Big Screen. Small Screen. 3D Screen. We All Scream for Multiple Screens

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PART 5: Myers 2010-2012 Media Trends Report

The iPad and gaming have effectively destroyed the maxim that the computer is a lean forward experience while the large screen TV is a lean back experience. We watch videos and play games on all size screens and, thanks to Bluetooth embedded in televisions, we are reorienting our large screen usage by enabling full computer integration into large screen TVs with no wires or added technology. Whether it's large screen HDTV, 3D TV, iPad, cinema, computer, mobile or screens yet to be introduced, usage is being integrated across multiple functionalities. This reality and the resulting focus on online video and gaming is a trend that all media companies, agencies and marketers must address in their strategic plans.

The media industry has been so traditionally locked into rigid silos for the past six decades that it's unnatural for many companies to understand a dynamic that is grounded in convergence and integration. Applications and tools developed for one platform will naturally be embraced by consumers on other platforms. Business models, advertising applications, research methodologies and transactional capabilities implemented by distributors, content producers and marketers will be required for multiple platforms, with the end consumer platform choices being ultimately irrelevant.

Content producers must focus on screen-neutral distribution strategies and, to remain tech-relevant, advertisers must rethink their policy of buying advertising impressions exclusively through specific distribution platforms. They also need to sponsor/underwrite appropriate content and dynamically embed their messages in that content as it morphs across multiple platforms, with the consumer driving the process.

According to the Consumer Electronics Association, two-thirds of U.S. households now own a high-definition television, with 23% of Americans planning to purchase either their first or an additional HDTV in the next 12 months. A year ago, only 52% of U.S. homes had a high definition TV; by the end of 2010 that percentage will increase to an estimated 75% to 80% of U.S. households. Also by the end of this year, according to CEA and other data, at least 90% of U.S. homes will own at least one computer. Consumer electronics manufacturers are embracing and accelerating the convergence of the two platforms, requiring content producers and distributors to play catch-up in recognizing the shifting dynamics of consumers' viewing needs and expectations. Marketers and agencies must also recognize that long-promised but never-delivered interactive TV is already a reality via the Internet, even as Canoe Ventures, the consortium of six cable operators created to spur interactive offerings, makes progress in advancing basic "request for information" tools.

The new LG LX9500 high def TV, introduced last month, offers consumers Wi-Fi enabling connectivity so online content can be accessed through a wireless connection to a home network. LG's LX9500 series also incorporates LG's "Magic Wand" remote system that enables interaction with the set. Samsung is the exclusive HDTV partner for the invitation-only preview of Hulu Plus on connected devices, expanding the amount of premium HD content that is available to Samsung consumers. TiVo's premium set-top service includes state-of-the-art interactivity and integration of sophisticated marketing and enhanced content offerings. Netflix members can watch more than 12,000 movies and TV episodes on Sony BRAVIA Internet TV; members can rent movies and TV shows via TiVo and their Playstation 3 game console; and Netflix' streaming application is available on the iPad and the iPhone.

VUDU allows consumers to buy or rent from the largest library of movies and TV titles in Full HD 1080p resolution with no monthly fees or additional hardware. YouTube streams millions of Web videos directly from the Internet without the need for a personal computer. Yahoo! Widgets enables access to TV Widgets that allow viewers to interact with Internet services and online media through applications tailored to the needs of the watcher, such as up-to-the minute Yahoo! News, Weather and Finance, plus CBS, Showtime and CNBC. Picasa provides access to Google's photo software so consumers can view photo albums. Best Buy and Wal-Mart offer direct access – with or without a computer -- to movies, TV series and entertainment.

Obviously, this impacts the creative as well as media strategies. It also requires that attention be paid to GPS-based mobile social media applications such as Foursquareand Gowalla, which have been gaining popularity. These and similar apps will foster the advance of scanner-based applications and couponing across both mobile andhome-based media. Advertising revenue models will shift from the exclusive emphasis on cost-per-thousand impressions delivered and in the future will include micro-transaction commerce revenues, conversational marketing programs, promotional initiatives, commerce, cause outreach and event support, all driving hyper-local retail connections that tie national media and marketing programs to highly localized and GPS-based marketing intended to drive retail sales.

According to HomeTheaterReview.com, "advanced technologies like LED backlights and 3D are expected to provide a further catalyst for growth. LED backlight LCD TVs in particular are poised for explosive growth in 2010 as nearly every major TV brand will introduce a wide variety of models and sizes with aggressive targets for growth." Sports and gaming are at the leading edge of 3D technology. 276.8 million video game consoles sold to date validate the commercial and mainstream appeal of today's Wii, Xbox360 and Playstation 3, and add the many phone apps and other game platforms. Gamers and sports fans will eagerly embrace 3D content.

Advertisers have been very slow in converting their commercials to HDTV, many completely overlooking the message their lack of tech-savvy communicates to consumers. A failure by marketers to incorporate 3D commercials into 3D programs will result in an even more negative brand experience. 3D has the support of every video manufacturer in the world and many video and especially gaming companies are betting 3D will be the future of television.

Autostereoscopic 3D (meaning no glasses) is going to be a major breakthrough for 3D in five to seven years. "Between now and the time autostereoscopic 3D makes it to the mainstream, video games could be the proving ground for the technology. Gamers are the most willing customers for new software and hardware, assuming you can deliver them the outrageous AV experience, and 3D does just that. The video gaming industry might just be what drives the success of 3D between now and the day you don't need glasses to watch 3D content."

The adage that the television and computer are separate and distinct lean forward/lean back experiences is completely outdated. From massive screens at sports stadiums and experiential venues with integrated mobile-based dynamic real-time interactive content, to TV and movies on the iPad and mobile device, the consumer experience is convergent, integrated and all-encompassing. Content producers, distributors, agencies and marketers must quickly shake off the cobwebs of outmoded and obsolescent perceptions and strategies, and move quickly to adapt to this new reality.