Archive for March, 2016

Growing TV Everywhere Adoption to 70%, Part 1: Three Critical Stages in the Consumer’s TV Everywhere Journey

Serious attention is required to grow TV Everywhere adoption from 17% to 70%

At Adobe, we believe that consumer adoption of pay-TV across screens, also known as TV Everywhere, can grow to reach 70% of pay-TV subscribers by the end of 2017. It’s a reasonable prediction because there’s already a large and growing audience that’s regularly watching TV programming on connected devices. For example, 91 million adults in the U.S. viewed content on a TV-connected device during an average week in July 2015, as measured by Nielsen. In the same week, 95 million adults watched smartphone video, 76 million watched PC video, and 36 million watched tablet video.

Yet, getting TV Everywhere adoption from the 17.4% of pay-TV subscribers that it reaches now to 70% of pay-TV subscribers will require a serious industry effort to improve the consumer’s TV Everywhere journey. As the industry invests in this effort, we believe TV Everywhere will also be complemented by direct-to-consumer (D2C) OTT services, which are growing the overall market for online TV programming. Both TV Everywhere and D2C services have an important role to play in the future of TV.

Where to focus in the TV Everywhere journey to drive adoption and use

The consumer’s TV Everywhere journey starts with awareness, should grow with content discovery, and should not be impeded by cumbersome sign in requirements. That’s why Adobe views these three stages — awareness, content discovery, and sign-in — as the critical stages that the pay-TV industry should focus on in order to drive TV Everywhere adoption and use.

Let’s take a closer look at the challenges at each stage:

  1. Among pay-TV subscribers who don’t use TV Everywhere, 53% say they’ve never heard the term — Pay-TV subscribers need to know what TV Everywhere is, how to get started with it, and the key fact that it’s included with their existing cable or satellite TV service. It’s a big challenge to communicate how one set of credentials, in the form of a username and password from the consumer’s cable or satellite TV provider, provides access to hundreds of premium sites and apps. However, once consumers know this and experience the incredible value of it for themselves, it’ll boost their satisfaction with pay-TV and the loyalty they have to their pay-TV provider.
  2. There’s no channel flipping to drive awareness of new programming on pay-TV — Once consumers have tried TV Everywhere, they need easy methods to explore and be alerted to what they can access, and where and when it can be accessed. Where channel flipping and word of mouth were the traditional ways of discovering new content through linear TV, something has to clue users into where to go for that live sporting event they want to watch or the new series premiere they’re excited about.
  3. TV-E is still difficult to sign into and access - Deadline reports that cable and satellite companies have badly botched their rollout of TV Everywhere streaming. Even when consumers get past the awareness and content discovery hurdles and begin to use TV Everywhere on a regular basis, the sign in requirements are too cumbersome. The ideal experience would be for viewers to move directly from a content discovery mode to playing the actual content itself without hitting a sign in wall.

The challenges at each of these three critical stages in the consumer’s TV Everywhere journey are very different from one another. The first is largely a marketing challenge, the second an innovation challenge, and the third a technical challenge. But the goal of addressing these challenges is the same: to help TV Everywhere reach its full potential to entertain approximately 78 million pay-TV subscribers every month.

Tune in next time to continue the focus on growing TV Everywhere adoption to 70%

This is the first article in a four-part series that aims to spark the actions that will help the pay-TV industry take TV Everywhere adoption to new heights. In the articles to follow this one, I’m going to do a deep dive into each critical stage in the journey. I’ll focus on increasing consumer awareness, enhancing content discovery, and reducing sign in friction. I hope you’ll join me next week for the deep dive into how the pay-TV industry can grow consumer awareness of TV Everywhere.

Helping the TV Industry Accelerate the Success of OTT Video Services

Today’s viewers are fundamentally changing how they watch TV shows, movies, and sports, with many tuning in via apps and Internet-based services. Some viewers are even cutting the cord to their cable service or satellite package and seeking alternatives. An emerging option for consumers is a la carte access to multiscreen, over-the-top (OTT) services across platforms like mobile devices, game consoles, and Smart TVs.

Over 50% of U.S. households will become cord-cutting, OTT households by 2025

Cord-cutting, OTT households will become the majority of U.S. households within 10 years, according to PwC and Baird. In a PwC survey published in December 2015, 58% of cable subscribers said they would not be cable subscribers by 2025. Similarly, a Baird survey conducted in August 2015 found that 56% of respondents believe a streaming service will be their primary TV provider by 2025.

