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America’s broadcasting and cable companies have a rich history of creating great content and delivering large audiences that advertisers covet.  They also perfected a direct sales supply and demand business model that has, for the most part, survived the digital invasion.  But things have changed…

Digital disruption has rippled across the media landscape for over two decades now, and while television has fared better than their print media counterparts, accelerated disruption from Facebook and others is now hitting video publishers harder than ever.  Much of the disruption falls into three categories:

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As web browsers move rapidly to sunset their support for Flash, companies that rely on Flash for video playback are being forced to make changes. Apple has led the charge in driving the need for this change by disabling Flash by default in Safari 10, and Chrome, Firefox, and Microsoft’s Edge are quickly following suit. Some media companies migrated to HTML5 video players in early 2016 in anticipation of these industry-wide changes, but others have remained in a ‘wait-and-see’ mode to see if Flash really is going away.

Companies that haven’t moved to an HTML5 video player are now stuck between a rock and a hard-place. For them, its either risk the impact of Flash being disabled and react as needed, or remove this risk at the expense of making this migration an immediate priority. The reticence of those that remain reliant on Flash has to do with not being able to properly evaluate the risk and effort involved.

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Convergence has been one of the main themes in video during 2016, as more content traditionally delivered via broadcast channels is being converted to digital streams. The marketplaces of the future - programmatic or otherwise - are beginning to form as media owners piece together a range of sales techniques to maximize their yield. Some of the big trends and changes we expect to see in 2017 are:

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The television viewing experience has changed dramatically over the last few years, moving from a TV set in the living room to mobile devices with HD screens that travel wherever you go. Not only has the device that we watch TV on changed, but the dynamic of how we watch has also undergone a fundamental change. TV viewing is no longer a family activity, with multiple family members watching the same show.  Rather, it’s now an individual activity, with different members of the family watching different programming at the same time, often in the same room.  

For content distributors and programmers, the effects of this shift are further exacerbated due to the sheer volume of quality video content being produced and widely available to consumers.

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In the media business, content is king, so content traditionally (and understandably) takes priority over user experience. But priorities are shifting as streaming evolves into a more complex, competitive space where differentiated products can make a big difference to the bottom line.

To truly personalize discovery, Comcast is investing heavily in improving how its customers search and browse content. And by valuing its personalization tech at $1 billion a year, Netflix firmly established that a truly personalized entertainment platform presents large opportunities for companies trying to hit the moving target of user expectations.

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As readers of VideoNuze know, live sports is the last bastion of hope for TV execs that want to retain their legendary grip on Madison Avenue. So it’s no surprise The Wall Street Journal catalyzed media insider rumblings with its October 6th piece entitled “Ratings Fumble for NFL Surprises Networks, Advertisers: So far this season, viewership on major networks is down about 10% from last season.” Writers have followed-up with speculation about why the NFL is experiencing the decline.

Is it the content? Perhaps Presidential politics are blame; maybe it’s the “Kaepernick effect”; or, it could be an unlucky streak of boring games.

Is it the disruption of TV ongoing? Perhaps younger viewers are catching the highlights and recaps they need on Social Media. Or young adults might be watching online; or doing something else entirely.

When it comes to questions about the future of Sports Television, Social Media has important things to say. New research from Ring Digital llc gives us insight into the challenges and opportunities facing Sports TV as Social Media consumption grows.

Here are some fascinating findings along with the Thuuz Sports perspective on one possibility that no one’s talking about.

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It’s no secret that Google, Facebook, Amazon, IBM and Microsoft have begun using AI for commercial purposes, and now, numerous marketing and advertising agencies have begun to follow suit. Indeed, AI has begun to permeate the marketing and advertising industry because of its capacity to process, analyze and optimize big data in ways heretofore impossible.

As a result, we are seeing a revolution in digital advertising, including in the video sector, and in particular, programmatic advertising; and it’s a revolution that’s only just begun.  In fact, industry experts believe that what we see today is just the tip of the iceberg of what we will see four years from now when AI will have an even more profound impact on marketing and advertising.

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The pay-TV industry has undergone a seismic shift since the introduction of OTT streaming. Although broadcast TV viewing remains robust in the U.S. with TV’s weekly reach remaining steady at 86 percent in Q4 2015, according to Nielsen viewing figures, both online video and subscription video on demand (SVOD) services, like Netflix, are growing. SVOD penetration rates in the U.S. are currently around 20 percent but are expected to reach 30 percent by 2020. Online video streaming is on the rise as well. As YouTube points out on its own website, consumers watch “hundreds of millions of hours” of its content on a daily basis.

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