Tripping Points 2015, Part 1: Is Live TV Dead?

That39s a quote fromamp160Malcolm Gladwellamp160inamp160The Tipping Point How Little Things Can Make a Big DifferenceThe tripping point is a similar notion applying specifically to the ad industry where some traditions die hardamp160 The resistance to change requires more of a push so picture a raised threshold and a push from the circumstances around usamp160 In this threepart series we will examine three key areas in our industry where we predict 2015 will mark the Tripping Point beginning with live TV viewingThe Death of Live TVAt some point in the last few months through conversations with friends and family I realized that I do not know many folks who watch live TVamp160 I personally watch live TV though overall I am a light TV viewer and have lately been fixated on FiOS VODamp160 My mom watches live TV sheamp8217s now in her seventies never figured out how to set the time on her VCR back in the day and has tried hard not to adapt any postVCR technologiesamp160But the list ends thereamp160 My wife exclusively views Netflix and DVRamp160 My two grown sons both out on their own are cordcutters who mooch off our Netflix accountamp160 My grown daughter has a Rokuamp160 All my friends profess to bingewatch various series on Netflix Amazon Prime or DVRamp160 None of these people plan their evenings around primetime TV schedulesamp160 The notion of amp8220mustsee TVamp8221 remember amp8220Friendsamp8221 and amp8220Cosbyamp8221 is quaintamp160 Technology makes it possible and easy to timeshift viewing of any programOur newest TV is Internetenabled Live TV is essentially an app one of many apps available to choose from when we turn on the screenamp160 It is not a far reach to imagine all network and cable channels becoming appsamp160 We are already in a world where Bravo often seems to be all amp8220Real Housewivesamp8221 all of the time no doubt a scheduling tactic designed to appeal to consumers that prefer to bingewatchamp160 Why not take the extra step of letting them decide whether they want to bingewatch amp8220Real Housewives of Atlantaamp8221 or amp8220Real Housewives of New Yorkamp8221Where is the ResearchAs an advertising media professional I understand that my personal experience and that of everyone I speak to is not necessarily nationally projectableamp160 Yet I suspect many of you reading this now may identify with the picture I have painted above which begs the question where is the research that substantiates thisamp160 amp160amp160The alarming drop in TV ratings for cable and broadcast is well documented with declines in the double digits for 2014 and early 2015amp160 Much of this viewing would seem to be shifting to DVR but the data according to Nielsen does not seem to support thisamp160 In fact naysayers would claim that most TV viewing is live over 90 compared to timeshifted and DVR is only increasing by single digit points over the past three yearsamp160 Additionally game console and multimedia devices commonly used for viewing streaming VOD account for minimal share of average time spent viewing per day overall video viewing increases are largely due to mobileamp160The real story is the Nielsen data behind the data broadband households that pay for subscription VOD SVOD like Netflix Hulu Amazon or a combination of these streaming services are fundamentally different than other householdsamp160 Technology begets more technology and these households roughly 40 of the US and growing are hightech above average for enabled Smart TVs DVRs multiple PCs and tablets as well as PlayStationXbox videogame consoles amp160When you look at these broadband SVOD households they spend nearly double the amount of hours in front of their TV screen compared to other broadband or nonbroadband householdsamp160 Timeshifted and ondemand viewing of content enables them to consume more thereby reinforcing the behavior of leveraging their technology to do moreamp160 This suggests that as more consumers sign up for more streaming services and discover alternate sources that enable them to view content ondemand Hulu Crackle etc they will seek out ways to consume content on their timetableamp160 In other words once you have Netflix or Amazon or Hulu you never go backamp160 Live TV viewing will inevitably continue to declineHave We TrippedThe way the year is unfolding we have definitely tripped as far as live TV viewing is concernedamp160 Sure sports and big events will continue to attract larger live audiencesamp160 But for nearly everything else TV ratings continue to come up short down double digits in the first months of the yearamp160 Recent research from Hub Entertainment Research suggests 53 of all viewing among consumers 1674 is time shifted vs 47 live a statistic that matches my experience in contrast to the aforementioned Nielsen dataamp160 New streaming offerings like Sling TV CBS All Access and HBO Now are launched and their impact on the full year is as yet unclearamp160 Huluamp8217s announced distribution deal with Cablevision portends additional deals that will scale SVOD rapidlyamp160 In 2015 we trippedNextamp160Tripping Points 2015 Part 2amp160 The Content FrontsThe opinions and points of view expressed in this commentary are exclusively the views of the author and do not necessarily represent the views of Media Village management or associated bloggers Image at top courtesy of freedigitalphotosnetamp160

Click to Make Your 2025 Contribution to Support the MediaVillage Education Foundation

Tripping Points 2015, Part 1: Is Live TV Dead?

Author

Publish date

Channel

R Acquaotta

Empowering Women in Media: Insights from Industry Leaders (Video) - By E.B. Moss

More Videos:

Click to Make Your 2025 Contribution to Support the MediaVillage Education Foundation

Tripping Points 2015, Part 1: Is Live TV Dead?

Enjoying This Commentary? There's More to Love

R Acquaotta

Empowering Women in Media: Insights from Industry Leaders (Video) - By E.B. Moss

The payment was successful

Cookies