Viewers increasingly want to watch their favourite TV shows anytime, anywhere and on any screen. There's lots of TV content online, but hitting all three of those checkboxes isn't yet possible for every piece of programming. To do so requires a greater shift to delivering programming over the internet rather than just over the air, satellite or cable. Sounds simple, right? It's not. It is a massive shift that has game-changing implications for advertisers, TV programmers and TV distributors. In the first of a series of articles exploring these complexities, we'll provide an overview of the seven dynamics that are transforming TV.
It used to be that watching TV meant you had to turn on a TV set. But now, thanks to high-speed internet-enabled devices, "watching TV" can happen anytime, anywhere – as anyone who's watched his or her favourite show or sports team on a smartphone or tablet knows. In other words, TV programming these days is no longer limited to the TV screen in the living room.
While it's not yet possible to watch every piece of TV programming anytime, anywhere and on any screen, consumer demand for that is growing. Bringing about this ubiquity requires a shift in TV programming from delivery over the air or via satellite or cable, to delivery over the internet. Seems simple, right? It's actually much easier said than done.
For TV programmers, distributors and advertisers, the shift to TV over the internet is game-changing. In fact, saying it's incredibly complex might even be an understatement. This shift is having a profound impact on television delivery, advertising and the viewer experience. In this first article of the "Evolution of TV" series, we identify seven dynamics driving the shift of the TV industry and advertising marketplace.
- Reaching across screens
- Internet TV streaming
- TV distribution and the cloud
- Programmatic ad technology
- Addressable advertising
- Viewer engagement
Although we're still in the early stages of this transformation, the internet has an uncanny ability to suddenly increase the velocity of change. If that happens, we could be at a tipping point sooner than anticipated, with numerous challenges left unsolved.
Embracing this shift can benefit each player in the TV ecosystem. By assessing each of the dynamics in transition, we can better understand the multiple risks and opportunities that the shift to internet delivery creates. Our hope is to provide a perspective that will help marry what users want – ubiquity of TV programming in a user-friendly way – with what TV programmers, distributors and advertisers require for success: accountability, monetisation, efficiency, scalability and engagement.
We'll provide this perspective in a multi-part series about the "Evolution of TV", diving into each industry-disrupted dynamic that the shift to anywhere, anytime programming will affect.
Download the first article, "7 Dynamics Transforming TV", to learn how consumer demand and the television industry have evolved over time, as well as how the shift to internet delivery presents risks and opportunities for programmers, distributors and advertisers in each of the changing dynamics.