[opendtv] Re: brucegoerlich.com: The Transformation of Video on Demand

  • From: Craig Birkmaier <brewmastercraig@xxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Tue, 08 Dec 2015 07:47:57 -0500



Regards
Craig

On Dec 7, 2015, at 8:25 PM, Manfredi, Albert E <albert.e.manfredi@xxxxxxxxxx>
wrote:

Very interesting article, if somewhat dated now. This mainly talks about use
of VOD from inside the walled garden MVPD offerings, but it also explains
what's going on outside those garden walls, with movies from OTT sites.

Actually it covers all sources of VOD.

One big take-away is that TV shows have benefited a lot from VOD
availability, even just within those garden walls.

Yes. Once the networks realized they could benefit from making shows available
for catchup and binge viewing the percentages took off.

Unfortunately, this article tells us nothing about real numbers. As we have
discussed before, t is possible to see huge percentage growth off of small
numbers.

I also question this report, as it flies in the face of MANY reports that tell
us Netflix accounts for a much higher percentage of all OTT streaming than
these numbers indicate.

This, combined with the stat that 53% of TV is now being consumed on demand,
makes me very much doubt the old truism that the linear channel is the most
valuable distribution pipe for TV. Or at least, it makes me doubt that the
consumer thinks so.

You are playing with facts again. A big portion of the 53% is from DVR. I guess
you can call this "on demand," but it is NOT OTT streaming.

I also question the other truism, that network TV is being watched less.
Looks like VOD may have turned that around, although the numbers aren't
specific enough to be sure. The numbers don't specify what type of "TV
entertainment" has shown the huge gains, but my bet is that it's mostly the
network shows.

This does not appear to be the case. From Neilsen:

http://sites.nielsen.com/newscenter/total-audience-a-framework-for-consistent-measurement/



Total video viewing is flat. Live and time-shifted TV still represent a very
large percentage of viewing minutes, so measurement of the Total Audience must
include the C3 and C7 ratings. But this percentage is changing as consumers
move across platforms, across time and across ad models.

-----------

A few comments about the info above...

Neilsen includes DVR time shifting with live viewing. This accounts for the
relatively small percentage of non-traditional viewing in the graphs above. I
would also be a little suspicious of their members as well - almost all of
these studies have some built in bias.

The article tells us that total viewing us flat. That's actually good news for
the broadcast networks, as it appears that making shows available in he C3/C7
Windows has staunched the bleeding.

And finally, take a look at the connected devices share in the graph on the
right. Those are the little boxes you hate.

Regards

Craig

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