Future of iDTV: opportunities, consumer behavior and business models

By Saky Kourtidis on 7 July 2010 in New (ways of using) Media | Comments Off

In the current context of digitalization and technologies convergence, a radical change is occuring in the world of Marketing and Advertising. At Cleverwood, we believe the radical change will be particularly important for the Television, this industry is facing big challenges and traditionnal Broadcast probably has to be re-thought.

Due to this growing complexity and the difficulty to anticipate the rapid technological evolutions, future is blur and many questions are raising for the entire ecosystem in this sector:

• Is interactive digital television a commercial and strategic opportunity ?
• What are the possibilities to bring new revenues ?
• Is interactivity a response to technologies convergence and why this interactivity is changing consumer behavior ?
• Are traditional business models changing and what will be the future ones ?
• …

Whitepaper

With all those questions in mind, Cleverwood asked me to take the opportunity of my traineeship in 2009-2010 to produce a white paper taking a deeper look at these radical changes.

1. Situation

The document focuses first on the environment by pointing out the effects of digitalization and technologies convergence on Television industry which can be summarized in the following elements:

• Audience fragmentation
• Media consumption evolution
• Competition intensification

2. SWOT

In the second chapter, I decided to address the reasons why traditional TV seems to be threatened and explores how interactive digital television can be a leverage for the market. To answer this question, it points out the reach of iDTV today and its strategic opportunities.

3. Strategic Analysis

Strategic analysis: in the third part of the document, I decided to also bring a view on all industry actors and their role in this new television landscape, followed by a Marketing analysis focusing on the impact of interactivity on consumer behavior.

In addition to that, the white paper argues that even if interactive digital television seems to be an interesting and valuable new channel for advertisers, budgets allowed to it are yet insignificant, and try consequently to explain the causes and bring creative solutions.

4. Future business Models

Finally, I decided to work on future business models, describing value propositions and new possible revenues from content and advertising by analyzing on-demand content opportunities and new interactive tools on TV such as “Walled Garden”, “DALs” or “iADs”.

Presentation

After having discussed these questions and the opportunities linked to interactive digital television in Belgium with many different actors and with several Cleverwood consultants, I got the opportunity to present and debate this white paper during a Cleverwood Friday Session on Friday 26 of February.

Here is the presentation that I prepared for the session, it summarizes the complete version of the white paper which can be requested by sending a mail to idtv [at] cleverwood [.] be .

A pdf version of the Executive Summary (in French) can give you an idea of what the entire document is about.

Tags: Belgacom, business models, consumer behavior, Executive summary, friday session, ICHEC, IDTV, new media, opportunities, saky kourtidis, Telenet, TV, voo, white paper