Riding the Big Data and Analytics Wave Surfing New Opportunities with Customer and Qoe Insights

ottexec.com/magazine Fall 2018 Riding the Big Data and Analytics Wave Surfing New Opportunities with Customer and QoE Insights

Nothing to See Here Executive Q&A Using Metadata to Fuel Discoverability Nick Buzzell, CEO Trial and Error NBTV OTT Subscription vs. Ad-Supported Services Ryan Chanatry, General Manager By the Numbers First Look Media What Can Data Tell Us About OTT QoE? Ariff Sidi, Chief Product Officer Herding Cats Verizon Digital Media Services Content Options Have Exploded—Big Data is the Lasso

The Great Escape Can Big Data and Addressable Advertising Stop the Viewer Exodus?

Big Social How to Tap Into Social Networks to Understand Customers For more information: [email protected] June 2019 • NYC Past Sponsors Past Speakers Inside this Issue

Case Studies 18 Qligent Quad-Play Case Study by Ted Korte Executive Q&A 9 NBTV’s Nick Buzzell, CEO 20 First Look Media Topic.com’s Ryan Chanatry, General Manager 23 Verizon Digital Media Services’ Ariff Sidi, Chief Product Officer For more information: [email protected] Trends & Analysis 5 Ad Supported TV: Yesterday, Today, and Tomorrow by Michael Smith June 2019 • NYC 10 Big Data Accelerates the Great Escape from Advertising by Mark M. Myslinski 16 Big Data Grows in the IP and OTT Landscape by Ted Korte Executive Insights 4 Big Data is Boring, But Necessary by Brian Mahony 7 Android TV Operator Tier and the Future of the Set Top Box by Bruno Pereira 14 8 Reasons to Be Excited About the Impact IMF Will Have on Content Localisation by Dom Bourne 26 Is Everything Old, New Again or is Everything New, Old Again? by Scott Calka Best Practices 24 Using Metadata to Fuel Discoverability by Rhodes Mason 28 Picking a Technology Partner for Your OTT Challenge is Critical by Scott Puopolo 30 Using Data and Analytics to Understand the “Why” Behind TV Content Viewership by Cory Sher

OTT Executive Magazine Volume 7, Issue 4 - Fall 2018 Published by: Trender Research Inc., 24 Village View Road, Westford, MA 01886 [email protected] taff Copyright 2018 by Trender Research, Inc. S The contents of this magazine may not be reproduced in whole or in part without the Brian Mahony CEO, Trender Research expressed written consent of Trender Research, Inc. Founder, OTT Executive Magazine Subscriptions: www.OTTexec.com/magazine • Yearly printed/mailed subscription in Editor-in-Chief the U.S.: $39.95 Nichole Janowsky Publications Manager Advertising: [email protected] OTT Executive Magazine Editor Disclaimer: Some submitters may be charged an editing fee to ensure articles are well-written and not overly promotional. Andrea Nelson Director of Operations Printed in the USA OTT Executive 3 Fall 2018 Magazine Executive Insights Big Data is Boring, But Necessary By: Brian Mahony

ou know an industry has grown up when day. And I think this is in large part due to you are writing about boring things the growing use of big data and analytics Brian Mahony is the Y CEO and Principal like big data and analytics. I say this half tools. One could argue that this is in fact Analyst of Trender in jest. In these pages we’ve covered lots one of the major reasons WHY the OTT Research. He is also of important topics. Content is king. User industry has life and purpose— to break out President of the 45,000 member OTT Executive experience fragmentation. Monetization. App of the impersonal, linear, broadcast mindset Community— a vibrant integration. Social TV. Quality of experience. and to get to know the viewer a lot better. and growing network You name it. We’ve looked at larger trends To provide a more personalized content of TV and video pro- and strategies and business models, and have library. To serve up more relevant ads. To fessionals engaged through social media, taken deep dives on the technology as well. better tailor bundles to willingness to pay. publications, and All the while, the industry has continued To deliver an entertainment experience to events. Brian has 25 years experience with consum- to mature. To the point now where we are niche communities with long-tail content that er-oriented technology products and companies. approaching the 30% cord-cutting threshold speaks to them. All of these things. and the vast majority of households use at So this issue of the magazine is all about quality of experience to customers. least one OTT service every day. how we use data—about the viewer, the But somehow it always goes back to But you haven’t really “made it” as an content, and the network—to provide a better the emotional value of content. TV Time’s industry until you start to be interested in video service. And we look at the tools and Cory Sher takes us there by defining the the less shiny objects. When you start to platforms that help us analyze the data. connection between data analytics and try to find ways to extract that extra 10% To get things started, we get a little viewer engagement. Rounding things off is in profitability. When your ads grow from history lesson from Michael Smith, former a treatise by IVA’s Rhodes Mason on using $15.37 CPM to $17.83 CPM. When your top brass with Scripps Networks Interactive. metadata to improve discoverability. video abandonment metrics improve just a Michael sets the stage by reviewing the three In addition to our Big Data theme- little. When your engagement metrics show major waves since the start of the television orientated articles, we have our usual faire a slight upward trend. In short, when all industry. My take-away? The industry likes of strategic insights, trends, and technical the little boring things reveal that you are to make money through advertising, but analysis. Thanks to TV App Agency’s Bruno now managing a healthy, growing, “real” before “big data” they pretty much only had Pereira for explaining how Android’s TV business. “learn from our mistakes” as a guide. Operator Tier will shape the future of the set- That is where the OTT industry is now As part of our ongoing “Executive Q&A” top box. And to add a little excitement, Take and it’s only becoming more “real” every series, we interviewed a few thought leaders. 1’s Dom Bourne gives us eight reasons to get NBTV’s Nick Buzzell pumped about the new global IMF standard shares his insights on big for content localization. Ever wonder what data’s role in addressable happened to Volicon? Verizon Digital Media advertising and how Services Ariff Sidi fills us in. Crossover social media data helps Media’s Scott Calka applies lessons from with content discovery. the legendary 1969 Woodstock concert to Ryan Chanatry, First today’s ad-supported OTT market. And Look Media’s GM for finally, and close-to-my-heart for a guy who Topic.com, chimes in works on vendor selection projects for OTT with his perspective video service providers, Telestream’s Scott on how social data Puopolo shares best practices for picking an informs his decisions on OTT technology partner. programming. All in all I feel pretty good about providing Mark Myslinski some compelling reading on what some may returns with another consider a “boring” topic. But if it’s boring to well-researched piece watch the bank account of your OTT service highlighting Big Data’s grow then this issue is for you. � power to differentiate consumers. I also really like Qligent COO Ted Korte’s article on ways Big Data is crucial for delivering a premium

4 Trends & Analysis Ad Supported TV: Yesterday, Today, and Tomorrow By: Michael Smith

rom its early beginnings the television As early as 1931 major radio and TV set Michael Smith is the Findustry has experimented, failed, and manufacturer Zenith started investigating former SVP GM of succeeded, with both ad supported and the field of subscription television, believing Digital Video Channels subscription revenue models. There have that advertising revenues alone would not for Scripps Networks Interactive. He’s spent been periods when one or the other model be able to support an adequate number of his 30 year career at has been dominant, and times when both TV stations and the programs the public the intersection of have thrived together. Ad-free subscription would want. Zenith leadership thought that media, technology, and culture, applying (SVOD) services like Netflix and Amazon TV and the advertising industry were caught creative and strategic Prime are dominating the early innings of up in a “vicious triangle,” where advertisers acumen to launching, building, and repositioning the current OTT streaming era, but if history wouldn’t spend money without a large brands including Disney Channel, Food Network, is any guide, ad supported (AVOD) services audience, but large audiences wouldn’t watch Cooking Channel, and Genius Kitchen. He’s currently committed to creating new video content will be a part of OTT’s future, and will likely without quality entertainment, and the private and brands that leverage the disruptive new ways be a dominant force. companies that owned stations didn’t have people consume content and the increasing diver- the money to pay for quality programming. sity of today’s audiences. He has a B.S. in Science, Technology, and Society from Stanford, and an MBA TV’s First Wave: Broadcast In 1951 CBS’s “Omnibus” debuted, one of from Berkeley. Modern electronic Television was invented commercial TV’s most honored cultural in the 1920s, but widespread television series, but was a financial failure. It took in adoption by the public was slowed by The $5.5 million in advertising revenues during during TV shows, allowing several Great Depression and World War II. During five years on the air, against $8.5 million in companies to use a popular program as an the 1930s and 40s many believed that TV costs. advertising platform together. In 1958 ad would not thrive long term as an ad supported So also, in 1951, Zenith launched expenditures in radio and TV crossed the $2 medium. The Bulova watch company ran Phonevision, a new subscription service billion mark. For the next several decades, ad the world’s first TV advertisement on July based on transmitting scrambled TV signals supported TV revenue dwarfed subscription 1, 1941, but early TV stations experienced that could be descrambled in the home. TV revenue from ventures like Phonevision financial struggles because of overall meager Phonevision offered films, Broadway and Telemeter. advertising budgets. plays, sporting events and other premium programming to be broadcast in the home TV’s Second Wave: Cable ad-free for $1 per program (equivalent The ad-supported vs. subscription balance to $10 in today’s dollars). Viewers were began to shift with the rise of cable TV. Cable required to purchase a descrambler unit that television originated in 1948 to enhance sat on top of the television and plugged into poor reception of over-the-air television both their TV and telephone line. To view a signals in mountainous or geographically movie, customers would call the Phonevision remote areas, but by 1952, there were only operator, who would send a signal via the 70 cable systems serving 14,000 subscribers phone line to allow the box to descramble the nationwide. In the late 1950s, cable operators signal at the purchased program’s designated began to improve the appeal of their product air time. At the end of the month the customer by adding broadcast signals from hundreds would be billed for the program on their of miles away to their channel lineups, regular telephone bill. changing the focus of cable’s role from one of In 1953 Paramount Studios joined the transmitting local broadcast signals to one of ad-free market launching new service called providing new programming choices. By the Telemeter in Palm Springs, CA. The service early 1960s over 1 million homes subscribed allowed users to drop in nickels, dimes to cable. and quarters for a la carte programming. Cable growth stalled in the late 1960s and The Paramount film Forever Female was early 1970s when free ad supported broadcast broadcast through the Telemeter system at TV fought back and convinced the Federal the same time it premiered in the local movie Communications Commission (FCC) to theatre. restrict the ability of cable systems to import But ad supported TV thrived after 1951, distant television signals, effectively freezing buoyed by the post war economic boom and the development of cable systems in major move away from single sponsor programming markets. But in the mid-1970s government to multiple 1-2 minute commercial breaks deregulation of cable spurred renewed cable

