Television industry agreement on major television industry trends

A few weeks ago, in Monte Carlo, leading television companies agreed on some of the main trends that are changing the face of the industry.

• Television companies understand that their advertising business is recovering faster than expected.
• Mobile and social media and their association are the main topics - players recognize that social media has acquired critical importance (for most of them even more important than Google) as a source of traffic for their sites.
• Media companies also take into account the fact that many users are more attached to their devices than to their content (for them it is more important to have an iPhone from Apple than access to ESPN content)
• A related concern is the use of mobile content in the form of applications (rather than web pages), and many players have not yet developed a clear strategy regarding applications. Their efforts so far are aimed at web presence.

• Universal TV companies / networks (as opposed to specialized ones) thus recognize that they need to pay more attention to brand formation, in particular with a multi-platform approach, and they need to keep in touch with a younger audience: HBO, MTV, ESPN models, rather than NBC or bbc1
• Now the focus is on innovative program formats and new types of content, since they are the key competencies for players who develop new formats on TV and connect them with new positions in entertainment and social media.
• Business models are focused on different types of advertising: advertising + paid services (subscription, usage fee); advertising plus deals (e-commerce, affiliate marketing, leading generation).
• They also feel that TV defines most of the cross-platform capabilities, and it has an advantage over other media in shaping growth in the digital sector.

Globally, TV advertising is recovering faster than expected, although a structural shift in online services continues

Thus, the Advertising + business model is losing its significance.

This trend is also partially related to non-linear TV, which will allow TV companies to achieve a much higher CPM.

The Internet and TV are becoming a “mantra” for advertisers (and, most importantly, agencies)

The consumption of video and TV on the Internet is a key factor in the growth of the industry, although in the coming years this channel will not threaten the existing broadcast model

Social media, being a mass phenomenon, will affect the use of TV

In general, the possibilities of the audience are expanding due to the appearance of conscious choice options

Currently, digital TV is perceived by the markets as the “Third TV Revolution,” which has the same impact on user behavior and the business ecosystem as the previous ones.

At the same time, the emergence of new devices is faster than ever, taking consumer choice to a new level.

This trend is used by the creators of new formats, which becomes an obvious threat to traditional companies.

Accessibility (devices, media platforms, demographics) has become a mandatory requirement - the largest media brands are moving away from specific content platforms

Disney Hannah Montana Demonstrates the Potential Use of Brand Licenses on Different Platforms

Innovations in the formats of recent years underline the trend towards the unification of TV and the Internet, including in terms of audience / use

Therefore, TV companies around the world consider investment in new platforms and innovative products the main tool for revenue growth.

This also includes advertising innovations, as it’s becoming increasingly important for television revenue to move away from the ATL format.

Thus, TV goes through the same recession and digital recovery cycle as all media in any market.

For example, the global music market or the print market in developed countries such as Germany

In Russia, there is still an opportunity to “take a breath”, however, trends indicate the need to develop new opportunities

Summary

Source of the article itself: Vyacheslav Murugov's blog, information published with his knowledge and consent. Link to post: link , flash presentation viewer.