OTT Tech Spend Is Rising and Content Owners Must Experiment Now to Reap the Benefits
22/04/2019
Wednesday, April 17, 2019 - 14:01
Print This Story
Sports operators worldwide are now spending 15% of their total budgets on over the top (OTT) broadcasting, meaning that by 2021 more than $6.8 billion will be invested in the OTT tech stack in North America alone, a new study has shown.
According to a new report from Deltatre, demand for content has evolved beyond the living room with 39% of consumers watching four or more hours of sports programming on mobile per week and one third of consumers citing 5G as a technology expected to have the most significant impact on sports content consumption.
Almost three quarters of those questioned (72%) in the study, titled Where the Money is Going: The Future of Sports Entertainment, said personalisation and a tailored user experience was the most important feature offered by OTT sports services. Almost the same number of consumers (71%) want deeper immersion and a desire to feel closer to the action through the more advanced functionality that OTT can provide.
Meanwhile, for over two thirds of sports fans, £30 per month has become the cut off point for sports content spend. Speaking to SVG Europe, Jason Bradwell, director of product marketing and communications at Massive Interactive, a new division of Deltatre, commented on what this sum should mean to broadcasters, mobile operators, rights holders, leagues and federations who are selling their content directly to consumers: £30 is a sizable figure; it's important to look at this in the context of people's overall media spend. This £30 [denotes] a sizeable chunk [of that] and demonstrates the pull of sports for fans.
On whether that spend will rise, Bradwell added: Do I think that's the cap for evermore? No. Do consumers want more for less? Sure, that's common knowledge. But if they're willing to pay [£30] for content, what are they willing to pay for above and beyond content? There are additional services, products and experiences that an operator can offer in an OTT environment, but not in a linear environment. If you know Jason Bradwell is an NFL Cardinals fan, what can you upsell him, what gamification can you add [to the OTT content experience]? All this is possible in an OTT environment. Operators need to look at cross-selling and up-selling in an OTT environment.
The thing broadcasters and content owners need to do now is to plan for this future where additional services will provide further OTT revenues, added Bradwell. Spend time and money now to see if OTT is going to be a core driver of additional revenues in the future. In 2020 and 2021 the next rights bids will come up; if you leave it too late, you'll lose out.
Tony Page, EMEA president at Deltatre, told SVG Europe it is particularly important for clubs, federations and leagues to take control of their content now: From the league and federations' point of view it would be a short term view not to start investigating that area [now]. They need to know and understand their revenues directly, or content aggregators will do the job for them. It's really about understanding, engaging and controlling the relationship with their fans.
Massive Interactive and Deltatre are working closely with content owners globally to offer them a platform that will enable them to get to market with OTT offerings quickly, noted Bradwell.
The report claimed that investing in new functionality to maximise fan engagement through OTT services results in a 24% uplift in subscriber acquisition.
Bradwell commented: We're still very much in the experimental phase of OTT in sport. It's not about whether it's valuable; it is. But it's experimental as in when a million fans press go' [at the same time, the OTT platform or feed] won't fall down, and seeing whether additional features and functions can be used in OTT, so you're not just copying [the] linear [experience].
The user experience on an OTT platform is key, said Page, who noted: People talk about Netflix being their friend because it doesn't just feel like a piece of tech; you're at one with it if you like, which drives retention and engagement. If multiple sports are carried on a platform, the UX can recommend in the same way.
Added Bradwell: It has to be a targeted user experience. Don't take a one size fits all approach to the UX. Everyone is collecting data across all touchpoints. It's important to find platforms that enable you to use that data to personalise the experience for fans. That's where broadcasters and operators need to be investing.
IP-delivered services from leagues, federations, and operators are the future gateway for sports consumption, with OTT 2.0' expected to emerge by 2021. Insights from senior sports executives suggest the freemium model or family packages will become essential for bringing new consumers into the ecosystem and converting them to fully paid-up subscribers thereafter.
Where the Money is Going focuses on the factors underlying that investment, including consumer viewing trends, subscription patterns, and insights from decision-makers. It was compiled through research of U.S. and UK sports fans, analysis of 1.2 billion minutes of live streamed sports content, and exclusive executive interviews from top sports executives worldwide.