OTT Executive 5 Fall 2018 Magazine In contrast to subscription premium offers the best of the digital and linear TV channels, the new ad supported channels advertising worlds with the added capability focused on less premium, more casually for data-driven targeting. In a 2017 study by viewed content like library movies and TV Telaria, half of the respondents said they felt series, news, talk, music, non-fiction, second that watching ads is a fair value exchange tier sports, and lifestyle programming. They for low-cost content. Also, streaming TV ads also tended to focus on specific genre niches, were “less annoying” than those on linear TV, e.g. CNN, ESPN, MTV, Discovery. The according to the respondents. A June 2018 number of ad supported cable networks Hub Research study concurred, finding that grew from just 28 in the early 1980s to 171 more people prefer their content free with ads by 1998, and along the way ad supported (50%) than for a subscription fee with no ads cable network revenue overtook subscription (40%.) premium channel revenue. The ad supported streaming market is heating up. Device platform companies TV’s Third Wave: OTT Streaming Roku (Roku Channel) and Amazon Fire TV system growth and the creation of new, Mark Twain is reputed to have said (IMDB/Free Dive) are aggressively focusing original cable networks (not retransmitted “history doesn’t repeat itself, but it often on free ad supported streaming. According to TV station signals.) rhymes.” Thus far the OTT streaming era Roku, Roku Channel is now the fifth-most The first cable networks were subscription has been dominated by ad-free subscription popular app on their platform in terms of based. A 1967 opinion survey sponsored by business models. Netflix launched ad- reach. Sources familiar with Pluto TV say National Association of Broadcasters (NAB) free streaming in 2007, Amazon Prime total revenue is up over 100 percent year showed that 63 percent of those surveyed Video launched in 2011, and in 2017 Parks over year. Xumo says monthly active users would prefer TV without commercials. HBO Research announced that there were more have increased by 300% in the past year. The launched in 1972 and Showtime in 1976, and than 200 OTT video services available in growing new crop of ad supported services like Phonevision, both focused on ad-free, the U.S., with 87% offering some form of a also includes Newsy, CBSN, People TV, and premium, high engagement content like first subscription option. This is reminiscent of Tubi TV. run movies and sporting events. By the late the beginnings of broadcast TV, when many Most of the new ad supported services 1970s most of the cable industry’s revenues questioned the viability of the ad supported focus on more casually viewed content came from subscriptions to basic service and model, and the beginnings of cable, when genres like news, classic movies and TV premium pay channels. the first national cable networks were ad-free series, reality, and lifestyle programming. The 1980s saw a second generation of subscription services. This content is less appointment driven, new cable channels, this time ad supported. Today the major subscription streaming the type of content that used to be called At the time, the average cost of a basic cable services are spending record amounts to offer “wallpaper TV” and what Cheddar founder subscription was $8 and premium channels the most premium, high engagement content Jon Steinberg recently called “ambient TV.” cost an additional $8-10 each. Cable like first run movies, scripted original series, People are more accepting of advertising companies worried that there was a limit to and entertainment specials. But Netflix still in this type of content as compared to high the amount of extra premium channels people has negative operating cash flow of more engagement content like premium scripted would pay for, so they began including new than $7 per subscriber on an annualized movies and series where ads are more ad supported channels in the basic package. basis; and, in June, Amazon hiked its price interruptive to the viewing experience. They believed it was easier for consumers to by 20% which may be a prelude to Netflix Think of content that you would pause if accept a few new basic channels each year raising rates to cover rising content costs. your doorbell rang while watching – that’s along with a small $1-2 incremental increase Meanwhile, there is a growing price high engagement content. It’s something to their monthly bill. New channels received sensitivity among consumers concerning you’d pay a subscription fee to watch ad a portion of the subscription fee increases, the cumulative cost of multiple SVOD free. Then think of content you’d let play typically a few cents per subscriber, but services. L.E.K. Consulting’s 2017 Media while you answered the door – that’s casual kept the bulk of the ad revenue from their & Entertainment survey found that a quarter content. It’s something you wouldn’t pay for, channels. of consumers feel they have too many but wouldn’t mind watching for free with entertainment-based ads. subscriptions already, So again, like 1980s cable, we may be suggesting that it will moving to a world with a handful of major become increasingly subscription streaming services (Netflix, difficult to get people Amazon Prime, Hulu, Disney, Apple) for to pay for additional high engagement content, and a plethora subscription services. of free or low-cost ad supported services So like 1980s for more casual viewing content. As the cable to overcome traditional linear pay-TV bundle slims down, consumer price many smaller casual content niche channels concerns, the next will not be included in new vMVPD skinny wave of streaming bundles. Much of this content may find services may need new life via ad supported direct to consumer to be ad supported streaming. � with no, or very small subscription fees. Ad supported streaming

6 Executive Insights Android TV Operator Tier and the Future of the Set Top Box By: Bruno Pereira

hen I started in the TV industry I didn’t minds back to EE TV, even though they did even know what a set top box was. But not use Android TV Operator Tier, they used Bruno Pereira is W co-founder of TV a few years later when asked about the future a similar strategy extremely well from a App Agency, which of set top boxes, my response was “I think technology point. launched in 2011 to they’re going to die, soon everyone will want Am I saying that I’m a believer that there provide TV app development and app store to have devices such as Smart TV, Roku, is a new life in set top boxes? No. I still submission, to enable Apple TV, Xbox, PlayStation or a similar don’t see the financial model stacking up brands, production unmanaged device.” long term. For instance, how do you recoup houses, agencies and What I wasn’t counting on when I your initial box costs, and how long will this broadcasters to get onto connected TV. Bruno brings detailed under- responded was that Google would extend take? But companies can’t just stop offering standing of how digital markets develop and an their Android TV product and launch Android these boxes because there is still a significant in-depth knowledge of content management and TV Operator Tier into such a compelling group of consumers that want a plug and deployment. Bruno has many years of experience in the online, mobile and media industries, having product, creating an Uber moment in the play, all in one place, box under the TV. What worked with brands such as F1, IKEA, Air Canada, OTT industry. I now believe is that there is a credible option Bell Canada, BT and Total, amongst others. He also Now the power of the set top box appears to move out of traditional systems like Linux has experience of growing technology companies to be back with the telcos and operators. They or Mediaroom, into a new environment in fast growth markets. He also has a background in content management and ecommerce, having can launch hybrid experiences. They can that enables an easier migration to a future worked with companies such as Intel, Accenture, control the UI from boot to user. They don’t roadmap and at a lower cost. IBM, Bell Canada and Interwoven/Autonomy. need middleware. They can be manufacturer Operators, such as Orange TV in Spain, agnostic. The OS is now under their control, are on the forefront of moving to this new with the added bonus that by using Google world. They have more control to monetize while at the same time enabling operators Play they can also provide access to apps and their quad play offering and deliver better to expand their offering into unmanaged games. content by leveraging partners, including devices including Apple TV, Roku, Smart TV They can expand their content offering Rakuten TV. In some ways, telcos and and more. more quickly and don’t need to buy as much operators are protecting their future where Now for a bit of futurology, will set top content. They can expose other companies’ they know, that going forward, they just need boxes die? No, clearly they are here to stay apps/content to a new audience and provide to keep their set top boxes compliant with for a while longer. But we are seeing a shift existing and new users with more content. Android TV Operator Tier and then keep on where operators are now also offering media All this without the need for a huge OTT / deploying them. devices such as Apple TV as their home TV development team or the expenditure TV App Agency has already successfully devices. You are probably thinking that is usually associated with it. If we cast our developed for Android TV Operator Tier, not futurology, we already know that. Yes, you are correct, but my prediction is that we will see Amazon getting into this space, because their Fire Stick is a great product and very inexpensive (28% of consumers used a Fire TV – according to Fortunes.com, May 2018). It uses Android and has a rich content offering. Alexa (Echo devices) is already in many homes and so this would be just a small step for Amazon. This brings up a new topic. Are we going to see Google, Apple, Amazon or even Facebook dominating in the video space? I strongly believe it! For example, very recently we have seen Amazon and Facebook come out with video devices (rumour is that they will come with camera equipped TV devices), AWS video strategy, and Instagram trying to compete with YouTube. In fact, I just got an email for an e-book titled: “AWS Guide to OTT services.” Everyone is jumping on the OTT

OTT Executive 7 Fall 2018 Magazine the OTT revenue chart with predictions for advertising growth). OTT is also a platform where we can target a user based on their preferences. In the world of OTT, consumers are willing to receive recommendations and accept targeting of relevant content to improve their experience. But flexible platforms can’t be taken just on their own. We need to leverage the data being generated, analyse consumer behaviours, and gather the metadata; then crunch all this data to come up with viable personalization and recommendations. Personalization and recommendation shouldn’t be just another playlist. We also need to improve the UI/UX and create different experiences based on the user’s response; this is why we need more flexible platforms in order to create these experiences. Telcos and operators more than ever need to be creative and forward thinking. We see services like Netflix making significant use of operator networks and generally without them receiving any money from it. Android Source: broadbandtvnews TV Operator Tier now gives the operators the opportunity to quickly move from legacy bandwagon. Analysts predict that the OTT jump on board? We have seen them all systems and offer the latest services in line market is to reach USD $51B by 2020, moving into this space, and the slice of the with consumers’ expectations. � so why wouldn’t all the big names try and advertisement cake for OTT is growing (see

