The Future of Broadcast Television – What to Know for 2015
- View Original
- January 15th, 2015
With the convergence of second screen adoption and the abundance of real-time news consumption via social channels, the broadcast landscape underwent a major transformation in 2014, and will continue to do so in 2015. One thing that has become increasingly clear is that viewers have begun to demand highly customized experiences that meet their individual needs. According to a February 2014 report conducted by Nielson, 84 percent of smartphone and tablet owners say they use their devices as second-screens while watching television at the same time. Others are growing wary of traditional broadcast television packages altogether and are choosing other avenues, like Netflix and YouTube, to watch TV. With that said, here are my top three predictions on what’s in store for the media and television industry in 2015.
- The “bridge” from mobile to broadcast television will emerge. For the past several years, people have been glued to their smartphones 24/7, no matter where they are – work, home, the gym, you name it. In 2014, this phenomenon increased with even more people staring at their second screens (smartphones or tablets) while watching TV. Some might be multitasking, texting or playing games, but others are actually interacting with viewers through social media channels or conducting research directly related to what they’re watching. Even more are creating shareable content as a way to engage with a live television event (i.e. The Voice, Dancing with the Stars, etc.). What was once a one-sided activity has become much more of a two-way street. That said, until recently, that bridge between mobile usage and broadcast television has been nonexistent due to the complexities associated with collection, management, integration and distribution of user-generated content (UGC). In 2015, the bridge between the two channels will emerge, allowing viewers to generate content from their smartphones that will seamlessly make its way directly onto the screen in near real-time, allowing users to interact with brands in innovative and exciting ways.
- Threats to cable television will increase as the “bundle” starts to unravel. With the emergence of Internet television and the rising cost of traditional TV packages, fewer and fewer people are purchasing traditional bundles from providers such as Verizon, DirecTV and Comcast. This will continue to increase in 2015 with 2.9 percent of U.S. pay-TV consumers stating they are “very likely” to cancel services in the next 12 months (source). Just as consumers have begun to demand ways to interact with their favorite brands and television programs, they’re also demanding more customized television packages that only include the programs and channels they want to actually watch. Cable providers will have to consider creating customized micro bundles that forgo the non-relevant channels to adhere to this change if they want to stay in the game and keep customers happy.
- The importance of live television will increase as over-the-top (OTT) options proliferate and become mainstream. OTT options refer to Internet television providers, including Netflix, Hulu and YouTube. According to The Week, while cable companies still have 56 million subscribers among them, Netflix alone is right behind that number with 36 million active users and growing fast. OTT options have allowed many consumers to stray away from traditional cable packages, but one thing they do not offer is access to live television, such as newscasts and sporting events. One way for cable television providers to ensure they don’t become obsolete is to make sure they’re delivering top-tier live television experiences. To do this, broadcasters should allow consumers the ability to share their own user-generated content, creating an exciting way for fans to interact with other fans during sports games, newscasts or even award shows like the upcoming Grammy’s or Academy Awards. This could be in the form of a tweet or photo appearing at the bottom of the screen after a huge upset during the Super Bowl, or of a video of a fan reacting to which film snags the Oscar for Best Picture (Boyhood? Birdman? Time will tell!)
In short, the evolving wants and needs of the viewer is the future of broadcast television. At the end of the day, they are in control. In 2015, this will become even more evident, with more and more people demanding customized television experiences through user-generated content and the option of micro bundled packages. In order to keep up, broadcasters must keep these points in mind, while also staying up-to-date with the latest innovations as a way to adequately engage with their customers.
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