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Social channels - opportunities and threats for media industry through Bharatbook

Press Release   •   Feb 04, 2011 17:26 IST

Publishers, studios and broadcasters need to seize the opportunities presented by the growth of social media and video on mobile devices in 2011, according to Ovum. However they should also be aware of the long-term threat these channels pose to their share of audience and advertising budget, finds the independent technology analyst. ( )

In a new report It states that opportunities lie in using social media as a new channel to engage directly with the audience, derive greater insight into their preferences and demography, and to directly capitalise them through products such as casual games or virtual goods. Combined with the growth in video viewing on the latest generation of smartphones, this is an important method to get the attention of the highly specific audiences that advertisers are increasingly looking for.

However the threat social media poses is ever present and Adrian Drury, analyst and author of the report, said: “With the massive audience clustering around platforms such as Facebook, there is great potential for publishers and channel programmers to use social platforms for audience acquisition, engagement and profiling.

“However social media, also present a clear threat to traditional media and entertainment platforms as it steals a growing share of audience attention and advertising spend”

In the report, it looks as the growing trend towards defensive collaboration within broadcast, publishing and further down the content supply chain to studios, music labels, and production companies. The goals are to define common standards, labels, and service platforms to drive a single experience for the customer across multiple devices, as well as establish a framework for shared technology infrastructure costs and supply chain efficiency.

Defensive collaboration within this market, however, is beset with execution risk. As the music industry has demonstrated, mounting a coordinated response to a disruptive technology threat in a hyper-competitive market is highly challenging.

“The second strand is tactical, driven by product managers looking to exploit audience engagement and revenue streams in the short-term that have been opened up by new consumer technology platforms. These projects are creating opportunity for highly agile SaaS vendors that are able to offer a low-cost route to fast service deployment and experimentation.”

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