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8 Executive Q&A How Big Data is Shaping the Future of OTT Interview by Brian Mahony with Nick Buzzell

rian Mahony recently connected with industry continues to struggle to blend all Nick Buzzell, CEO of NBTV and speaker of the data points into something easy for Nick Buzzell is the CEO B of NBTV. Nick is a suc- at the OTT Executive Summit in New York, business leaders, marketers, content creators, cessful entrepreneur, and discussed how NBTV is producing award programmers, etc to use to drive their real time producer and media winning content and how they are achieving decision making and consumer engagement. executive with a passion to create innova- success. Big media is chasing scale versus innovating tive media experiences and big Advertising is bringing things in- across multiple plat- Brian: Tell us a little about yourself and your house; while big agencies are changing their forms. Prior to NBTV role at NBTV? business models too late in the game. Nick was an executive at Big Fuel and NBC Universal’s Digital Studios. Nick Media and Advertising companies risk serves on the board of Dress For Success Worldwide Nick: Since NBTV’s inception in 2008, my not understanding today’s consumer while is Chairman of the NATPE NXTGN board and was an team and I have successfully created more technology companies push into the media advisor to the Banff World Media Festival and SOS Children’s Charities. He has been a featured speaker than 700 award winning films, TV shows, domain and create device driven businesses at SXSW, NATPE, Summit, AD Week, Internet Week, web series and commercials for major brands. that are all inclusive. Universities and various film festivals. They were made available on all platforms globally including NBTV’s own premium Brian: How is Big Data changing the way short form digital network, NewBuzzTV, you operate at NBTV? direct to consumer, it’s natively interactive, reaching more than 80 million devices integrated with commerce and it’s in the including Apple TV, Roku and Amazon. Nick: We are using data to quickly understand nascent stages. I’ve always been critical of NBTV is a revolutionary premium how to personalize consumer media calling it OTT because it’s such an antiquated content studio at the nexus of storytelling, experiences and build what the consumer way to describe what’s happening and very technology and the connected consumer. wants versus what business think they want; few people understand its true potential. We believe the future of media is integrated, as that’s the way we see our future: a direct Perhaps until we find a universal way to authentic cross-platform experiences that to consumer driven business coupled with describe Direct To Consumer Interactive interactively communicate to audiences. partnerships between the brands, media Streaming Media Platforms we should just Our end to end creative, production and companies and creators who share these values. call it DTCISMP (I’m half joking). distribution approach helps organizations unfold the potential of their stories and Brian: How is social media changing the way Brian: Congratulations on NBTV Studio’s strategically entertain consumers without people watch, brand and monetize shows? 10th anniversary! I hear there are surprises in interruptive advertising, while monetizing store...anything you can share? across all platforms worldwide. We build Nick: Discovery remains the biggest unique solutions for brands and direct to challenge. Consumers need a way to find all Nick: We have had an incredible 10 year consumer businesses through the power of the great content out there and data can run with a bright future ahead and have of OTT and e-commerce, transforming absolutely help that, but remains disparate and treated ourselves to a new brand identity marketing from a cost to a revenue center. decoupled between providers and platforms. that will continue to roll out in the coming Led by purpose, integrity and vision, our months, and to give you all a hint of the BIG team creates award winning short and long We are still using social media to discover surprises in store, we are launching a direct to form video experiences that include scripted and curate content based on the trusted consumer video + commence channel early and unscripted TV, film and branded content. tastemakers of our individual networks. next year across all devices that will show the Clients include Marriott, Diageo, Coke, We all still very much rely on social media world what’s possible in the this space with IBM, NBC Universal, Cold-EEZE, Walmart, word of mouth to find out what to watch. a personalized consumer first approach. Stay American Express, J&J, etc. NBTV’s talent It’s “hey friends what should I be binge tuned! � management group includes celebrities and watching this weekend” versus having AI influencers (MTV, Bravo, PopSugar) with analytics figure that out for consumers based large social followings and loyal fans. on a total picture of what they watch, like, share, etc blended with their friend’s data. Brian: How do you think Big Data is changing the OTT space? Brian: Where do you think the future of OTT is headed and why? Nick: We are closer than we have ever been to cracking the addressable Advertising Nick: I believe OTT is the future of the code. Yet, with all the data we have the entire media & Advertising ecosystem. It’s

OTT Executive 9 Fall 2018 Magazine Trends & Analysis Big Data Accelerates the Great Escape from Advertising By: Mark M. Myslinski

Gentlemen, no doubt you’ve heard the Identities Changing Mark M. Myslinski is “immortal words of our new commandant: It’s not your parent’s TV anymore. the Principal of Open- devote your energies to things other than Today the statistics overwhelmingly Video Consulting. He escape, and sit out the war as comfortably as identify multiple family members often is a 15 year veteran of the digital cable tel- possible.” If only the consumers of content managing individual companion devices evision industry com- today were to treat the current onslaught of turning the viewing experience into their bined with over 7 years advertising this way. But instead, consumers own personalized programming. Generation recent experience in the streaming media are making “The Great Escape,” and X, Y and Z consumers, in particular, are industry. A major- constantly tunnelling their way to freedom participating in group peer experiences while ity of recent focus on streaming media distribution from advertising. watching a broadcast event. and the challenges associated with live/linear and Promising services, like streaming The old program guide is gone, not broadcast television, both for large scale audiences and high-resolution content. Much of this latter ex- technologies and portable content, literally, but for most consumers it is not perience has been in association with new genera- are unfortunately making their own relevant. Curating their own content and tion and hybrid content distribution networks. Most confrontations to the consumer by assaulting programming preferences into a personalized recently study of ATSC 3.0 advanced services and the next phase of opportunities in the Broadcast them with an onslaught of advertising entertainment program using cloud- based industry. that is disruptive, not relevant or down- technology; DVR, SVOD and social media right annoying. And so the consumers are has become the norm. constantly creating their own preferred safe Within this change, the content of a generation of non-linear-only consumers. havens to bulk entertainment with little to no creators and distributors are challenged Nearly one fifth of U.S. households, 17%, advertising. to differentiate themselves as “who” is exclusively get their video content through For the content providers the goal of providing the content gets confusing with subscription video on-demand only services, this confrontation needs to change. As the the multiple service providers. Identifying according to research from The NPD Group. entertainment experience today is changing providers as “television network,” “channel,” The NPD group also found that among users drastically, so must the goals for influencing “service” and “platform” are currently of subscription video on demand services, the consumer. From that of the traditional being dissolved within the landscape of 40% only subscribed to one, while 24% insertion approach to one whereby the media, entertainment and technology. The subscribed to three or more. Millennials were consumer sees their entire entertainment MET affect as is described by the National the demographic most likely to subscribe to experience, ad media and all, as one cohesive Association of Broadcasters. Even the major three or more of those services, with 42% experience. digital platforms, Amazon, Google and doing so.12 Facebook, traditional Then the non-linear movement quickly tech companies goes a step further when we add in the are getting caught elements of time- shifting.13 up in confusion So including this overall time-shift over whether to movement, we are at a major inflexion point be considered where more non-linear television is consumed tech companies than linear television. But hold that thought, (preference), or as linear television gets re-routed through the media companies.1 emerging forms of consumption. With the Let’s define a term “consumption pattern” consumer, there as what the consumer is consuming and are major inflexion how they are consuming it. Or what we points upon us that could call the consumer’s “digital persona.” are defining who/ SVOD played a major role in enabling the what they are as a definition, since SVOD can be consumed consumer. Let’s start through many different types of devices. with the following, as Then Gen X, Y and Z consumers cultivated consumers are now watching broadcast programming with peer consuming as much groups while simultaneously interacting with Internet content as others on social media. they are television.15 Both these consumption patterns expand Following this we the definition through incorporation of have the emergence various second-screen companion devices.

10 And where the consumer data on these types second-screening, saying they had accessed platforms.” Cross- channel identification is of viewing patterns are not only gathered from content on their mobile device whilst key to…advertising messages to the same the viewer but also from all the interactions viewing a live event on television. This user, Borsa says. Among advertisers, she is with which each consumer is engaged.4 engagement typically includes participating seeing increased demand for tying web to This type of viewing and data intensifies in online conversations, watching mobile to shopper marketing.3 as programming synchronization of memorable highlights from a game, as well companion media and data define yet as behind the scenes footage or interviews, The Big Ad Machine No Longer To Be another level of consumption pattern. Today and looking up interesting stats about games, Feared this aspect in particular is measured as the teams and players/athletes – connection and Advertisers and service providers have level of synchronization within a consumer association.2 traditionally struggled with any change experience from the Coalition for Innovative The power of Big Data is the ability to to the big ad machine because the current Media Measurement’s (CIMM) Trackable differentiate consumers. While delivering the revenues are huge. The combined ad revenue Asset ID (TAXI). 4 same content to different consumers, the Big for liner and digital media is in excess of Data application can source different stories $150 Billion. These companies are not going Consumers are Immersing for each consumer group. Storytelling in a to risk the foundation without first testing Consider square one, where binge multiplatform environment was discussed the capability, or based on some significant watching SVOD in and of itself is an during a panel discussion at NAB 2018 with outside influence they must address. immersive experience. Today, consumers the WNBA. The WNBA in concert with A current outside influence is consumers continue to consume content through a the athletes has established an enhanced are expressing increasing weariness towards multiplicity of outlets where the more level of the sporting event by exposing the the levels of advertising they are asked to intense consumer types base their program stories within the athlete’s lives as part of the consume. A change in consumer attitude selection on what’s available through their experience.11 because of a plethora of unwanted ads will consumption pattern du jour. As for linear have a significant impact on the ad revenue television, as long as there are sporting generated going forward. 5 events and news it will not die, but it must Consider also recent consumer sentiment be reformatted and repositioned within the towards linear programming and the growing plethora of consumption patterns. overabundance of ads. This is making cord The challenge of the immersive cutting and subscription models on the rise, experience is just beginning to be met by where 7.9% of pay-TV subscribers age 18-64 some of the major providers. A relatively new years-old said they were “extremely likely” interactive design trend, generally known to cancel their service in the next 12 months as “discovery,” has arisen to meet it: from and “I don’t watch enough TV to make it simple taxonomies to finely tuned algorithms, worth it” (29%) and “I can watch the TV designs are trying every non-temporal means shows and movies I like on the Internet,” possible to connect consumers to content. were the top two reasons for their intent to Here the major content providers are starting cord-cut.7 to organize TV content outside the traditional Yet the ability to carefully pull the levers “channel and time grid.”13 of the big ad machine is starting to emerge. Advertising neither will escape its Changing ad loads has always been around, requirement to be immersive and relevant but today adequate measures are in place to if the programmers and distributors want to closely monitor this action. In addition, there keep consumers engaged. The possibilities is the ability to follow straying eyeballs to for new monetization models for advertising alternative outlets as the levers are moved. become available as the quality of the Recently, Turner reduced ad-loads in hit experience becomes more effective, relevant shows such as Animal Kingdom and Good and immersive. The immersive advertising New consumption patterns are Behavior. The company gave 10 minutes back spots become of greater value because: a) intensifying in the digital news world as to the storytellers and saw higher commercial the advertiser knows in greater quantity and well. Gen X, Y and Z consumers are fostering viewing, less tune-out, and higher ratings.6 detail what content the consumer is immersed unmet audience needs, particularly as news In other cases, the programming providers in, and b) the advertiser has a more expansive consumers who are turned off by endless now offer cross-platform inventory. Hulu, medium to blend in advertising and in a punditry and talking heads.8 for instance, does not plan to sell its live less intrusive manner to the consumer’s Through Big Data addressable advertising TV inventory on a standalone basis in the experience. becomes less intrusive and more relevant to near future. It’s selling packages across its the consumer. This metadata will be key to ad-supported subscription video and live The Big Data Opportunity Intensifies the success of the targeted ad as it contains TV services, the idea being that advertisers One role of Big Data will be to enable all relevant data on the content including the are buying TV the way people are used to telling relevant stories, and through those rights. watching it: sometimes live and sometimes stories tap into the consumer’s emotion, Better yet, cross-platform cookies are on-demand. intellect and preference. The immersive about to emerge. Alysia Borsa, Meredith AT&T, meanwhile, will look to package experience can be used to unearth the Corp.’s chief marketing and data officer its traditional TV inventory with DirecTV consumer’s emotional connection to any acknowledges the cross-platform tracking Now and even Turner cable channels the piece of programming; the sports fan, in challenge, “I do believe that identity and company now owns thanks to its acquisition particular, is a great example. In a recent particularly cross-platform identity is a of Time Warner. And Sling TV is able to offer study, 80 percent of fans claimed to be challenge for publishers relative to the cross-platform ad inventory across Sling TV