LINK: | https://www.svgeurope.org/blog/headlines/ott-tech-spend-is-rising-and-... |
See more stories from svg |
More from Sports Video Group
24/04/2024
Howie Schwab - Beloved ESPN Researcher, Producer, and Trivia Star - Dies at 63
Howie Schwab - Beloved ESPN Researcher, Producer, and Trivia Star - Dies at 63 By SVG Staff Wednesday, April 24, 2024 - 6:46 am Print This Story | Subscri...
24/04/2024
Miss the SVG Venue Summit at Allegiant Stadium? All Panel Recordings Now Available on SVG PLAY
Miss the SVG Venue Summit at Allegiant Stadium? All Panel Recordings Now Availab...
23/04/2024
Soccer's Appeal to Younger Audiences: Inside the Gamification of European Football Coverage
Soccer's Appeal to Younger Audiences: Inside the Gamification of European Fo...
23/04/2024
With NBA and NHL Playoffs in Full Swing, Never a Dull Moment for TNT Sports Production and Ops Teams
With NBA and NHL Playoffs in Full Swing, Never a Dull Moment for TNT Sports Prod...
23/04/2024
NAB 2024: AT&T Business's Scott Beckett Details Transmission Firepower With Robo Dog, Mini Copter
NAB 2024: AT&T Business's Scott Beckett Details Transmission Firepower With ...
23/04/2024
NAB 2024: Manufacturers Focus on Cinematic Look for Live Productions
NAB 2024: Manufacturers focus on cinematic look for live productions By George Bevir Tuesday, April 23, 2024 - 10:40 Print This Story With live sports pro...
23/04/2024
Save the Date: SVG Sports Content Management Forum Returns to NYC on July 24
Save the Date: SVG Sports Content Management Forum Returns to NYC on July 24 By SVG Staff Tuesday, April 23, 2024 - 4:05 pm Print This Story | Subscribe ...
22/04/2024
NEP Battles Weather to Keep the Going Good for Grand National Coverage
NEP battles weather to keep the going good for Grand National coverage By Adrian Pennington Monday, April 15, 2024 - 11:48 Print This Story The 2024 Grand...
22/04/2024
ITV Racing Under Starters Orders Live at the Grand National Festival
ITV Racing under starters orders live at the Grand National Festival By Adrian Pennington Friday, April 12, 2024 - 09:10 Print This Story The Grand Nation...
22/04/2024
Inside the Deal: EFL Fans to View Enhanced Broadcasts For the Next Five Seasons as IMG Becomes Official Production Partner
Inside the deal: EFL fans to view enhanced broadcasts for the next five seasons ...
22/04/2024
To 4G, or Not To 4G: EMG on Bringing the Iconic 2024 London Marathon to Viewers Globally
To 4G, or not to 4G: EMG on bringing the iconic 2024 London Marathon to viewers ...
22/04/2024
NAB Show 2024: Our Full Collection of Video Interviews From the Show Floor
NAB Show 2024: Our Full Collection of Video Interviews From the Show Floor Industry insights from key leaders on the NAB Show exhibit floor By SVG Staff Mond...
22/04/2024
PENN Entertainment Adds ESPN/Disney Exec Aaron LeBerge as CTO
PENN Entertainment Adds ESPN/Disney Exec Aaron LeBerge as CTO By SVG Staff Monday, April 22, 2024 - 3:18 pm Print This Story | Subscribe Story Highlight...
19/04/2024
NAB 2024 in Review: West Hall - SportsTech Buzz From AWS, Appear, Ateme, The Switch, TATA Communications, Telstra, TVU Networks, Verizon, and More
NAB 2024 in Review: West Hall - SportsTech Buzz From AWS, Appear, Ateme, The Swi...
19/04/2024
NAB 2024 Draws 61,000+ Attendees With More Than Half Attending the Show for the First Time
NAB 2024 Draws 61,000+ Attendees With More Than Half Attending the Show for the ...
