The Future of Video Content Convergence: Consumer Engagement Opportunities in Multi-Platform Video and Over-the-Top TV

NEW YORK, Nov. 8, 2010 /PRNewswire/ -- Reportlinker.com announces that a new market research report is available in its catalogue:

The Future of Video Content Convergence: Consumer engagement opportunities in multi-platform video and over-the-top TV

http://www.reportlinker.com/p0289109/The-Future-of-Video-Content-Convergence-Consumer-engagement-opportunities-in-multi-platform-video-and-over-the-top-TV.html

The convergence of broadcast, broadband and mobile technologies is creating a dynamic content everywhere consumer market context, forcing major transformation and potential restructuring in the consumer electronics, technology, telecoms and media industries, and especially for content creators, owners and publishers. It is the consumer that is driving these changes, forcing the seamless convergence of video content, and this is the essential background to this report. This report lays out the business case for the strategic adoption of video-centric direct consumer engagement, across multiple devices and multi-platforms, with a special focus on Internet connected TVs and other connected CE devices. These devices will create the opportunity for content publishers and brands to develop future over-the-top TV engagement and monetization strategies using a converged content planning discipline. The search for a winning consumer proposition is reflected in the convergence of a number of businesses onto the same ground, creating strong competition as well as potential for consumer confusion in the short term.

This report presents a situation analysis from a video consumption perspective as the basis for making a business case for content owners to move into direct, multi-channel engagement planning with their users. This will include chapters on the back-end platform issues surrounding multi-channel delivery of video, the new over-the-top TV landscape and the issue of monetization of video in this new content everywhere context. Finally, a chapter looking at Brand Generated Content and related over-the-top brand engagement opportunities arising from a converged video consumption model.

Key Features of this report

• Overview of consumer consumption of video content across PC, mobile and TV
• Identification of the key challenges facing traditional broadcasters and content providers in delivering seamless multi-channel VOD services
• Actionable insight on content monetization in the evolving converged video consumer market
• Examination of the alternative distribution opportunities & routes to market for content providers in 'over-the-top' TV apps /content portals
• Spotlight on over-the-top brand engagement & the rise of strategic branded video content and their impact on ad agency models

Key findings of this report

Users are not interested in device convergence; it is content convergence that counts. They are not aware of or interested in how their content is delivered and are increasingly looking for a unified experience that is location independent.

We are now entering the Internet era of TV whereby users can expect an increasingly on demand and personal viewing experience and multichannel video consumption across multiple devices will have a profound effect on future content publishing and monetization.

Over-the-top TV effectively allows content owners to by-pass existing TV platforms and take their programming directly to the TV screen from the Internet, in effect becoming a media owner themselves.

Use this report to:

• Gain a thorough understanding of future direction of the consumer-driven, converged 'Video Everywhere' landscape
• Understand the emerging commercial models / opportunities for the monetization of content in a multi-platform delivery future
• Compare how different consumer platform owners, video aggregators and CE manufacturers are positioning and developing their OTT offerings
• Gain an understanding on how to organize content for multi-channel leverage
• Understand branded content /direct brand engagement strategies

Questions answered by this report

• What are the significant trends influencing the development of the converged 'Video Everywhere' consumer market?
• How is this shaping the commercial future for content providers and TV broadcasters?
• How can this content be monetized in a user driven content consumption environment?
• What are the current and emerging commercial models/opportunities for the monetization of video content?
• How are different content aggregators and CE manufacturers developing their consumer offerings?
• What are the alternative distribution routes for content providers to cost-effectively distribute 'over-the-top' content services?
• What is the best way to organize content management in order to achieve optimal benefit in quality, cost and syndication power?
• What is the future impact of BGC (brand generated content) on the existing 'old media' brand communications/advertising model?