OTT Executive 11 Fall 2018 Magazine solicit to the consumer in the manner they have become accustomed. As Big Data becomes more ubiquitous in the industry, addressability will become more refined based on factors like consumer location, current sentiment and other dynamic elements. Knowing the consumer’s consumption pattern will enhance the value of addressable advertising based on the multiple levels applied while the consumer is immersed in a programming event. Gradually transitioning to the immersive mode for the consumer will enable multiple impressions on multiple screens and, in turn, further increase ad value. �

REFERENCES 1. “Facebook Launches Print Magazine ‘Grow,’ Says It’s Not a Magazine, PublishingInsider, Melynda Fuller, June 26, 2018 2. “How to make OTT sports content more attractive,” TVB Europe, Roger Franklin, May 31, 2018 3. “It’s All About Data: How Magazine Media Wins the Digital Advertising Challenge,” Folio Magazine, Steve Smith, January 16, 2018 4. “ Future of Media and Entertainment,” Ernest and “The Path to the Next New Era Becomes Clear” Young Media and Entertainment Center, Ernest and Young, Fourth Quarter 2013 5. “Live, scalable, addressable, ad-supported TV by and Dish Network.14 file-based insertions, advertisements, and 2024,” Nscreenmedia, Colin Dixon, May 28, 2018 6. “Reduced ad loads not enough to secure TV’s Not surprising, Connected TVs (CTVs) all based on varying rights management. future,” Nscreenmedia, Colin Dixon, June 10, 2018 may be setting the stage for immersive ads. The key to defining quality throughout the 7. “Cord-Cutting Intent is Up, But Pay-TV Households With a 111 percent increase in impressions consumer experience is for the transitions Stay Steady,” VideoNuze, Will Richmond, June 26, served over second quarter last year, CTV to be completely seamless. A standard high- 2018 8. “Broadcast TV’s News War Expands to More Digital emerged as the top platform for video quality broadcast event is seamless because Fronts,” Hollywood Reporter, Jeremy Barr, June 14, advertisers for the first time. This was of the frame-accuracy of the production. 2018 good news for advertisers as the average This frame-accuracy must be instituted 9. N/A view-ability rates rose to 67 percent from throughout any type of distribution - part 10. N/A 62 percent in Q2, and the proportion of of the consumer’s consumption pattern. 11. “Keeping It Real: Delivering Live Programming to Today’s Sports Fans,” NAB 2018 panel, Lisa Borders, impressions that were both viewable and A truly seamless experience demonstrates President Women’s National Basketball Association. completed was steady at 76 percent.16 “broadcast quality” throughout and creates 12. “Nearly One Fifth of U.S. Consumers Watch the stage for an immersive experience. SVODs Only,” Digital News Daily, Alex Weprin, The Path to the Next New Era Becomes August 1, 2018. 13. “What I Want, When and Where I Want It: The Clear Tell Stories State of the OTT User Experience,” OTT Executive Big Data is a key resource utilized for Magazine, Summer Edition, Stephen Johnson, August Solve for Identity the consumer identity and thus fueling the 2018 What keeps viewers engaged in broadcast consumption patterns. This intelligence or 14. “Streaming TV services hope that better ad targeting events is the liveness or “electricity” of that preference managed data is used to keep will lead to profits,” Digiday, Sahil Patel July 27, 2018. 15. “People consumed more media than ever last year event, particularly live broadcast. As new the consumer engaged by appealing to the — but growth is slowing,” Recode, Rani Molla, May consumption patterns matching certain individual persona. The promise of Big 30, 2017. consumer types are implemented, the Data is to fully engage the consumer’s 16. “CTV emerges as top platform for video advertisers, “electricity” of the event must be maintained consumption pattern with desired completion rates continue to improve,” Martech Today, in lock-step throughout the consumption synchronous story content during and Robin Kurzer, August 1, 2018 pattern. The key to maintaining this outside a related broadcast programming electricity is maintaining synchronization event. Big Data metadata must subsequently with the broadcast automation playout be processed by an appropriate cloud-based system within the consumption pattern. platform to assure the metadata will meet As a result, the broadcast network or each distribution paths’ requirements and to programmer as provider of that “electric” ultimately assure the immersive experience. event may assert and brand their electric identity throughout. No Need for Tunnels The promise of an immersive experience Define Quality is to become a safe harbor for the consumer Broadcast events are typically a mashup as the advertisers know so much more of programming elements including live about the consumer and as the richness of programming, program substitutions, the multiple outlets can be leveraged to

Executive Insights 8 Reasons to Be Excited About the Impact IMF Will Have on Content Localisation By: Dom Bourne

n the 16th of August 2018 the Digital goal is to foster global interoperability. The Production Partnership (DPP) and DPP have collaborated with SMPTE, NABA Dom Bourne is the O founder and president Society of Motion Picture and Television and the EBU in an international effort to of Take 1, the broad- Engineers (SMPTE) unveiled a new standardise the approach to creating different cast metadata and technical specification that is expected to versions of content. transcription special- ists. Over the last have a significant impact on how television twenty years, Dom has and online content is sold and exchanged. 2. The IMF container keeps everything grown the company The catchily-titled Interoperable Master together from humble begin- Format (IMF) TSP 2121-2018 Application IMF is described as a media container for nings in the English countryside to an international organisation that DPP (ProRes) builds on existing standards asset delivery. The video, audio, data and provides transcripts, captions, translations, audio with a focus on supporting the mastering and composition playlists are all bundled into the description, dialogue lists and post-production international exchange of content. IMF package so that all the elements needed scripts to production companies, studios, localisation vendors and networks across the globe. A keen There’s lots of technical information for localisation are kept together, making it technologist, he is responsible for the company’s available about IMF and this new much easier to track, store and manage your strategic partnerships, R&D and futureproofing. specification, and the industry is still in assets. the process of implementing their practical application, but in the meantime, here’s 3. IMF solves the “versionitis” epidemic and data elements should be included in the why we think this new IMF application is The principle behind IMF is that most different versions. important for content localisation. new versions contain a significant amount of The key take-away is that IMF allows you to the same content and that only a few changes re-use the content that is similar and simply 1. It represents an international effort are required to make each new version. So, deliver the difference. The only extra data towards global standardisation the IMF package contains a single master you need to share is the composition playlist An unprecedented level of international version of the content, the separate elements with the changes. industry collaboration has gone into the needed to change that master to create the development of IMF Application DPP different versions and an XML composition 4. IMF reduces the amount of storage and (ProRes) – which makes sense seeing as the playlist which specifies which video, audio archive space required Instead of storing hundreds of versions of any one programme, with IMF you only store the elements needed to create them, significantly reducing storage and archive space requirements.

5. The IMF package cuts down on duplicated effort Currently, content preparation for original broadcast and localised versions are treated as separate workflows, each managed by different stakeholders who are independently responsible for creating whatever materials they need for delivery, compliance and access services. Because the IMF package keeps all the programme elements and data together, there’s bound to be less duplicated effort during the localisation process. Eg : The original subtitle and caption data can be adapted for different versions rather than recreated from scratch each time.

6. IMF can provide insights for dubbing If an XML version of the post-production (or as-broadcast) script is included in the Reason 5: The IMF package cuts down on duplicated effort IMF package, this can be rendered into

14 frequently used terms to ensure that the implemented, and it will continue to evolve original meaning doesn’t get lost in literal over time. Right now, it seems like IMF may translation and to maintain continuity and completely change the way we share global brand consistency across regions, series and content. � episodes. This information can be included in the IMF package as part of an XML-based post-production script.

8. IMF can support content discovery While data about users and their viewing habits helps inform viewing speaker lists, speaker word-counts and other recommendations, programme information datasets at the touch of a button. Having is just as important to this process. XML this information readily available will allow data from post-production scripts and localisation teams to plan and manage the transcriptions can be included in the dubbing process more effectively. IMF package to provide granular content information to improve content discovery. 7. Translation quality can be improved As we mentioned before, the IMF Localisation teams rely on datasets that Specification for broadcast and online (TSP describe key names, phrases and places and 2121-2018 Application DPP) is still being

Congratulations to our past OTT Executive Summit Product Speedcase winners!

Past Winners: NYC 2018

NYC 2017

NYC 2016

NYC 2015 (Tie)

OTT Executive 15 Fall 2018 Magazine Trends & Analysis Big Data Grows in the IP and OTT Landscape By: Ted Korte

he phrase “Content is King” can no longer additional one second of delay. Meanwhile, 2 Ted Korte is the Chief Tstand on its own. With the expansion of an nSCREENMEDIA poll uncovered that Operating Officer of digital media and IP-based OTT channels, delivering better video quality ranked as Qligent Inc. He has 25 the world is becoming a smaller place as having the highest impact on an Online Video years’ experience in the Broadcast industry consumers now have access to content across Service Provider (OVSP’s) business. delivering hardware the globe. The growing availability of these As the path from the content creator to the and software solutions services and faster broadband access have viewer has grown in complexity, consumer in Terrestrial TV and Radio, Audio Studios, combined with advances in smart devices to satisfaction has become increasingly difficult Contribution and Dis- empower consumers-- shifting control of the to capture and maintain, thus forcing a new tribution, Master Control Automation, Asset Man- media landscape from the content providers approach to assuring high-quality content agement, Video Servers, Non-Linear Editing, Quality to the end users. delivery. The use of real-time Big Data of Service monitoring and Delivery Analytics. Ted has a passion for aligning market and technology If great content is all it takes to be analytics on a combination of last mile and trends with business objectives. Ted’s goal for Qli- successful, why are so many end users still end-user data can deliver valuable insights gent is to help Networks, Broadcasters, MVPDs, and “cutting the cord?” Having great content on consumers’ quality of experience and infrastructure service providers integrate Quality of Service and modern Delivery Analytic workflows is only part of the competitive battle for users’ behavior. into their organizations more efficiently and cost ef- providers these days as price, accessibility, fectively. relevance, personalization, quality, choice Why is Quality Suffering? and more have all become critical factors to The push for more content and online keeping viewers engaged. delivery has resulted in a huge degradation in to arise as more insertion and embedding Quality is one of the most crucial the quality of media service delivery across functions are pushed closer to the end user. elements in retaining viewers; even the best all platforms, new and old. New technical Even measuring consumer satisfaction has content can be beaten in audience views by problems that haven’t existed since the changed since the analog TV days – instead an amateur cat video if service availability analog-to-digital transition have been re- of calling in complaints, consumers go is limited or if buffer times, dropouts or introduced. Broadband network distribution straight to social media or simply walk away blocky video are too excessive. A study by for OTT delivery brought its own set of new silently. Akamai1 discovered that viewers will start problems with buffering, jitter, and latency, Meanwhile, content providers’ resources abandoning a video if it takes longer than and other issues related to delivery over are strained worse than ever before. two seconds to begin playing, with another an unmanaged, packet-switched network. More investment is made on front-end 6% of the audience leaving after every Additional technical problems will continue content creation, new technologies such as augmented reality (AR), and social media integrations than on delivery considerations. Even non-content-related projects such as IP studio build-outs and workflow virtualization are competing for scarce resources. To combat resource shortages, some media companies are outsourcing major workflow functions such as master control operations to third parties, which raises new problems to contend with when managing the end-to-end content chain.

