😀 SM plans to integrate separate services into a fan platform, providing fan communities, content, commerce, and online concerts in one place.
• 😀 The global business expansion strategy sets a target of 260 billion won in global revenue by 2025 through seven domestic and three overseas production centers.
• 😀 SM will invest a total of 1 trillion won in various sectors, including publishing, label expansion, fan platform development, global service expansion, and metaverse content.
• 😀 The company aims for 1.8 trillion won in revenue and 500 billion won in operating profit by 2025, with a target stock price of 360,000 won.
• 😀 With SM 3.0, SM Entertainment aims to establish itself as the top leader in the K-pop industry by 2025.

Q & A

What is SM 3.0's approach to production compared to SM 1.0 and 2.0?

SM 3.0 introduces a new multi-production center system, breaking away from the single production system used in SM 1.0 and 2.0. This new system distributes production capabilities across multiple centers, including both domestic and global centers.

How will the multi-production centers benefit SM Entertainment?

The multi-production centers will allow SM to create a wide range of artist content for their fans, enhancing competitive IP and maximizing business achievements for both the company and its shareholders.

How many production centers will SM Entertainment have under the new system?

Under SM 3.0, the company will operate five production centers, including one virtual IP production center and multiple global production centers.

What is SM Entertainment's plan for IP monetization in SM 3.0?

SM plans to expand secondary IPs focusing on characters and universes, and broaden global IP coverage through licensing partners and distribution platforms. The goal is to increase revenue in merchandise (MD) and IP licensing by an average of 36% annually, reaching 300 billion won by 2025.

What is the purpose of integrating SM's separate services into a fan platform?

The integration aims to provide a unified space for fan communities, content, commerce, and online concerts, enhancing the overall fan experience and creating a centralized hub for all SM Entertainment-related activities.

What is SM Entertainment's goal for global business expansion by 2025?

SM aims to achieve 260 billion won in global revenue by 2025 through the operation of seven domestic multi-production centers and three overseas production centers.

How much is SM Entertainment planning to invest in its business under SM 3.0?

SM plans to invest a total of 1 trillion won in its business, with allocations including 350 billion won in publishing, 300 billion won in label expansion, 200 billion won in fan platform development, 50 billion won in global service area expansion, and 100 billion won in strengthening metaverse content capabilities.

What are the expected business outcomes for SM Entertainment by 2025 under SM 3.0?

SM Entertainment aims to achieve 1.8 trillion won in revenue and 500 billion won in operating profit, including subsidiaries, by 2025. The company also targets a stock price of 360,000 won.

What role does the metaverse play in SM 3.0?

The metaverse is a key area of investment for SM 3.0, with 100 billion won allocated to strengthening its content capabilities, indicating the importance of virtual environments and experiences in SM's future strategy.

What is the significance of SM Entertainment's goal to become the top in the K-pop industry by 2025?

The goal underscores SM Entertainment's ambition to solidify its leadership in the K-pop industry through SM 3.0 by expanding its production capabilities, IP, and global reach, ultimately establishing a dominant position in the market by 2025.