18/04/2024
Ping Pong for the Masses: Bringing an Old Sport to a Brand New Audience With World Table Tennis
Ping pong for the masses: Bringing an old sport to a brand new audience with Wor...
18/04/2024
Fanatical Fans: IMG on Bringing the World of Table Tennis to a New Global Audience for WTT
Fanatical fans: IMG on bringing the world of table tennis to a new global audien...
17/04/2024
Live From NAB Show 2024: Zixi CEO Gordon Brooks on Live Cloud Production with the NHL and Version 17 of the Zixi Platform
Live From NAB Show 2024: Zixi CEO Gordon Brooks on Live Cloud Production with th...
17/04/2024
SportsTechBuzz at NAB 2024: Wednesday's Latest From Vegas
SportsTechBuzz at NAB 2024: Wednesday's Latest From Vegas By SVG Staff Wednesday, April 17, 2024 - 3:00 am Print This Story The NAB Show is in full sw...
17/04/2024
Live From NAB Show 2024: Zixi CEO Gordon Brooks on Live Cloud Production with the NHL and Version 12 of the Zixi Platform
Live From NAB Show 2024: Zixi CEO Gordon Brooks on Live Cloud Production with th...
16/04/2024
SportsTechBuzz at NAB 2024: Tuesday's Latest From Vegas
SportsTechBuzz at NAB 2024: Tuesday's Latest From Vegas By SVG Staff Tuesday, April 16, 2024 - 3:15 am Print This Story The NAB Show is in full swing,...
16/04/2024
Live From NAB Show 2024: Calrec's Henry Goodman, Solid State Logic's Tom Knowles on Audio in the Cloud
Live From NAB Show 2024: Calrecs Henry Goodman, Solid State Logics Tom Knowles o...
16/04/2024
Live From NAB Show 2024: The Switch's George Lopez on Remote Production, The Cloud, and the Future of Connectivity
Live From NAB Show 2024: The Switchs George Lopez on Remote Production, The Clou...
16/04/2024
Live From NAB Show 2024: LiveU's Steve Wind-Mozley on IP, REMI Solutions for Light Weight Production
Live From NAB Show 2024: LiveUs Steve Wind-Mozley on IP, REMI Solutions for Ligh...
16/04/2024
Live From NAB Show 2024: Blackmagic Design's Bob Caniglia on Upgrades to ATEM Production Switchers, Recent Work in Replay and IP
Live From NAB Show 2024: Blackmagic Designs Bob Caniglia on Upgrades to ATEM Pro...
16/04/2024
Live From NAB Show 2024: Canon's Staff Gives a Tour of New Lenses, Multi-Camera Control App, Enhanced Use of Free Viewpoint
Live From NAB Show 2024: Canons Staff Gives a Tour of New Lenses, Multi-Camera C...
15/04/2024
SportsTechBuzz at NAB 2024: Monday's Latest From Vegas
SportsTechBuzz at NAB 2024: Monday's Latest From Vegas By SVG Staff Monday, April 15, 2024 - 3:00 am Print This Story The NAB Show is in full swing, a...
15/04/2024
Live From NAB Show 2024: Vizrt's Nicholas Jameson on the Democratization of High-End Graphics Tech
Live From NAB Show 2024: Vizrts Nicholas Jameson on the Democratization of High-...
15/04/2024
Live From NAB Show 2024: Sony's Hugo Gaggioni on the Power of Sharing and Connecting Live Production Resources
Live From NAB Show 2024: Sonys Hugo Gaggioni on the Power of Sharing and Connect...
15/04/2024
Live From NAB Show 2024: Lawo's Andreas Hilmer Walks Through HOME Apps, Dishes Latest on IP
Live From NAB Show 2024: Lawos Andreas Hilmer Walks Through HOME Apps, Dishes La...
15/04/2024
Live From NAB Show 2024: AWS' Julie Souza on the Maturation of Live Sports Production in the Cloud
Live From NAB Show 2024: AWS Julie Souza on the Maturation of Live Sports Produc...