Analyzing Content Delivery: 1. The traditional approach to monitoring content delivery has been a top-down approach. This process evolved from supporting a linear broadcast model; was deployed when purpose-built hardware was popular; and was mainly focused on infrastructure health. 2. This legacy model for monitoring has Without quality management systems in place, viewers will abandon your content— a number of deficiencies when applied to no matter how good it is. today’s modern media delivery challenges,

16 intended to be consumed. Big Data is the solution most are looking to, but like any new technology it has its pros and cons, and it is very important during planning to mitigate the risks. 5The good news is that such solutions are already used successfully in many other industries and business sectors such as retail, cellular networks, finance and banking. The Big Data technology stack includes methods and algorithms for aggregating, processing and storing of petabytes of structured or non-structured data, parallel processing, machine learning and artificial intelligence techniques, and it can be leveraged by the media and entertainment industry. To minimize uncertainty in collected data, it has become a best practice to combine multiple data points with known reference or control points that help to augment, Quality failpoints can be difficult to pinpoint and track from the source, through enrich and validate information. This is served regions, to the customer’s player device. why monitoring the last mile, or consumer environment, comes into the mix with end- including limited visibility (“blind spots”), measuring of quality characteristics on a per- user analysis: to remove the “human” inability to reach out to the last mile or end user basis in real-time, instead of traditional OTT subscriptions continue to proliferate. user, and limited depth (Quality of Service “mean user quality” metrics based on large In the third quarter of 2017, new OTT – QoS – only, not Quality of Experience). network segments representing a huge subscriptions in the United States reached With respect to customer impact, it can also population. This is very important today, 300,000 for some providers, while some of only report mean estimations, not data about as individuals can make enough noise on today’s leading satellite, cable, and IPTV individuals. social media to impact companies. The goal direct-to-home services are losing up to 3. This top down hierarchical tree now is to make everyone happy, not just the 250,000 subscribers. approach follows the distribution and majority. However, more than any other TV delivery network itself, but falls apart if the Interactivity introduces a user-centric service, OTT can be the most challenging to network isn’t fully managed end-to-end. The view where data flows from subscriber understand from a viewer QoE perspective. new IP-based, non-linear, one-to-one model end-points towards the monitoring center; This is because of the broad delivery gap for monitoring must embrace a completely where it is enriched, validated, or otherwise between the content origination point and new interactive paradigm shift. It should start explained by other datasets. Finally, we see the ISP, typically managed by multiple with a bottom-up approach, beginning with the consumption preferences, quality metrics independent 3rd party services. In between the end user and working up to the head-end and behavior habits as users react, interact, these services, content is hitting multiple or origination point. and engage with the content. By performing element from the equation. Without last mile 4. Broadband delivery offers an these analyses in real time with the ability data, it is not known if end-user feedback can affordable loop-back channel to aggregate to focus on specific customers, immediate be completely trusted. quality and behavior statistics from every action can be taken whenever problems Big Data Model for OTT Servicesplatforms subscriber. Very cost-effective software occur. and components, including origination agents can sit on set-top boxes or in apps that Big Data technology empowers analysis servers, transcoders, DRM software, load present the media to the end user, and capture like never before, making it possible to balancing, edge services and now P2P stream quality and user interaction data. This augment, blend, enrich, exclude, filter, streaming – not to mention multi-CDN and data set is large, fast-moving, and uncontrolled and associate suspect data across endless multi-ISP topologies. as users can come and go for various reasons, data pools, lakes and oceans. This enables Leveraging big data to correlate the but this data can be analyzed together with us to search, trend, visualize, automate, information coming out the other side of controlled last mile data, consumer device recommend, alert, predict, and prevent at these platforms and services is the only info, link health, stream quality, problem enormous scale. reliable way to deduce what is happening reports, customer experience management Four common goals of Big Data in the within that gap. In this OTT landscape, big (CEM), user feedback and a variety of other media and entertainment industry are to data will deliver the pertinent details around: data sets to extract a holistic view. reduce abandonment, increase engagement, Once multi-layer, last-mile and end- improve repeat viewership, and protect ● The content each user is viewing user monitoring and analysis are in place, brands. Knowing the quality of service ● The platform on which the content is instead of seeing demographics, genders, (QoS) and quality of experience (QoE) in being consumed and households, providers will start seeing a controlled manner are foundational for ● Download speeds, rate of buffering and individuals emerge. measuring any of the other attributes of average bitrate the end user experience. Before audience ● Last-mile performance Where does Big Data Fit? measurement makes any sense at all, we need This new approach to OTT delivery to know if the audience is actually receiving The dynamic nature of OTT delivery and consumption analysis allows precise a high-quality content experience, as it was means that this all must be accomplished on

OTT Executive 17 Fall 2018 Magazine Case Study Qligent Quad-Play Case Study n example of using Big Data to analyze viewers’ experience analysis in this project. The Signal Verification Probes cover Ais an active project that Qligent currently has underway deep QoS and QoE analysis of every program at central head- with a European quad-play provider. The provider has 15 ends; light QoS and QoE analysis at regional head-ends; and deep million IPTV subscribers among its 40 million total customers, QoS-only inspection at the backbone. Software Agent Probes in with three geographically-distributed central head-ends (CHE), customer set-top boxes are used for both last mile and end-user over 170 regional head-ends (RHE), three different network data collection, while mobile last-mile probes are STBs used in technologies for delivery and more than 20 different models of controlled environments to monitor all available services. In the consumer-premise set-top boxes. Their linear services include STBs alone, more than 70 metrics are incorporated, covering over 700 channels, while non-linear services include VoD, PVR both user behavior and quality statistics. and their own OTT portal. Data events are delivered at 5-minute intervals from every The provider’s primary concern is customer churn. They want device as well as asynchronously based on user actions. When to understand it, prevent it, and reverse it from both technical and a user action event is triggered, that event is associated with business standpoints, but to do so they need a broader and deeper statistics for the current clip watched. Each user action event also understanding of their end-customers’ experiences. triggers an augmentation process which enriches the subscriber- Qligent Signal Verification Probes and Software Agent Probes associated data with signal/stream QoS and QoE from the CHE, have been deployed to enable rich QoS and QoE monitoring and RHE, and Last Mile. The overall data flow is approximately five Million messages per minute to be processed in real-time by the Qligent Vision system, visualization engines and other tools. While the project is still in its early stages, some initial success examples demonstrate the power of augmenting and correlating end-user data with last-mile data. A problem, that appeared to be due to restricted bandwidth, was uncovered to be a routing issue within the Internet service provider rather than with the end user, while another issue was pinpointed to incorrect redundancy configuration within STBs. In both cases, the issues were resolved without a truck roll – and would not even have been solvable without the data provided by this multi- layer analysis approach with last mile probes. �

the fly to effectively correlate information. Big data is the more effective toolset to augmentation mitigates the risk of poor data, Post-delivery analysis of chunk downloads cross-correlate information and determine empowered by a new bottom-up approach to packet-based switching will offer no benefit the root cause of issues between the OTT monitoring and analysis of the end-to-end to the end viewer given that the uncontrolled delivery chain components, collect metrics media path that leverages last-mile probes as network characteristics and nature of the OTT from media players, and embed agents on controlled data collection sources to correlate service can constantly change. Real-time big client applications among other initiatives. with uncontrolled data from end user probes. data analysis determines the health of the All of this will help the OTT service reduce � ISP(s) and the CDN(s) all the way out to the consumer churn, and regain end-to-end viewer, allowing the operator to immediately control of QoE out to the consumer. (See REFERENCES understand key performance indicators Case Study above). 1. Hafez, N /Akamai, “Maximizing Audience around delivery speed, accuracy and bit rate. Engagement” How online video performance impacts viewer behavior” www.akamai.com White Paper, For example, when big data analysis shows Summation November 30th 2016, page 3 a low rate of buffering combined with a high As power in the media landscape shifted to 2. Dixon, C, “Stream it Clean: Quality is the key to video average bitrate, it typically points to the end users and content quality took a back services success” Survey Report by nSCREENMEDIA desired case of a lengthier use of the OTT seat to quantity, “Content is King” will presented by Akamai in partnership with NewBayMedia, Broadcasting & Cable, and Multichannel News, service on the subscriber side. only apply again if and when Big Data says November 30th 2016 With so many new OTT subscribers that it’s king. Until then, the “Emperor has 3. Jon Lafayette, “OTT Subscription Churn Rate Steady to serve, it’s more important than ever no Clothes.” With the advent of Big Data, At 18%: Average length of subscription is 30 months,” to understand what performance issues OTT service providers can now understand Research by Parks Associates https://www.tvtechnology. will cause churn. A recent statistic in TV why customers subscribe and unsubscribe, com/news/ott-subscription-churn-rate-steady-at-18- Technology from Parks Associates shows what kind of programs they like and dislike, parks, Sep 6, 2018 that OTT services experience an approximate when they like to watch certain content, 18% audience churn indicating the grass isn’t and their tolerance to poor audio & video always greener on the other side. quality. Supplementing Big Data with data

18 WEBINAR Defeating Show-verload Using AI-enabled Content Management and Metadata Enrichment

Metadata is the new Gold!

Data gives information. Metadata gives the context. TV and video service providers are struggling to manage all the content and metadata required to meet consumer’s growing demand for more relevant and personalized content on any screen, anytime- anywhere.

Join our upcoming webinar on “Defeating Show- verload Using Artificial Intelligence-enabled Content Management and Metadata Enrichment” and learn how you can use AI-powered metadata to drive revenues and increase user engagement.

