M+E Daily
M&E Journal: Integration of Linear and Non-Linear Technology Platforms – A Blueprint for Consideration
Story Highlights
By Subhankar Bhattacharya, Global Practice Head Media & Entertainment, HCL Technologies
Talks about an integrated approach to linear (television/on air) and non-linear (online/broadband) content value chains have been making rounds in the television network industry for several years. At the back-end (supply chain) of the content value chain, progress has been limited to the cost driven initiatives such as a shared digital asset management system or a shared infrastructure platform. However, organizations today have become more ambitious and experimental in the front-end (consumer experience) of content value chain through several new revenue driven initiatives such as TV Everywhere, live broadband streaming, etc. With digital upfront (NewFront) in full swing and consumer expectation about seamless multi-screen experience on the rise, the process of linear & non-linear integration may get a much needed boost from business/brand owners within the industry. This paper outlines an approach toward linear and non-linear technology platform integration within the context of this evolving environment.
Business Context
Video content is the primary asset of the television network industry. While the total advertising spend on nonlinear (online) video was only USD 1.42 Bn in 2010, the forecasted cumulative average growth rate (CAGR) for this channel is a whopping 31 percent. During the same period the forecasted growth rates for television advertisement spend is only 3 percent. By 2016, that could take the share of non-linear video advertisement revenue to 13% of the linear (TV) advertising revenue from its current share of 3 percent.
