Media distribution is in process of major disintermediation, a fancy term that says your cable or satellite TV provider no longer has the power over you.
Steaming end OTT providers and packagers have taken their rightful place alongside broadcasters and service providers. Now, the technology investment into media distribution, in terms of delivery, content management, data, and advertising is more critical than before because it determines the impact into new types of paying subscribers.
BEYOND A SUBSCRIBER MENTALITY
The confluence of mobile, social and cord-cutting drives all new media strategies.
What’s important today is how new media works together with data driven strategies, where the subscriber value is not just about eyeballs on content, but more behavioral data profiles.
This allows content customization into a community, as opposed to an older demographic strategy. Mobile devices enable this best, allowing access to anything for 30 seconds and capturing data along the way.
THE POWER OF ACCESS AND DATA
A long time ago, during the analog to digital conversion, bandwidth savings and picture quality drove investment decisions.
Today, two pervasive themes revolve around access and data.
- Access has now widened to “any” media -- place, device, content, or person.
- On the data side, the capture of behavioral and semantic data.
- When that is smashed against analytics and sentiment analytics, you CAN know what users want. That drives the best portfolio decision for advertising.
OpenAP - Advertising's Changing Face
When you consider communities and now, “sets of audiences,” you begin to leave behind the notion of targeting demographics – age, gender, race – as a measure of effectiveness for media strategies. Linear TV is very much alive as a going concern, despite the high growth of streaming and OTT content, so executives are finding a new balance between these two distributions and creating new portfolios of media buying. They are doing it with deep data expertise and investment.
Today, Nielsen (the old) and OpenAP (the new) approaches to advertising are based on communicating to buyers how communities can be targeted. Ironically, individual consumers feel they are getting more control and customization; they well may be, but media needs masses of people to make a business case. So, how do they do it? With data. With advanced analytics, that both targets behavior and feeds what you want – linear, streaming or otherwise. What’s cool is how they take that behavioral understanding at the personal level and aggregate understanding.
A parallel universe is also moving with data in the form of metadata about customer behaviors—collected, managed, and analyzed with images and video. There’s so much value now. Metadata is also driving collaboration on cloud, asset creation on encoding platforms, and management of inventory for digital asset managers. This all represents found money because these data-driven processes contribute to a feedback loop to give greater value to the asset.
IT'S STILL CONTENT AND ADVERTISING
Savvy media technologists know how media distribution impacts advertising.
Advertising revenue; like we have never seen it before. Now, when delivery is measured against sets of communities, a custom and dynamic portfolio is created. Entropy has the expertise to review the best delivery for the best approach and then collaborate with media distribution for what value it brings.