Wednesday, December 12, 2018 10:30 a.m. CT (11:30 a.m. ET)

Speakers Brian Mahoney CEO, Trender Research Inc. & President, OTT Executive Summit & Magazine

Frank He Senior Director of Solutions Architecture, SeaChange

Sharique Husain Co-founder and Chief Business Officer, DiveTV

CLICK HERE TO REGISTER NOW

PRESENTED BY Executive Q&A Big Data, Social Media, and OTT User Engagement Interview by Nichole Janowsky with Ryan Chanatry

yan Chanatry, General Manager at and formats, ultimately whatever is best for Topic.com (First Look Media) shared the story. For instance, Missing Richard Ryan Chanatry is the R General Manager for with me his insights and experiences from a Simmons, which initially came to us as a First Look Media’s Top- content provider perspective. documentary, instead was shaped into a ic.com, a new digital podcast, which is now being explored for platform focused on visual and audio story- Nichole: Please tell me a little bit about television. We also prioritize opportunities telling. Previously, Ryan yourself and your role at First Look? that are able to both build audience and are oversaw First Look’s monetizable. A great example of this is Audience Development : I’m the General Manager of our digital our recent launch of several Topic shows efforts, including ac- Ryan quisition strategy, partnerships, newsletter growth, storytelling platform Topic.com where I on Snapchat Discover, which is bringing and paid media. Before joining First Look Media, lead the strategic planning and execution awareness of Topic to new segments of our Ryan was Director, Global Marketing Insights at of the website, social, and OTT platforms. audience as well as ad revenue sharing. Netflix where he led the team responsible for brand, advertising, and social media intelligence and track- Additionally, I oversee analytics and research ing efforts as well as strategic creative planning efforts across First Look Media. Previously, Nichole: Can you discuss how your new and development. In addition he worked extensively at Netflix, I worked on brand and social digital platform (Topic.com) resonates with on Netflix’s international market launches across Europe and Japan. He joined Netflix in 2013 from media intelligence efforts, as well as strategic your target audience and differentiates from Mediacom in Singapore where he was Director, Asia- creative planning. I was extensively involved other communities? Pacific Insights & Decisions. Before that he was a in Netflix’s international market launches Senior Brand Strategy Consultant at Interbrand in across Europe and Japan. Earlier in my Ryan: Our audience is highly engaged and the US, Japan, and Singapore. career, I was Director, Asia-Pacific Insights curious about the world around them, in for Mediacom in Singapore and before addition to being voracious entertainment creator’s visions and bring high production that a Senior Brand Strategy Consultant at consumers. We see the core differentiation for value to all our programming. Our strongest Interbrand in the U.S., Japan and Singapore. us in the market as working with a wide range successes to date have come from programs of talented creators to tell compelling stories which balance all of these factors while Nichole: First Look has mostly original that don’t necessarily have a natural place striking a compelling and relatable chord programming, what is your strategy for in our audience’s current media routines. with viewers; such as our documentary monetizing your content? Our stories tend to be more evergreen and series: The Loving Generation, the comedy: not reactive to the 24/7 news cycle that’s aka Wyatt Cenac or She’s The Ticket, about Ryan: We are currently focused on using our currently taking up an extraordinary amount the influx of female candidates since Trump original content to build a highly engaged of our time and attention. was elected. audience that trusts and identifies with the We concentrate on shorter format lengths Topic brand. As part of that strategy, we that we believe can co-exist alongside more Nichole: How does social media affect the look to extend what we do across platforms traditional ones. We strive to facilitate our type and format of programming that you produce?

Ryan: We’ve spent considerable time discussing and experimenting with how we premiere and promote our content on social. Initially we hoped that the platforms would reward our posting of full high quality, thoughtful short form non-fiction and scripted content, but gaining exposure and viewer investment has proven challenging within the feed environments. Instead, we now examine each piece of content more deeply, the role we want it to perform, the platform that will do it the most justice, and whether the format needs to be adjusted. We now repurpose content more often across formats to maximize impact (ie. extending a photo essay into a short video, etc). Additionally, we examine how we can

20 market our programming in a manner more understand performance quickly enough to Ryan: We are excited for the future of First native to each platform, and we are more make strategy adjustments and guide future Look Media’s brands across The Intercept, deliberate about making shows specifically programming development. Field of Vision, The Nib, and Topic, both the for particular environments in ways that are In the marketing space, we aggressively digital platform and our entertainment studio. more experimental. Email is also an important utilize multi-variate testing to explore The stories coming out every day from touchpoint for engaging with our audience copy, imagery, and audience. We’ve found each of these talented teams are incredibly and we debut an original story each week via Facebook to be useful in helping us to compelling, thoughtful, and consistently our newsletter, in addition to a recap of the hone what combinations of audiences find create cultural conversations. essays and videos we’ve recently published. our programming most engaging. Topic, For Topic.com in particular, we’re in particular among First Look Media’s actively expanding the type of programming Nichole: How do you use big data and properties, spans multiple subject areas, we produce, experimenting with new genres, analytics to better understand and engage making specific interest targeting difficult formats, and distribution channels to best with your audience? and instead we look to establish higher level serve our audience. We continue to identify audiences who share tonal or psychographic new talent and the unique stories they seek Ryan: As we grow, we’ve been focused commonalities and we hope will respond to a to share. In addition, we have multiple new on creating a flexible and future-looking wider range of content over time. shorts and series that we’ll be launching analytics infrastructure that provides real- in 2019 covering a wide range of subjects time aggregated metrics for each piece of Nichole: What are your future goals for First across non-fiction and scripted programs, content across platform. Consolidating video Look? Are there any new exciting projects in and we continue to learn what most resonates views across multiple distribution sources the works? with viewers and readers. � is challenging but critical to being able to

Congratulations to our past OTT Executive Summit winners!

Past Winners: NYC 2018 “OTT Genius”— Suzanne Mei, People TV 1st Place 2nd Place 3rd Place “OTT Hero”— Adam Lewinson, Tubi “OTT Guru”— Greg Bernard, ION Media NYC 2017 “OTT Genius”— JR McCabe, Poker Central & eSports Productions “OTT Hero”— Nick Buzzell, NBTV Studios “OTT Guru”— Paul Hamm, Endavo NYC 2016 “OTT Genius”— Kurt Michel, IneoQuest “OTT Hero”— Don Wilcox, PBS “OTT Guru”— Roger Keating, Hearst Television NYC 2015 “OTT Genius”— Brian Balthazar, Scripps Networks “OTT Hero”— Rich Antoniello, Complex “OTT Guru”— Rick Howe, The iTV Doctor NYC 2014 “OTT Genius”— Jean-Michel Planche, Witbe “OTT Hero”— Amit Ziv, EPIX “OTT Guru”— Steve Harnsberger, OTT Digital Services Boston 2014 “OTT Genius”— James Norman, Pilotly “OTT Hero”— Jim Turner, Net2TV “OTT Guru”— (Tie) Gabriel Dusil, Visual Unity; and Jason Thibeault, Limelight Networks

OTT Executive 21 Fall 2018 Magazine Reach more viewers, stay connected. Easy-to-use video platform with automated workflows and instant integrations to 1,000+ SaaS apps and distribution points.

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LEARN MORE: zype.com/ottexec Executive Q&A The Future of Compliance Monitoring Interview by Nichole Janowsky with Ariff Sidi

e recently sat down with Verizon Digital Nichole: What have been some recent Media Services Chief Product Officer, developments your team has been working Ariff Sidi is Chief Prod- W uct Officer at Verizon Ariff Sidi, to find out more about how Volicon on, related to compliance monitoring? Digital Media Services. has been integrated into the company’s Ariff joins the team digital media platform, and what the future Ariff: Earlier this spring, we introduced with 15 years of experience in internet and holds for compliance monitoring and more. Path Monitoring, which gives our customers digital media problem complete end-to-end visibility into the solving, and 10 years of Two years ago, Verizon Digital Media beginning and end of the OTT delivery experience in streaming media platform Services acquired Volicon, a leading provider chain, for both live and historical content. development. Prior to joining Verizon Digital Media of video capture, archival, compliance We’ve also seen many of our customers use Services, Ariff held leadership roles in engineering, monitoring and clip creation workflow for our compliance offering to produce content product development and strategy at a range of broadcasters. And within the past two years, that’s ready to stream — for social, web and technology startups and stalwarts, including Qual- comm, Disney|ABC and Fox Networks Group. the team has worked on bringing the same OTT. award-winning compliance monitoring services available to broadcasters to OTT Nichole: How do you see compliance where there’s largely one version of a signal content providers, at scale. monitoring evolving in the near future? delivered to all viewers, with differences often the result of local market requirements, Nichole: Can you start off by sharing more Ariff: Compliance monitoring is in a OTT enables content providers to deliver about Verizon Digital Media Services’ initial massive transformational stage. We’re innumerable discrete streams to users — interest in compliance monitoring? seeing a shift from hardware-based to cloud- differentiated by region, device, preference based compliance monitoring services, plus or other factors. Ariff: Even though it’s historically been we expect many of our broadcaster and OTT We’ll see this same “one-to-one” approach used in traditional broadcasting, compliance content provider customers to move their in compliance monitoring, where the entire monitoring has expanded into OTT content workflows to the cloud. That’s why we’re cloud workflow and other factors such as to cover the full path as well. Now, through working on having compliance monitoring regional streams, can be checked as well. onboarding Volicon, we’re able to offer tools available in the cloud. We’re trying Having such nuanced monitoring capabilities services that ensure quality of experience to best serve our customers where they provides an advantage. It will enable for both broadcast and OTT content. From need us. Finally, even though compliance broadcasters and OTT content providers to live linear to live OTT events, we track from monitoring has been based on rules that have create more nuanced distribution strategies to master playout to origination and to post- used earlier versions of machine learning, reach end users on a more personalized level. content delivery network. Our customers we’ll see further development. Compliance can receive alerts and record any quality monitoring will become more content-aware Nichole: And looking even further down impairments, such as black screen or static and have the ability to evaluate more of the road, what does the future hold for screen, silent audio, missing closed captions what’s inside the frame — such as unsafe compliance monitoring? and issues with SCTE triggers. content and logos. Ariff: We strongly believe that the future Nichole: You’ve talked of compliance monitoring is cloud-based. about compliance What remains to be determined, however, monitoring expanding is exactly how this cloud infrastructure will into OTT content; what be architected. We still need to decide the will be the differences best way for broadcasters and OTT content between monitoring in providers to get their signals into the cloud broadcast vs. OTT? and we need to ensure that the same features that have been available in compliance Ariff: One of the biggest monitoring hardware are still available in differences in streaming is a cloud-based solution. These are timely its ability to extend beyond questions that are top of our minds and that traditional broadcasting’s we are working to resolve as we continue “one-to-many” approach evolving our own compliance monitoring to a “one-to-one” unicast system, the Volicon Media Intelligence approach. Unlike in a service. � traditional broadcast

OTT Executive 23 Fall 2018 Magazine Best Practices Using Metadata to Fuel Discoverability By: Rhodes Mason