Table of Contents

The Future of Video Content Convergence

Executive summary 12

Situation analysis and market context 12

Multichannel video content delivery 13

Over-the-Top TV 14

Video monetization 15

Brand generated content 16

Chapter 1 Introduction 20

Background 20

Scope of this report 21

Who is this report for? 23

Key definitions 24

Over–the –top TV / Internet TV / Web-to-TV 24

VOD – video on demand 24

DTO – download to own 24

10-foot viewing experience 24

BGC – Brand Generated Content 24

Multichannel content 25

Chapter 2 Situation analysis and market context 28

Summary 28

Introduction 29

The content user, viewer, consumer 30

Towards a more interactive user experience 30

Converging content – a user-driven "triple play" 31

Fixed and mobile broadband Internet – the tipping point for video 32

Time spent on the Internet driven by increasing broadband speeds 32

Adoption of Web-to-TV 33

Over-the-Top video is forcing a complete restructuring of today's online video and TV broadcaster services 35

Mobile broadband uptake 35

Multi-platform media consumption - user segments 37

Connected TV behaviors 37

Online video consumption 39

Online video has been around since 2005 39

Who is paying? 40

Reasons for watching online video 41

Key content genres are driving online video viewing 42

Viewer engagement 42

Consumer platforms for video content 44

Existing distribution routes to market 44

Video software units: DVD and Blu-ray 44

Catch-up TV / iPlayer phenomenon 45

Online video 46

Social networks 47

Mobile apps 48

Emerging distribution routes to market 50

Internet TV / Internet Connected Devices 50

Social TV 53

TV on the PC 53

Mobile Video 53

Digital Out-of-Home 54

Conclusion 56

Content owners, media owners, brands, ad agencies 56

User experience – choice, convenience and control 57

Chapter 3 Multichannel video content delivery 60

Summary 60

Introduction 61

The stakes are high for existing content services operators 62

A game of multichannel video platform (MVP) smoke-and-mirrors 62

Multichannel video delivery chain 63

Video platform providers 65

Brightcove 67

Ooyala 67

Miomni 67

Video asset management 68

Importance of content centralization 68

Importance of metadata 68

Lack of DRM consensus and standards 69

Integrated content management 71

Unified asset and content management unlocks key user benefits 71

Interactive services to drive engagement/monetization 71

Converged content becoming a reality 72

Dynamic online video distribution: ad serving and social media 72

Users expect a unified, multichannel experience 74

Will 'channels' and 'channel brands' be a thing of the past? 74

HD television becomes ubiquitous 75

3D 77

First 3D TVs on sale 77

The 3D cinema experience is new and exciting 79

Chapter 4 Over-the-Top TV 84

Summary 84

Introduction 85

New battlegrounds emerge 86

Managed Internet services should hold their nerve 88

Cutting the cord 89

TV apps 89

User interface and experience 91

Personal screen or shared screen? 91

User experience is everything 92

Rovi 93

Content discovery will be key to a successful user experience 93

'Suggested discovery' 94

Gesture-based controls are coming to TV 95

Broadcasters / Pay TV operators 96

Opportunity for multi-platform content aggregation 96

Hybrid Broadcast Broadband (HBB) standards development 97

Multichannel catch-up TV services 98

Enhanced TV – broadcast interactivity with BBC red button 99

Green button interactivity 100

Broadcast/broadband signal synchronization is a big advantage 100

Sky Green Button and AdSmart 100

Content owners as media owners 101

Independent production companies 102

Sweat the archive 102

Clearances are a potential issue 103

Niche/specific interest content owners 103

Time to take full control of digital distribution 104

Brand owners/advertisers 104

OTT distribution landscape 105

Consumer choice – the race is on to build the most popular service 106

Delivering the Internet isn't free 106

The net neutrality debate 107

ISPs and telcos are potential OTT gatekeepers 108

Content commoditization 108

Connected TVs 110

TV manufacturers are actively building OTT propositions 111

Yahoo! Connected TV 113

Google TV 114

Apple TV 115

Connected games consoles 116

Nintendo Wii 116

Kinect for Xbox Live 117

Other connected devices 117

Blu-ray, DVD, PVR players 117

Stand-alone digital video/media players 119

Video aggregators 121

YouTube 122

MSN video 125

