The Ghost of Fiction Past...and Future?

After reading about Fifty Shades of Grey, I wonder whether a device from fiction's past, the Serial, could also be it's future?

During the Victorian era, periodical publications discovered a successful business model based on serialising novels and delivering them in small chunks to their readers. The model worked due to changes in society and technology. Sound familiar?

I'm obviously not the only person thinking about this. As a business model the pattern of serial e-book, to e-book, to souvenir hard cover, to t-shirts and lunch boxes, makes a lot of sense in the current market place. But what really appeals to me is the democratisation of  publishing. The same phenomenon has already occurred in other areas, such as music, with great impact.

Rather than a small number of "experts" guessing what we might like, and then investing millions of dollars in turning their guesses into predictions (Twighlight...I"m looking at you), readers vote by investing their time in a story on an ongoing basis. They have a direct relationship with the artist, and through feedback, probably a direct impact on the story itself.

As a result we should have more fiction published, with work more specifically targeted at a particular fan base, less money wasted on advertising, and more money in the hands of the author. Who loses? Oh that's right, all the middle men.

It's not a good century to be a middle man.