As the diversification of content and distribution methods continues, converged workflows are a necessity for global media companies to excel in a complex market.
In this enlightening session at IBC 2023, Ben Tatta, Operative’s CCO shared his unique insights on current business trends, challenges facing the global media ecosystem, and the vital role of technology required to support operational flexibility and growth in an increasingly unified advertising landscape. This dynamic discussion explores why interoperability and automation are essential in deploying successful solutions for advancement and scale in media. Gain an understanding of how a modern approach to technology can help elevate your content, advertising capabilities and business outcomes.
View his session in the link below, and for a copy of his presentation reach out to email@example.com.
The Shift from Linear to Digital TV
- The decline of linear TV isn’t a sign of TV dying, but rather it evolving.
- The content of TV is now being distributed across new platforms, marking a significant growth in TV content being distributed digitally.
- Consumption of traditional television isn’t declining; instead, the distribution methods are changing.
- Despite the decline of linear television, there is a significant increase in content consumption on non-linear and new linear content platforms.
The Rise of Connected TV
- Connected TV consumption is growing significantly.
- Data from ComScore indicates that conventional television still commands the largest share of viewing, with 200 billion hours in the timeframe from January 2022 to January 2023.
- Interestingly, if the same pie chart was examined a few years ago, Connected TV wouldn’t even be in the top four, showing the rapid growth of consumption of linear content through connected TV.
Streaming Content Providers
- Ben highlights the share of viewing of streamed content on Connected TV by provider.
- Between May 2022 and May 2023, total video consumption on CTV had grown by 20%, with 75% of that growth not coming from the top six providers. This demonstrates the rise of new services driving incremental consumption.
- Looking at the total hours of consumption by provider and how that number changes when examined on a per user or per sub basis, is a good proxy for engagement and loyalty.
- Services with high levels of engagement often deliver the best performance when it comes to advertising.
The State of Programmatic Advertising
- Research from the ANA found 45% of the CPMs from programmatic go towards non-working media or ad tax. Additionally, 23% of impressions are wasted. These findings indicate a significant amount of investment in the existing programmatic ecosystem is not effectively reaching media.
- Premium publishers, like large network groups and broadcast groups, are moving towards private marketplaces. These platforms allow them to control the price, the buyers, the sellers, and so on, creating a more efficient and effective environment for their advertising.
Overall, Ben’s presentation paints a picture of a shifting media landscape, with significant growth in digital and connected TV, the rise of new streaming services, and the need for changes in programmatic advertising.