TT channels are typically created by images and trailers as necessary data points. content creators, content licensees, or According to behavioral researchers, rich Rhodes Mason is the O President of Internet some combination of the two. Making your media is the most compelling data points in Video Archive (IVA) content “discoverable” is one of the best the era of online video viewing. and has been at the ways to market your service. You could just forefront of online video since 2005. IVA hope that people find your channel on the Trailers was one of the first platform you are on but as we all know, the Any marketing plan by content creators of companies to deliver days of “build it and they will come” are their movie, TV show or digital content must video on social media, connected TVs, and over. Content discovery does not just happen produce trailers if they want to assist their smartphones as well as offer a full entertainment on the platform your channel is available on, licensees and convert prospective viewers. database. Rhodes has been involved in entertain- but across thousands of websites and mobile Nielsen’s U.S. Video 360 Report 2018 ment and marketing for over 30 years and has been applications too. By understanding the reveals how people discover new movie and a guest speaker at media conferences in the US and Europe. process of content discovery, both content TV content. Number one on the list is word owners and licensees can help fuel interest of mouth. No surprise there. But the number in their content and drive new subscribers to two way people discover new movies or TV Quantcast measures IMDB as having their OTT channels. content today is by viewing trailers. Film over 28 million U.S. monthly visitors studios have been using trailers for over 100 searching and browsing to find movie and Content Discovery years, making it a time-tested marketing ploy. TV information. With so many websites and Search is only one way people find In the digital age, for theatrical trailers, a new applications dedicated to content discovery, content. However, helping users discover trailer is an event. When the first Avengers: the reach of all these outlets combined your content organically is complex and Infinity War trailer came out on November 29, would cost millions in a TV ad buy. Content requires a deep understanding of how 2017, it received 230 million plays in the first creators should make sure that they are people select video content to enjoy. 24 hours of its release. TV content creators providing all the data about their content to Content discovery is constantly evolving. are inconsistent at best with creating trailers outlets that specialize in content discovery as Today we can offer consumers personalized much less distributing them to every outlet well as their licensees. For example, IMDB recommendations based on their viewing that offers them free promotion. Digital first does not just use metadata for search. Like habits, faceted browsing, order responses content creators rarely offer trailers at all. By other consumer facing sites and applications, by different data points, and link results not creating a trailer, you are removing one IMDB offers faceted browsing that has pre- back to where to consume the content. of the easiest ways to market your content for built filters for movies such as “In Theaters,” The foundation of any advanced tools of discoverability. “Coming Soon,” “Latest Trailers,” “Top discovery is metadata. To compliment Rated,” or “Most Popular” created for the your metadata, consider rich media like Faceted Browsing Based on Metadata sole purpose of guiding consumers quickly to the content they want to see. IMDb also offer “Charts & Trends” or “Box Office” or “Most Popular by Genre” for browsing movies by a particular datapoint. For TV shows, IMDB filters content by “Top Rated” and “Most Popular” and “TV Premiere Dates.” In addition to these data points for browsing, IMDb offers editorial lists such as “New Fall TV Series Guide,” “Horror Guide,” or “Marvel.” If people are searching for celebrities, they have a “Most Popular” and “Born Today” browse. By providing consumers a myriad of ways to discover content by contextual metadata, browsing becomes a key part of the content discovery process. Each publisher site or application may have different ways to browse based on interest from their visitors. In the case of Common Sense Media, they have a “Best TV” based on their recommendations

24 for families. For Metacritic, they offer “Best show people how to watch or buy the content and develop feeds that will meet the specs TV” based on their Metascores. All content they are interested in. This is typically called of any pay-TV operator or other platforms discovery websites and applications offer a availability data. Once a consumer settles that want to add your content to its universal way to browse, but having complete metadata on a title they want to see, the next question search. As most entertainment databases are is the underpinning to any faceted browse. they ask is where can I see it? As part of your shaped around movie or TV content, it is Most consumers will browse by genre, metadata, include deep links to your content important to make sure your data conforms directors, actors or release dates. Having all for people to click and enter your subscriber to the fields that are typically required. That your metadata in a ready to ingest format is acquisition funnel. These prospective might include classifying your content with imperative for content creators. Most movie subscribers have already shown high intent genre, cast, director, rating, release date, etc. studios and TV networks offer data but the that they want to see content you provide and Content creators and licensees who quality and completeness can vary. For digital could be fast conversions. Availability data offer an OTT channel need to remember first content who are starting their own OTT typically offers deep links to Netflix, Hulu, to provide the metadata and associated channels or licensing their content to Pay-TV Amazon, iTunes, or Google Play and by promotional assets needed to drive sharing, operators, the importance of your metadata, providing your data, will also help grow your recommendations, search and browsing, on images and trailers being complete and in brand. each OTT platform and across the Internet so a database is crucial if you want people to consumers can easily discover content and find your content. The more data points you Get Your Metadata Out Everywhere know where to watch it. � offer on your content, the more chances your To submit your data to a provider, content will be found. typically a XML or JSON feed is required that offers the metadata, images and sometimes Availability Data the trailer content. Once your data has been A new trend that is appearing in content submitted, data providers typically offer discovery is the ability to close the loop and APIs that can be used to transform your data

2019 Over-the-Top Video Accolades

Past Winners

2018 OTTA Service of the Year: Demand Africa

2018 OTTA Product of the Year: NeuLion Digital Platform

2018 OTTA Person of the Year: Roku CEO Anthony Wood

Announcing the 2019 OTT Accolades (OTTAs), an awards program to honor the people, products, and companies that are driving the over-the-top video industry forward. For more information about how to nominate a person, product, or company, send inquiries to [email protected].

Submissions will be accepted on a rolling basis through January 2019. Winners will be highlighted in the OTT Executive Magazine and promoted to our 45,000 member OTT video community.

OTT Executive 25 Fall 2018 Magazine Executive Insights Is Everything Old, New Again or Is Everything New, Old Again? By: Scott Calka

ull disclosure: My business partner Ron to, or signing on for, content that is free -- Hartenbaum is old enough not only to even if it’s ad-supported. And it is of course Scott Calka is co- F founder and a man- remember Woodstock… he’s old enough “millennials” whom advertisers want to aging member of even to have attended it (he didn’t….). But reach. And it is why we are seeing more Crossover Media he’s told me enough about it to make me – content creators and distributors embrace Group and its subsidi- ary Crossover Media barely out of my “millennial phase” – see an the ad-supported business model for OTT, Group Sales. Crosso- analogy to what is happening today in the counter intuitive as that may seem to some ver Media Group is a video-consumption market. pundits. media and ad sales consulting firm with Yes, this legendary 1969 event, which Distributors are working to capitalize expertise in TV, radio, podcasts, streaming, OTT ultimately brought a half-million people to on the cord-adjustment pattern of course. networks and other platforms. Scott graduated revel in front of a Who’s Who of musicians US-based virtual multichannel video from Skidmore College with the ambition to get into on Max Yasgur’s 600-acre Bethel, New programming distributors (vMVPDs) the media and sports marketplace. As an avid NY sports fan, he landed his first job out of college at York, farm, offers insights to those of us combined to add about 868,000 subscribers the world’s most famous arena, Madison Square toiling today in the OTT marketplace. The in Q2 2018 – bringing the total to more than Garden. Prior to co-launching Crossover Media Woodstock organizers, seeing the unwieldy 6.7 million subscribers, up 119% vs. Q2 Group, Scott held senior ad-sales positions with Comcast Spotlight, Fox Sports, the Florida Panthers influx of masses of young fans, declared 2017, per a Strategy Analytics report. These and, most recently, as senior manager, audio/origi- on-the-spot that the concert, whose paid services will continue to depend on a mix of nal content & integrated sales for DirecTV. admission had been promoted heavily in advertising and subscription revenue. New York City, would suddenly be free. As for stand-alone SVOD services, It might have seemed to some at the we may likely see only a half-dozen or Internet Advertising Bureau (IAB) report, time to be a poor business decision, but in so extremely deep-pocketed, content-rich “Ad Receptivity and the Ad-Supported OTT the long run it was the smartest move the players survive. Video Viewer.” It found that viewers of organizers could have made. The decision, Historical patterns might inform today’s ad-supported OTT services do not typically and the additional masses it enticed, drew decision-making on how to structure an OTT watch linear TV; more than half are cord- comparably massive press coverage as well services business model. Case-in-point: cutters or cord-shavers. Not only does it as sales of albums and documentary-film Until the 1980s, “TV” of course was entirely make these viewers a largely incremental tickets… and it cemented the event’s place in “free” (if you don’t consider having to sit audience to linear TV – it makes them a history. through commercials a form of a “cost”); “high value” audience, per the IAB. The analogy today is the revolution today it can cost consumers hundreds of Think all video-streamers are simply in cord-cutting, cord-shaving and cord- dollars a month. Hence the disengagement watching Netflix? Think again: 45% of nevering. About 50 million people in total of the cord and the growing acceptance of ad- consumers who regularly watch video online will have dropped cable or satellite TV supported content to keep costs down. say they mainly watch ad-supported OTT subscriptions by 2021, eMarketer recently One way to look at this is that, yes services, the IAB study found. forecast. “Everything old is new again.” Trends point to a greater consumer Young people especially are returning One big difference of course is that, acceptance of — even engagement with instead of “bunny ears” — advertising… if it’s handled right. For we now have “ear buds.” example, a recent iSpot.tv analysis of some The free, ad- 38,000 TV commercials across 4.7 million supported model, airings found that 10-second commercials ever under attack by earn greater attention than 30-second spots. critics, always seems So the opportunity is there for the OTT to make a comeback industry to cement its own successful place as younger generations in history by “bringing on the masses” via opt to make a trade judiciously implemented advertising plans with content providers and formats. and distributors: their As for Max Yasgur, however, all the patience with occasional commotion was a bit overwhelming for him. advertising in return for He refused to rent out his farm for a 1970 content they want. revival of the Woodstock festival, saying, Even more “As far as I know, I’m going back to running encouraging for OTT a dairy farm.” � advertisers is the recent