How media companies can leverage digital marketing tools to address cord cutting

Today, Adobe unveiled Adobe Primetime OTT, enabled by Adobe Marketing Cloud to help media companies respond to the cord-cutting trend by providing better-than-TV experiences for consumers via mobile, desktop and connected TV devices. The goal is to help TV networks and pay-TV providers engage directly with their viewers, grow their audiences, and personalize and monetize premium video experiences in these compelling ways:

  • Building your audience: Data-driven marketing with Adobe Primetime OTT drives profitable viewers into new services while keeping acquisition costs down. It helps to define the viewer, reach them with multi-channel campaigns, optimize spend towards effective campaigns, and personalize the on-site experience.
  • Engaging your audience: Data-driven engagement with Adobe Primetime OTT keeps churn rates down by driving up viewing time, customer loyalty, and customer satisfaction. It helps to surface personalized recommendations, keep viewers engaged through the quality of experience, and keep OTT services top of mind even when viewers leave the app.
  • Monetizing your audience: Flexible monetization options within Adobe Primetime OTT empowers programmers and operators to support monthly subscriptions, transactional, and advertising models. It helps to drive more targeted advertising revenue across identified audiences across all platforms. 
  • Measuring the audience impact: Aggregated data from an engine that houses hundreds of billions of data points will improve the acquisition, engagement and monetization of audiences when fed into the rest of the Adobe Marketing Cloud activation capabilities. 

A robust partner ecosystem will help media companies stand up subscription based video services

Adobe Primetime is a trusted provider for the delivery of multiscreen experiences at scale. To make it quicker and easier to stand up the most engaging subscription based OTT video services, Adobe has partnered with the top companies in system integration, video distribution, subscription billing, and customer identity management. Here’s what these partners have to say about Adobe Primetime OTT:

Barbara Venneman, Principal at Deloitte Digital says, “Media companies are seeking the opportunity to build a stronger, more direct relationship with viewers. It starts with tested solutions implemented by a creative digital consultancy, which is why Deloitte Digital is excited to be working with Adobe to help media companies plan and launch OTT video services quickly, cost-effectively, and at scale.

Bill Wheaton, Executive Vice President and General Manager of Media at CDN services provider, Akamai says, “We expect online video traffic from our OTT customers to be orders of magnitude larger in the future than it is today. Adobe Primetime OTT and Akamai puts broadcasters, cable networks and service providers at the center of this growth where they can capture the time, attention, and loyalty of video viewers on a massive scale.”

Craig Barberich, Global Head of Media at Zuora says, “Traditional media companies will fully embrace OTT with the support of software-as-a-service solutions like Adobe Primetime OTT.  As the global leader in subscription monetization, Zuora understands that once they’ve gone OTT, they’ll innovate on pricing and packaging to find more flexible and compelling ways to monetize their services.”

Adobe Primetime OTT makes it possible, from the moment a viewer logs into a streaming video experience, for the experience to travel with them across devices and be fully customized to key aspects of a viewer’s identity, including age, gender, location, interests, viewing history and more,” said Patrick Salyer, Gigya’s CEO. “Understanding customer identity is crucial to delivering personalized over-the-top customer experiences, and we’re excited to be partnering with Adobe on Primetime OTT.”

For more information about Adobe Primetime OTT, enabled by Adobe Marketing Cloud, read the official announcement.

Surfacing the Right Videos for Each Viewer with Adobe Primetime Recommendations

Every provider of a multiscreen TV experience shares a common challenge, which is to highlight the videos that are the most likely to appeal to each user. Today, we’re introducing Adobe Primetime Recommendations, enabled by Adobe Target, to address this challenge. Adobe Primetime Recommendations allows customers of our multiscreen TV platform to use machine learning to intelligently surface data-driven, personalized video recommendations that play back instantly. This is just one of many ways that Adobe is using machine learning to amplify human intelligence.

Adobe Primetime Recommendations helps our customers increase viewer engagement with their sites, apps, and digital marketing content through:

  • Better Data and Leading Algorithms - Adobe Primetime Recommendations uses a massive data repository and multiple industry-leading personalization algorithms from Adobe Target to make the best, most relevant video recommendations for each user.
  • Continuous Optimization — Adobe Primetime Recommendations helps customers identify the best algorithms to make video recommendations and the best layouts to display video recommendations through the use of A/B and multivariate testing.
  • Instant Playback — Adobe Primetime Recommendations provides an instant playback experience by telling Adobe Primetime TVSDK which recommended videos to preload with Instant on.

We’re excited to see how these advantages of better data, leading algorithms, continuous optimization, and instant playback help our customers produce the next generation of TV recommendations.

Adobe Primetime Wins Cablefax Tech Award

Today, Adobe Primetime was honored with a Cablefax Tech Award in the “TV Everywhere/Authentication System” category. Cablefax’s Tech Awards “salute the forward thinking tech gurus who continue to revolutionize cable technology with their amazing products, campaigns and partnerships.” Thank you to the Cablefax judges for validating our work helping broadcasters, cable networks and service providers create, deliver and monetize engaging and personalized TV experiences across screens. And congrats to all the other industry players who were recognized for their innovative work helping move the industry forward.

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2016 is shaping up to be a big year for Adobe Primetime and the industry at large. We have some exciting news along with customer and partner momentum coming at Adobe Summit (March 21–24) and The NAB Show (April 16–21) so stay tuned and hope to see you there. Speaking of NAB, our Primetime VP Jeremy Helfand will be speaking at NAB’s Online Video Conference on a TV Everywhere panel focused on meeting the multiscreen challenge. Stop by and check it out on Tuesday, April 19 at 3:45 p.m.