TV executives brace for more change in 2020 | Media Analysis | Business | News | Rapid TV News
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Following another year of rapid development which saw major content owners launch direct-to-consumer services, new partnerships, broadcaster innovation and more investment in scripted content are set to define broadcast industry in 2020 says the latest 3Vision annual trends survey.
tubi 14Oct2019
The study covered major industry areas including content licensing, drama production, pay-TV initiatives and DTC services. It collated feedback from content owners, distributors, pay-TV platforms and technology vendors globally.

For the third year running, the survey showed that integration with SVOD services remained the key feature for pay-TV operators with 84% of respondents believing that pay-TV operators should be enabling their consumers to access SVOD services via bundling and/or integration.

Among these highlighted were the expected deal between Disney+ and pan-European operator Sky which would complement existing agreements with Canal+ (France), Verizon (US) and Charter (US). Jack Davison, EVP at 3Vision remarked that the industry should expect further announcements from major SVOD players and pay-TV operators this year”. “Pay-TV operators have now fully accepted the value of these services and are seeking to keep consumers within the pay-TV ecosystem through better integration,” he observed.

Executives surveyed were more confident than they were at this point last year that drama production levels would continue to grow (up 19% from 2019 to 71% in 2020). Moreover, the increasingly competitive market for all forms of talent and IP is fuelling the original production market. Davison added: “with studios launching their own services and repatriating content, and original content cutting through and working for services it’s hard to see any slowdown.”

With the AVOD market set to grow at pace, industry executives point to exclusive content (46%) and premieres (37%) as a way for broadcasters to succeed in this increasingly crowded space, with multiple services like Tubi and Rakuten TV announcing international expansion.

3Vision said that as traditional viewing continues to decline, broadcasters have been responding by enhancing their propositions with AVOD services. In a number of markets both free and pay broadcasters are innovating with their content release strategies. In Australia, commercial broadcaster SBS scheduled Whiskey Cavalier to drop as a boxset on its AVOD service as well as premiering on the linear channel. The Victim was only made available in Canada through CBC’s AVOD service, without any linear schedule.

The 3Vision study also showed that there is a 13% increase in 2020 (up to 68%) of executives believing that broadcasters will be more open to licensing in the second window following SVOD than in 2019. Data from the 3Vision Show Tracker showed a growing list of examples of broadcasters like RTL (Germany), SBS (Australia) and Warner TV (France) taking a show in its second window following Netflix or Amazon. A key issue for distributors has been estimating the value of a second window and the willingness of broadcasters to license a show that has already been made available in the market.