- Media & Entertainment (M&E) industry is evolving with many trends and opportunities that dive into the industry.
- Interactivity, digitisation, multiple-platforms, personalisation, ad-supported video, multiple devices, and globalisation of services-based landscape has transformed the media and entertainment from quiet a long time.
- One of the biggest drivers of growth in the entertainment industry is online streaming. And the online streaming war is intensifying; consumers can see more diverse options to select.
- Emerging trends include the rise of artificial intelligence, augmented and virtual reality via 5G and esports.
Everyone loves entertainment, be it in the form of games, songs, and series. Today, media and entertainment have become the fundamental requirement of an overstressed society. Paradigm shifts in consumer behaviour, business models, and technology are shaking the existing scenario of advertising as well as consumption of the online streaming services.
The media and entertainment industry is at the cornerstone of a rapid shift in the way content is distributed. This evolving trend is accelerated by the propagation of the internet leading to the takeover of traditional media channels such as cable and radio by the on-demand streaming platforms such as Netflix, Amazon Prime. As a result, consumers have diverse options to select from in case of media consumption. A new battle in media has begun wherein the companies need to outshine by helping its customers strike an economical deal from an array of streaming platforms.
Lights, camera, and action – let us roll to deep dive in the Australian Media Industry.
We are embracing online streaming via Subscription-based VOD services.
Today’s empowered customer with desires for numerous fresh and different experiences.
In retrospect, the static and traditional M&E model worked on a straight and direct path for creativity and monetisation. The world is full of a submissive, inactive, and unresponsive audience which viewed what was shown to it. The digital boom established a dynamic and atomised world, which resulted in empowering the M&E audience and enabling them to gradually mount their expectations towards the customised ways for products and service delivery.
Viewing has risen to a different level from just streaming a flick or show on various devices, to a customised experience across mobility, communications and entertainment, as well as financial services. The rise of players in the media arena has led to a fight to grab, hold and set up a straight bond with the audience, which seems different yet alike in their habits.
The mysterious streaming industry has a lot of unsolved answers left in their laps with the choices of the audience in the vast demographics where in some require convenience and the others an attractive deal. From HD through DTH, to the best viewing experience, the landscape for the Television box has altered due to the demand and supply created in this competitive streaming world which has seen major studios finding ways to curtail customers with their experience and fast delivery of services.
The audience in the streaming industry has a number of choices at their disposal from the likes of Amazon Prime, Foxtel Now, Stan, Netflix. This, in turn, is better for viewers to choose from as per the type of experience they want while keeping in mind that it does not hit their pockets.
You often feel annoyed by advertisements that boom on your screen while watching your favourite content online. But the question is, why are they popping up? What are these video streamers earning out of this hiccup that they cause while watching? These questions give rise to the concept of Ad-supported videos. These videos are becoming the leading model of delivering streaming video across the countries. They can be mixed with the subscription services, or the revenues can be from ads alone. Advertisements may provide the required revenue for streaming providers that aspire to spread their wings into different verticals, such as gaming and music. Tubi TV, a streaming provider in Australia whose services, is entirely free to use. But what is the catch? As it is said, nothing is free in this world. Tubi TV does not offer subscriptions; instead, a person has to sit through a bunch of unskippable advertisements while watching. These ads generate income for the provider. This ad-supported video offers advanced advertising capabilities in the form of consumer segmentation and targeting, which can further foster effective measurement and campaign management.
5G changing the landscape of VR and AR
With the launch of 5G around the corner, various applications are likely to embrace from 5G. The 5G transition is presumed to develop a fortune for the network, infrastructure, and equipment vendors. With the advent of 5G, the download and upload speed are expected to increase exponentially. Augmented reality (AR) and virtual reality (VR) apps were initially hyped. Still, they could not live up to the expectations is expected to embrace 5G from the bandwidth and low latency that is required for the seamless AR and VR experiences. Companies are now discovering various ways to accommodate them into their applications and services. AR/VR emergence is expected to unfold its benefits in areas never touched before, such as an extremely interactive alternative to the classic gaming controllers and keyboards, improve customer viewing and shopping experience.
The wave of merging and acquisition activity - powering media & entertainment evolution
The M&A deals are expected reshape and reinvent the positioning of the companies within the strategic landscape. M&A is likely to provide access for media companies to strengthen their content libraries. Such as recently, Foxtel and Warner Media struck a deal wherein Foxtel gets to retain its subscribers by using WarnerMedia’s content. WarnerMedia, on the other hand, gets to expand its customer base through Foxtel.
The personalisation wave fuelled by Artificial Intelligence (AI)
You finished watching a series and some recommendations at the end pop up as in what can be observed next. Ever wondered why they pop up? How do these apps know I would like to watch this series next? All this is made possible by AI.
AI can be used in multiple ways to enhance the customer experience as well as to streamline business operations. AI can help unleash companies in the creation of new ads, movie trailers or recommend to customers what they may interest in watching or listening to keep them engaged.
With the upsurge in demand and rising expectations of the customers for personalised content, various media companies have evolved using AI to content creation according to customer choice from mere suggestions. This offering gives them a highly personalised experience.
We often say let us play a game, from a pastime to an industry, this is our new world of ‘Games’.
eSports - Sensation of the gaming arena
The platform is loaded with the sponsorships, prizes, and viewership range across the place.
Working on the formulae of GoT everything you want to Apologies for the inconvenience, there are various unanswered questions, starting from grabbing broadcast and distribution rights, the selection of target audience and becoming “live” entertainment to fill current emptiness in live sports.
The platform is growing from amateur to a professional with its popularity since its introduction.
There are legions of fans already watching video game competitions and looking forward to various gaming tournaments such as Melbourne Esports Open 2020 starting 22 August 2020 with the prize of US$250,000.
Esports Mogul Limited (ASX:ESH) operates a tournament platform called mogul.gg. Mogul .gg is the new pure-play online esports tournament inclusive of platform chat and streaming functionality.
The esports platform work towards game development and adoption, as well as internet connection speeds. It works on the principles of audience viewing professional gamers playing prevalent games. These platforms enable real-time tracking of events to move by move through various social media sites.
It will be interesting to watch which company outshines in the battleground in media by leveraging the opportunities in the form of customer acquisition, and retainment. Also, witnessing the new take of various companies in the field of esports, AI is set to become a strong contender in this contest.
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