Realizing the TV Everywhere Opportunity

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There is a significant opportunity for
MVPDs and programmers to enable authenticated
video as a business and full-fledged product offering.
IBB Consulting predicts that over the next
three years, MVPDs and programmers can
grow authenticated video to a meaningful
portion of consumption.

Key attributes of realizing the opportunity
are measurement, business models,
a seamless customer experience and an
ability to scale operations efficiently. With
these pieces of the puzzle in place, there is
significant revenue potential for all players in
the value chain.

As TV Everywhere evolves to bring more
content to more platforms and devices, there
will need to be a business model that supports
the objectives of both distributors and
programmers. To do this, an approach is needed that incorporates
dual revenue streams and bolsters the value
of pay TV subscriptions. It should also enhance crosspromotion,
enabling programmers and MVPDs to increase
tune-in and deepen engagement with viewers on
all platforms. Initiatives such as second-screen interactivity,
social TV and commerce can contribute to the authenticated

An important part of crafting effective business models
will be the ability to understand aggregate and segment-
based viewership. Measuring viewers across
many different devices is not without its challenges.
Reliable methodologies will need to emerge in order
to measure and analyze viewership activity to understand
how consumers are viewing and engaging in the
authenticated environment. To realize the growing advertising
opportunity, it will be important to enable advanced
business rules for ad pods, ad insertion during
various time windows and cross-platform

The overall customer experience will play
an important role in the growth trajectory
of TV Everywhere. Mainstream consumers
are becoming more accustomed to consistent
and easy to use products. For this mass
audience, the authentication, search, discovery,
viewing and social promotion experience
should be seamless and encourage
more consumption.

Part of offering a rewarding experience
is ensuring that authenticated services
launched can scale efficiently from
a content operations perspective. This includes
automation of file flows between many partners,
managing evolving streaming practices on a variety
of devices and enabling a common back-end to speed
deployment across platforms. The combination of
developing native applications for various connected
devices and managing HTTP adaptive bit-rate streaming
is leading to a more complex landscape.

Each of the above strategies is an important component
of a service that will deliver on consumer demand
and help realize the full market potential for all players
in the value chain.

Jonathan Weitz is a partner with IBB Consulting, leading
growth strategies for programmers, service providers
and device manufacturers.