Hulu 126

SeeSaw 128

Canvas 128

Telcos, ISPs and IPTV services 130

TV to PC / tablet 131

TV to Mobile 132

Chapter 5 Video monetization 134

Summary 134

Introduction 135

Dimensions and dynamics 136

Who will own the OTT TV customer? 136

Current monetization strategies 137

Ad sales and ad inventory 138

Commercially, content in context is the true king 139

Collaborate for critical mass 140

Real-time analytics drive monetization 140

CIMM – coalition for innovative measurement 141

Monetization strategies 142

Commercial fundamentals 142

Sky – a blueprint for success 142

The hybrid 'freemium' business model 143

Emerging opportunities for added value engagement 144

v-commerce 144

Plinking 145

iAndBuy 146

Product placement/embedded advertising 146

Program/channel sponsoring 148

Targeted advertising 148

Live streaming to TV and mobile 150

Mobile advertising - Apple iAds 150

Mobile-TV audio triggers 151

Chapter 6 The future of brand generated content 154

Summary 154

Over-the-top marketing will drive brand engagement and ROI in marketing 155

The currency of engagement is 'attention' 155

Cost per engagement models will prevail 156

Over-the-top brand engagement – a new marketing discipline 156

Ad agencies need to rethink and not protect an old media model 157

Lack of applied data skills and affinity for the technology are big

disconnects for agencies 160

Traditional agency model creates unproductive conflicts 161

Brands as media owners and publishers 161

Brands can also 'commission' content from consumers 163

Strategic branded content 163

Strategy before creativity 163

"Online" video has a short shelf life 165

3D video 165

Index 167

List of Figures

Figure 2.1: Consumer mobile broadband subscribers by region (m), 2008-2014 36

Figure 2.2: Connected TV viewer segmentation 38

Figure 2.3: Active reach of major online catch-up TV services in the UK (% of all Internet users visiting site), 2008-2009 46

Figure 2.4: Global mobile applications downloads (m), 2008-2014 49

Figure 2.5: Global sales of Internet enabled TV sets, 2009-2013 51

Figure 2.6: Digital and static advertising display views and displays by day (% of footfall, average viewing duration) 55

Figure 3.7: Multichannel content (video) delivery chain 65

Figure 3.8: Video platform provider competency comparison 66

Figure 3.9: Global LCD TV shipments (m), 2008-2012 76

Figure 3.10: Global 3D TV shipments (m), 2010-2015 78

Figure 3.11: Number of 3D digital cinema screens globally, 2005-2010 79

Figure 3.12: Consumer responses to 3D in cinemas, UK, 2009 80

Figure 3.13: % of UK viewers watching 3D adverts in the cinema, 2009 81

Figure 4.14: Stakeholder convergence in the OTT video content chain 87

Figure 4.15: Most popular YouTube categories (% of UK users watching on a regular basis), June 2009 123

Figure 4.16: Popularity of YouTube channels in the UK (number of views and subscribers), 2009 124

Figure 4.17: Hulu and YouTube videos viewed online, US, Nov 2009 127

Figure 5.18: Total online TV revenue (Pounds Sterling m), UK, 2004-2008 137

Figure 5.19: Methods used by web businesses to price / sell video ad inventory (% of Brightcove clients), Q1 2010 139

Figure 6.20: Over-the-Top marketing – blueprint for brand owners 159

Figure 6.21: The strategic content planning chain 164

List of Tables

Table 2.1: Typical Internet connection speeds in different regions of the world, 2009 33

Table 2.2 Devices used to watch video (% US population aged 18-34 yrs) 34

Table 2.3 US online video consumption, March 2010 40

Table 2.4: The top reasons for using online video on websites (% of Brightcove customers), Q1 2010 47

Table 2.5: Global mobile applications downloads (m), 2008-2014 49

Table 2.6: Global sales of Internet enabled TV sets, 2009-2013 51

Table 3.7: Global LCD TV shipments, 2008-2012 76

Table 3.8: Global 3D TV shipments, 2010-2015 78

Table 3.9: Number of 3D digital cinema screens globally, 2005-2010 79

Table 4.10: Popularity of YouTube channels in the UK (number of views and subscribers), 2009 125

Table 4.11: Hulu and YouTube videos viewed online, US, Nov 2009 127

Table 5.12: Total online TV revenue (Pounds Sterling m), UK, 2004-2008 138

To order this report:

Television Broadcasting Industry: The Future of Video Content Convergence: Consumer engagement opportunities in multi-platform video and over-the-top TV

More  Market Research Report

Check our  Company Profile, SWOT and Revenue Analysis!

SOURCE Reportlinker