Ongoing investments in technology and broadband network infrastructure have expanded coverage, capacity, bandwidth and connectivity to the point where consumers and their devices are always connected and always on. These developments support an ever-expanding supply and diversity of content, experiences and applications that can be delivered directly and digitally to users.
The mobile consumer
As spending grows, the connected mobile device is rapidly becoming consumers’ primary means of accessing E&M content and services across virtually all markets worldwide. That makes it imperative for content creators, distributors and platforms to develop the means to reach and monetise mobile consumers directly through mobile experiences rather than through traditional sales and distribution approaches.
Need for new sources of revenue growth
Many sectors of the E&M ecosystem are showing weak, stagnant or even declining growth. Players will find that the streams that nourished them in previous years will not be flowing with the same force. Simultaneously, telecommunications companies face stagnant core businesses and are looking at E&M as a growth driver of products, services and experiences. Every company in the E&M ecosystem is racing to develop new revenue streams, especially in digital.
Value shift to platforms
As entertainment and media has digitized, social media and technology platforms have become the primary beneficiaries of users’ growth in time and spending. The platforms have shown greater effectiveness in monetizing across advertising, subscriptions and transactions. These platforms are playing a more prominent role in content creation. In parallel, many publishers, especially in video, are investing in their own platforms and seeking to become more proficient in technology, data and digital delivery.
Consumers no longer want one-size-fits-all E&M experiences determined by network programmers or publishing editors. Neither do advertisers. As a result, data analytics and technology that can support better decision-making with respect to content, distribution, user experience and monetisation have become increasingly critical to success in the E&M marketplace.