15/04/2024
Live From NAB Show 2024: FUJINON Lenses' Stosh Durbacz on the Debut of the Duvo HZK14-100mm Lens, Adding Cinematic Feel to Broadcasts
Live From NAB Show 2024: FUJINON Lenses Stosh Durbacz on the Debut of the Duvo H...
14/04/2024
SportsTechBuzz at NAB 2024: Sunday's Latest From Vegas
SportsTechBuzz at NAB 2024: Sunday's Latest From Vegas By SVG Staff Sunday, April 14, 2024 - 12:41 am Print This Story The NAB Show kicks off today, a...
14/04/2024
Live From NAB Show 2024: Program Productions' Bob Carzoli on Investment Growth and Supporting Freelancers with the ProCrewz App
Live From NAB Show 2024: Program Productions Bob Carzoli on Investment Growth an...
14/04/2024
Live From NAB Show 2024: Appear's Thomas Bostrm Jrgensen, Alex Pannell, and Ed McGivern on Backing the Continued Growth of Live Sports
Live From NAB Show 2024: Appears Thomas Bostr m J rgensen, Alex Pannell, and Ed ...
14/04/2024
Live From NAB Show 2024: Amagi's Dan Marshall on Migrating On-Prem Data Centers to The Cloud and the Exciting Growth of FAST Channels
Live From NAB Show 2024: Amagis Dan Marshall on Migrating On-Prem Data Centers t...
14/04/2024
Live From NAB Show 2024: Ross Video's David Ross on Celebrating 50 Years with Major Product Intros
Live From NAB Show 2024: Ross Videos David Ross on Celebrating 50 Years with Maj...
14/04/2024
NAB 2024: NHL, Verizon Business, and AWS Roll Out 5G-enabled Cloud Broadcasting Solution
NAB 2024: NHL, Verizon Business, and AWS Roll Out 5G-enabled Cloud Broadcasting ...
12/04/2024
Inside the MultiVersus NHL Face-Off' Live Animated Broadcast With the NHL's David Lehanski and Keith Horstman
Inside the MultiVersus NHL Face-Off' Live Animated Broadcast With the NHL...
12/04/2024
NAB 2024: Suppliers Continue To Expand Networked-Audio Offerings
NAB 2024: Suppliers Continue To Expand Networked-Audio Offerings New and updated products boast IP and ST 2110, software systems, virtual control By Dan Daley,...
12/04/2024
Amazon Prime Video Chooses Onsite Production Path for Its 27 NWSL Matches
Amazon Prime Video Chooses Onsite Production Path for Its 27 NWSL Matches The streamer made its league debut with the 2024 NWSL Challenge Cup on March 15 By Kr...
12/04/2024
ESPN Rides Wave of Women's-Hoops Momentum Into WNBA Draft Production at Brooklyn Academy of Music
ESPN Rides Wave of Women's-Hoops Momentum Into WNBA Draft Production at Broo...
12/04/2024
SVG New Sponsor Spotlight: Mimir's Andr Torsvik on Enabling Remote Collaboration Through the Cloud
SVG New Sponsor Spotlight: Mimir's Andr Torsvik on Enabling Remote Collabor...
12/04/2024
Inside the MultiVersus NHL Face-Off Live Animated Broadcast With the NHL's David Lehanski and Keith Horstman
Inside the MultiVersus NHL Face-Off Live Animated Broadcast With the NHL's D...
11/04/2024
Case Study: Inside ESPN's Monday Night Football AR Graphics Launch
Case Study: Inside ESPN's Monday Night Football AR Graphics Launch By SVG Staff Thursday, April 11, 2024 - 8:18 am Print This Story | Subscribe Stor...
11/04/2024
All Love: Creative Media Producer Jhalen Wingate on Capturing South Carolina Women's Basketball's National Championship
All Love: Creative Media Producer Jhalen Wingate on Capturing South Carolina Wom...
11/04/2024
Miami Marlins Leap Into Artificial Intelligence With 2024 Team Open
Miami Marlins Leap Into Artificial Intelligence With 2024 Team Open The Famous Group played a pivotal role in its third consecutive project with the club By Kr...