A vision for the future of the media industry5 September 2014
In a new series of weekly features, TVBEurope will showcase a featured white paper from our NewBay Connect repository. We start with an excerpt from Avid Everywhere: A Vision for the Future of the Media Industry.
A vision of the future
The media industry is facing a period of unprecedented change. From the way media is produced and managed to the methods used to protect, optimise, distribute, and analyse content, every part of the value chain is being affected. These changes have created enormous pressures – and opportunities – for media organisations and creative professionals. The market forces behind these challenges can be categorised around three key industry pain points:
The accelerated digitisation of the media value chain
Technology has enabled almost every aspect of how we live to become increasingly digitised. It is not surprising that the social desire to connect more directly, efficiently, and powerfully is also impacting the media industry. But the acceleration of this seemingly obvious digitisation trend is having a massive impact on the media industry and fundamentally altering the value chain that has been in place for decades. At its simplest, the creative side of the value chain is fusing with the business (or monetisation) side, causing the two previously separate components to be inexorably linked, and providing the opportunity for a more interactive, powerful, and efficient connection at every step from creation to consumption.
The ‘consumerisation’ of content creation and distribution
Gone are the days when content creators had the ability to dictate when, where, and how consumers enjoyed media. Not only are today’s consumers more sophisticated than ever, they’re empowered to create and consume content anywhere, anytime, through any device and any format. This ‘consumerisation’ has increased the cost and complexity of monetising assets, as multiple formats, distribution channels, and devices have proliferated. Technology has also enabled content customisation, tailored delivery models, and created more sophisticated consumer analytics. As a result of all these factors, there is now intense competition for share of the consumer’s wallet and viewership. At the same time, it is now possible to understand consumption patterns, profiles, and preferences, allowing an increased opportunity to monetise digital assets in ways that previously could only have been imagined.
Relentless pressure for operational efficiency
Across the media industry, unrelenting cost pressures combined with drive for top-line revenue growth are making a significant impact on spending priorities. While some IT budgets are growing slightly, strategic investment priorities are reorganising away from creative solutions and towards solving the challenge of monetising, protecting, repurposing, and optimising content. Organisations are facing increasing technical and monetisation complexity in the creation, protection, and distribution of high-quality, branded media assets – and looking for innovative ways to solve these issues. Technology integration, vendor management, and interoperability challenges have made already limited flexibility, agility, and innovation even more difficult. The need for innovative thinking in the industry is obvious.
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