For my first column of the New Year, I always like to look
back in order to look ahead. What do media executives – those on the front
lines - see as the future of television? This year, instead of going through
some of my past interviews, I have compiled a sizzle reel of predictions from
participants at the TV of Tomorrow conference held in December. You can view the entire video here ...
... and the following is a short list of predicted trends:
TV is Definitely Changing
There is
general agreement among the experts that TV in the truest sense of the word is
not the TV most of us have grown up with. It is no longer a static box pushing
out content with us as passive observers. “Television is morphing into
something far beyond what television has been over the past 30+ years,” says
Gerard Kunkel, Microsoft consultant, “It is becoming an interactive
environment.”
But how this
interactivity manifests is still being formulated. There are many ground
breaking enhancements for viewers, if they are ready to adopt the technology. Global
predictions for the sales of Smart TVs are rosy while some report that U.S.
sales of Smart TVs are falling short. And for those American consumers who have
bought Smart TVs, we need to ask how many of them are actually using their
set’s interactive capabilities. Is it similar to HD enabled sets versus HD viewing
sets?
The Viewer Will Have Even Greater Control
Interactivity
will lead to greater choice; choice of platforms, choice of viewing time and
choice of advertising (not whether to have it or not but which ads you would
prefer to see…). Bill Feininger of FourthWall noted that “TV is (becoming) a
platform that allows multi-media services to all kinds of devices and all kinds
of content.” Jane Clarke added “Basically consumers can find whatever they want
to watch, whenever they want to watch on whatever device they want to watch it
on. We may not even be calling it television.”
There is Advertising Opportunity… and Challenge
For those in the advertising space, television will become
less interruptive and more relevant as addressable advertising is rolled out in
scale with more targeted messages. Consumers will have a more on demand
experience but, as Harvey Kent of MediaOcean believes, the challenge is to find
ways for advertisers to reach these mobile and fragmented viewers efficiently. My
opinion is that scalability in cross platform measurement will continue to be a
challenge, at least until we figure out an industry standard form of ACR and I
don’t see that happening immediately.
Delivery Systems Will Change
To some, the
delivery systems of television will change, maybe to a “killer app” as Tribune’s
Robyn McCormick believes. “It will be a mobile application. Maybe it will be
Twitter. Maybe it will be Facebook. I think it will be a place where the masses
congregate.” I believe that MVPDs will adapt to the new delivery capabilities
and perhaps evolve to provide a more seamless delivery system entirely through
the IP. That will have implications for measurement….
Measurement Will Improve
Based on the
range of opportunities and advancements, there are some who believe that the
measurement systems will improve. “I believe the future of television will
bring more financial and statistical rigor that will put the business cases
together to figure out how to pay for all of this new technology” said
Nielsen’s Pat Dineen. And yet there are others who think that the road to
improved measurement will have its share of potholes. John Mandel of
PrecisionDemand laments that “We have to develop ways beyond the ratings
systems so advertisers can hear the cash register ring.”
Matching
viewership with ROI has been an ongoing challenge in the measurement field
that, I believe, cannot be easily solved without delving too much into
someone’s privacy. Is it worth it or can we find a happy compromise between
efficient scalability and privacy? That
will be one prediction that I will be eager to hear.
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