Customer demand for personalized TV services is spurring majority of broadcasters to offer tailored ads

Four-fifths (80%) of broadcasters are considering implementing ads tailored to the consumer but are increasingly falling behind streaming services due to hesitance around adopting cloud technologies, according to research carried out on behalf of ATEME, t

Paris, France(28 Nov 2019)

Four-fifths (80%) of broadcasters are considering implementing ads tailored to the consumer but are increasingly falling behind streaming services due to hesitance around adopting cloud technologies, according to research carried out on behalf of ATEME, the emerging leader in video delivery solutions for broadcast, cable, DTH, IPTV and OTT.

The survey of those in middle management positions or above within the realms of TV and broadcast also found that 96% of broadcasters feel there is a demand from customers for more personalized services. As over a third (34%) of broadcasters currently generate revenue through adverts, offering personalized adverts could help them increase this revenue. Consequently, over a quarter (26%) are currently looking into how to offer these services to customers.

“Our research found that more than half (58%) of broadcasters are investing up to 20% of their budget in trialing new customer content or services as they prioritize personalization to offer customers enhanced viewing experiences,” said Remi Beaudouin, Chief Strategy Officer, ATEME. “By using technology and the data available to them to tap into this trend, traditional broadcasters will be able to create a tailor-made viewing experience and potentially open up new revenue streams,” he added.

As broadcasters look to adopt the latest technologies, 66% say they would consider moving to the cloud, while 28% have already done so, in a move that would allow them to store their content catalogue more effectively and add more personalized services, as is the case with streaming platforms.

The speed of cloud will also allow broadcasters to innovate faster, using virtual broadcasting to create new one-off channels in a matter of hours to capitalize on events and develop offerings to appeal to more niche audiences. This technology is currently being used by almost two-thirds (60%) of broadcasters, while of the broadcasters not currently doing virtual broadcasting 70% said they will do so within a year. However, despite the use of cloud becoming more commonplace in broadcasting, 44% cited a perceived lack of control over their content as their biggest concern about this development. 

“Cloud has been surrounded by many misconceptions over the years which have deterred broadcasters from adopting it. However, as broadcasters get to grips with the potential impact of cloud on their business and the services they are able to offer, we are seeing its adoption increase,” added Beaudouin. “Moving to the cloud will allow broadcasters to adopt new technologies and make more effective use of their data so that they can begin to offer the level of personalization more often associated with streaming platforms and their algorithms.”

 

ATEME

ATEME (PARIS: ATEME), Transforming Video Delivery. ATEME is a global leader in AV1, HEVC, H264, MPEG2 video compression solutions for broadcast, cable, DTH, IPTV and OTT. More information is available at www.ateme.com. Follow us on Twitter: @ateme_tweets and LinkedIn