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TV Execs See Live Sports as a Key Way to Win VOD Viewers

Nearly three-quarters see sports as differentiator

March 14, 2017 | Advertising & Marketing | Video

As the video-on-demand (VOD) category grows ever more crowded, players will find it even harder to stand out. Sports and other live content may be the key.

A January 2017 survey of TV industry professionals around the world—over 45% of whom were from France, Germany, Italy, Spain and the UK—from Digital TV Europe found that nearly three-quarters identified sports and other “time sensitive” content as differentiating factors.

Features that TV Industry Professionals Worldwide Consider Likely to Differentiate Video-on-Demand Services, Jan 2017 (% of respondents)

While live programming was the single most commonly cited feature for differentiation, a variety of other platform enhancements were noted by many of the survey respondents. More than two-thirds said that a reliable streaming experience without downloading issues was key—more than those who cited “offering a wide range of popular content” or even offering a service at a lower price point.

Worldwide, VOD revenues totaled $25 billion in 2016, according to data aggregated by Boston Consulting Group (BCG). This total included ad-supported, subscription-based and transactional content, as well as video distributed by digital offshoots of multichannel video programming distributors (MVPDs).

North America represented 57.2% of the global total at $14.3 billion. That percentage is close to the 59.7% of Netflix’s streaming revenues that came from the US in Q4 2016.

—Ben Clague

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