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oday, broadcasters, content owners and Against this background, video today is Scott Puopolo, Chief Tservice providers face a massive challenge being consumed in increasing numbers of Executive Officer of in developing distribution strategies. How do ways and in multiple formats. In addition Telestream is a rec- they ensure that their valuable consumers can to video delivery over managed networks, ognized expert in the Media and Tel- access the content they demand? And how there are more distribution points for both ecommunications can they ensure that the consumers’ quality live and file-based content than ever before. industries, and having of viewing experience meets or exceeds their Broadcasters see websites as an essential served as a Telestream expectations? prerequisite and then there is a proliferation board member, Scott has a deep under- Not so long ago the answer was straight- of content aggregation sites, such as Sony standing of Telestream and the markets it serves. forward: linear television broadcasts. Crackle, YouTube and Facebook. Prior to joining the company, Scott was Executive However, research shows that 2018 In this environment, the media consumers Vice President at iconectiv, a leading service and software provider. He brings almost a decade of represents the inflection point after which have tremendous power. They want access leadership experience working at Cisco Systems, time, on average, consumers watch more to content at any time, in any place and on where he led the company’s Service Provider Trans- minutes of video through OTT streaming any platform. However, research indicates formation and Internet Business Solutions Groups. Prior to Cisco, Scott spent 14 years at Accenture than through scheduled linear TV broadcasts that consumers do not have much more where he led the North American Service Provider (source: Zenith via Recode). By 2021, incremental time that they can dedicate to Strategy practice. Scott was also a member of the video will constitute 82 percent of all watching video. The result is a battle among World Economic Forum’s Telecom Strategy Working consumer internet traffic and mobile video media providers where the prize is the Group. will comprise 78 percent of all mobile attention of consumers. data traffic (Source: Verizon Digital Why is your choice of technology partner Media Services 2017; Cisco VNI 2017). Can you ensure Quality of Experience? critical? Competition in the global video and Any video business needs great content– Because of the complexity of delivering media market is increasing with many this cannot be exaggerated. Without media in this complex new video ecosystem, more points of creation and distribution of appealing content, the entire business model any company wishing to exploit the potential content being made available. Combined is fatally undermined. However, in addition of motion video – be that a broadcaster, with an exploding catalog of programming to this, consumers demand a certain Quality service provider or corporate organization, and new devices to support, broadcasters of Experience (QoE) with flawless viewing will need to find trusted technology partners. can no longer succeed with a one-to-many throughout. If their expectations are not Selected partners need to be experienced delivery solution. Successfully meeting these met, they will quickly move on to other across a range of tasks required to build challenges requires a trustworthy technology channels—perhaps your competitor. the automated media processing systems partner. The result is that content creators and and workflows required to deliver multiple aggregators are fighting for content streams. A technology partner must eyeballs within a highly be able to deliver a range of high-quality and fragmented marketplace. trusted solutions targeted at the needs of both The competition requires broadcaster and viewer. businesses to maximize Any technology provider needs to display the economic return on the understanding of the business processes content that they are offering. and operating environments of today in A content provider must order to help bridge to the future. This be highly agile in the ways experience needs to be based on familiarity they offer their media to and experience in traditional broadcast consumers. Content must be applications backed up with leading-edge provided in whatever formats technology and proven results. and standards consumers For instance, one recent change in this wish in order to achieve industry’s corporate philosophy is that the highest financial return traditional broadcasters want to consolidate for the content the provider their enterprise operations. Content creators has created. Meeting these now want to reach viewers through their own requirements requires true channels. Example successes include HBO agility and efficiency in Go, ESPN App and BBC iPlayer. data processing and content Also, service providers who have been preparation and delivery. focused more exclusively on distribution

28 are now increasingly involved in content IBC, Telestream introduced Project Orchid, At IBC, we highlighted Telestream’s creation, preparation and packaging. A which represents the first time our industry platform-agnostic approach to network company’s selected technology partner has seen a single technology provider implementation, introducing the next should be able to assist content creators in developing self-healing, self-scaling and generation of hybrid architectures which reaching the consumer directly while helping self-optimizing video service networks. seamlessly integrate cloud, NFV , and on- service providers build a seamless integration This development initiative supports the premise infrastructure in ways that are and workflow back into content preparation next generation of high-demand streaming customizable to each user’s specific needs. and packaging. operations by capitalizing on orchestrated, Today’s audiences demand “always on” The bottom line is that facilities and integrated media processing, monitoring performance from their streaming services, corporations need and want to build seamless and analytics. We are currently engaged and providers need assurance that they’re workflows to capture, process, prepare and in the development of agile, “self-aware” meeting customer demand. The architectures deliver a high QoE that meets and exceeds video delivery architecture that allows for we are now developing, exemplified consumer expectations. Underlying this automated decision-making and adjustment by Project Orchid, marry visibility and sea-change in approach is an absolute up and down the media supply chain. accountability to the efficiency and economy requirement to do all of this efficiently. Automating functions such as self- of virtualized architectures. This is what diagnosis, re-routing streams, bursting today’s content holders and service providers Project Orchid—harnessing cloud’s power channel availability and capacity, and more, must have to gain OTT market share. to deliver. means businesses can offer the highest A final requirement with this new quality streaming service possible while still Conclusion approach to content management is to reducing operation cost and complexity. The Because consumer technology and harness the potential benefits offered by the new architecture is built on modular, flexible viewer demands change rapidly, any selected cloud. New workflows and solutions should design principles that work across both cloud technology partner should be capable of be software based and centered on a fast and on-premise virtualized networks. supporting whatever new operations and consumption model applied across a range Project Orchid integrates live adaptive features broadcasters may be required to of platforms. The media solutions should be streaming production with live monitoring provide. This partner should have expertise platform agnostic, harnessing the potential of and actionable analytics that can be fed in both cloud and hybrid solutions. A cloud and other NFV-based environments, back into the video production workflow in good technology partner will be able to not repurposed hardware solutions that limit a completely virtualized deployment. What supply a range of flexible solutions that creativity and growth. results is one-click live channel origination can adapt to meet a range of potential Despite the potential benefits of cloud- that supports real-time self-optimization. new viewer and business requirements. based operations, not all broadcasters will The fully containerized encoding, We believe Project Orchid is significant: want to immediately leap into the cloud. packaging, delivery, and monitoring the ability to spin up new channels within This requires media companies look for a components give live and OTT operations any cloud environment in minutes is new technology partner that can provide guidance managers the ability to rapidly launch to the industry. And for that channel to on the cloud but one that also understands that and scale any part of their content ingest, include monitoring so sophisticated that it many companies may want a transformative encoding, origin, delivery or monitoring becomes aware of defects and can correct journey, one that will operate in hybrid service; either in a multi-vendor containerized them instantaneously is equally important. infrastructures for near and mid team. Not environment or in an integrated, systemic We expect the first Project Orchid products every technology partner may have such deployment that unlocks additional to be introduced in Q1 next year, with expertise. capacity. While able to be deployed a migration pathway starting today. � These drivers have been influencing our independently, each module is designed research and development activities for some to provide greater scalability and deeper time and now our efforts are bearing fruit. At “self-awareness” when deployed in concert.

For more information on submitting an article or advertising in OTT Executive Magazine: Nichole Janowsky, Editor: [email protected]

Summer 2017

ottexec.com/magazine OTT Hits the Fast Lane The Race Is on for the Future of the Industry Crowning a New Content King Arrived—OTT content emerges from the shadows SKY Goes All-In Delivering World-Class Video 4K Content Over OTT Better than Broadcast & Cable? You’re Doing it Wrong Programming Rights in an OTT World A How-to Guide Installing Apps on OTT Devices

Executive Q&A Series Quality of Experience Is “Broadcast-Like” Even Possible? Barbara Ford Grant HBO Facebook Live OTT Monetization David Mendels A Step-By-Step Guide for Brightcove Broadcasters Navigating the New Wave Charlie Dunn Cloud and Virtual Tektronix OTT Case Studies Brenton Ough National Hot Rod Association; Reality Touchstream Media Footprint.TV An OTT Mirage? Israel Drori A Vision For OTT Zixi An Interview with Piksel’s

Fabrice Hamaide

OTT Executive 29 Fall 2018 Magazine Best Practices Using Data and Analytics to Understand the “Why” Behind TV Content Viewership By: Cory Sher

he fall television season has kicked off in their own unique way through comments, Cory Sher serves as Tand it’s truly an unbelievable time for memes, emojis and social reactions about Vice President of Sales TV fans. With $18 billion spent on original moments that matter at an episode level. The for TV Time, the world’s programming between just Netflix, Amazon, focus on areas like engagement, sentiment, largest TV tracking app providing insights Hulu, and up-and-comers like Apple and equal gender representation in a show, and into today’s television Facebook, the tidal wave of new content other emotional measures gives platforms landscape. In his role, creation continues unabated. valuable insights on how a TV show Cory works with media The explosion of massive amounts of resonates with viewers so content producers companies and OTT networks to help them content has made it increasingly difficult for and advertisers alike can better align a better understand their audiences, uncover emerg- OTT platforms to understand performance brand’s identity with a program’s sentiment ing trends and make strategic decisions across their and what resonates with their viewers. In this and personality. businesses by leveraging the company’s analytics increasingly competitive landscape, targeting More and more, content providers are platform TVLytics. a mass audience becomes less important than using insights reported by the TV fans targeting the right audience. As a result, themselves to highlight valuable data about in terms of emotional connection with content providers and distributors are finding the viewer experience. This sentiment and viewers and the reason they retain viewership the standard industry currency no longer engagement data can go deeper than just week to week, or binge multiple episodes in paints a complete picture of a show’s true asking viewers what they are watching: a 24-hour period. In essence, their viewing value. they can get a more nuanced understanding audience is in fact more engaged, which may not only of their detailed viewing behavior get overlooked by just focusing on the size of Using engagement as a factor for value but even more importantly, their emotional an audience as a leading indicator of success. beyond volume metrics experiences. In the Cross-Platform OTT Engagement In today’s fragmented media landscape, This type of rich contextual information graph, we illustrate how a show’s perceived it’s imperative to understand how viewers can tell the true story of how a TV show is value around success would have normally consume content and why they are performing. been based only on the number of viewers passionate about the content and characters An OTT platform or content developer, for (i.e. share of views), whereas engagement they gravitate to. As a result, sentiment and example, can use this type of sentiment data to tells another story. A top ten list of original engagement data provides the “why” behind demonstrate how their show is more relevant content available across popular OTT standard television metrics. and thus more attractive to an audience than platforms shows only one original title But how do we properly value a program a similarly popular show on a competing stands out as a winner in both the share of beyond its rating or volume metric? One platform. Using data around engagement and view and engagement categories: “Orange critical input is measuring how viewers sentiment, the OTT platform can demonstrate is the New Black.” However, a show like experience and respond to different shows how their show outperformed its competitor Netflix’s “Insatiable” highlights that beyond just controversy around the plot, the audience was heavily engaged with the content overall. “Bojack Horseman” which ranked eighth on the list, has a niche audience, thus lower share of views. Yet, the audience reacted more consistently on a per episode basis to “Bojack Horseman” than a show like “Ozark” with a bigger audience. Sentiment and engagement data should not be seen as a replacement for traditional viewership metrics. It can, however be used alongside viewership as a powerful tool in establishing the value of TV content. In this new era where there is no longer one solution and more television content than ever, industry participants need more than just “how many watched” to fully understand why a show succeeds, or doesn’t. �

DOCUMENT TITLE

AWS MEDIA SERVICES A PRACTICAL GUIDE TO -based processing and delivery services for Deploying cloud delivered video and Internet- broadcast

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