
Technology market analysis and consulting firm Ovum has launched a study with Nativ, the media logistic software developers, defining the growth of the market for Media Logistics Platforms.
Media Logistics Platform (MLP) is Ovum's newly coined term to define the logistics software businesses that manage the processes of production, ingest, post production and transfer of media and data to broadcasters and Online Video Platforms (OVP). As cloud and file based-workflows become mainstream, MLPs are a vital service segment of the premium media market. With a current potential value of £100m across the core markets of Europe, North America, APAC, South America and Middle East and Africa, the total addressable market is set to quadruple in value over the next four years to be worth £400m by 2018.
Driven by the disruptive threat of new media players such as Google, Amazon, Apple, Netflix and Spotify, many traditional media companies have created new personalised, multi-screen services. Consumers have embraced these new services and this is now core business to content owners.
The media market is moving towards a model of mass personalisation and this has driven investment in developing platforms to deliver personalised media services, as well as creating a market segment of hosted platforms to deliver these services, labeled the Online Video Platform market (OVP).
However the growing maturity, audience volume and revenue yields from these multiscreen services is exposing failings of traditional systems and processes for media management and logistics and this is becoming a choke point for growth of multiscreen services as all parties in the media supply chain wrestle with the cost and complexity of format and platform fragmentation.
Adrian Drury, consulting director and practice leader: IT, Media & Telecoms at Ovum, said: Just as the OVP market has seen rapid growth and an accelerated journey to maturity, so the MLP market is now set for growth as premium media companies look to solve the media management and logistic challenges that are today acting as an impediment to growth. In this study we look at the rapid uptake of this platform and predict massive growth across all territories for these services. Any premium media company who wants to continue to grow will need to get these services right. The core driver for growth will be the growth of multi-screen media end markets, the growing complexity of media management and the increasing maturity of technology and platform strategy at media companies.
Media companies are not the only applicable market for MLPs. As brands are increasingly becoming their own studios and content service providers, so they too have need of platforms to help them manage their own media.
Jon Folland, MD of Nativ, said: At Nativ we have seen first-hand the value of the services we offer to this exploding market. Managing the production, post production and distribution of content on a single platform can offer a high degree of workflow automation, visibility and huge costs savings. New MLPs provide an answer to what has traditionally been a very manual, costly and erroneous business. Clients such as ITV and Audi use Nativ's platform to take back control of their content to enable them to build the complex workflows to manage their media and deliver to these different platforms.
This topic is examined in detail in an Ovum white paper published today entitled A market who's time has come: the Media Logistics Platform', and is available for download on the Nativ website here.
www.nativ.tv
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