Photo credit: DMA
Asia's online video sector racked up $21 billion this year, & revenue is anticipated to climb 18% over the next five years [1]
Photo credit: apt.int
The video industry in the Asia Pacific region is set to become a major battlefield for global media companies - and there is a lot at stake. For example, a recent study on the Online Video and Broadband Distribution sectors, was conducted by Media
Partners Asia. - This shows that by 2023, there is likely to be an expansion of up to $48 billion. This incorporates advertising revenue and income from subscriptions, in a part of the world where there is a huge difference between user behavior patterns, and the degree of economic and infrastructure development.
Media Partners Asia’s executive director, Vivek Couto, who authored the report, noted that: “different payment models
are emerging across China, India and Southeast Asia including TVOD and shorter time commitments, freemium
tiers, bundles and loyalty programs tied to a broader mix of digital
services” [1].
The Largest Markets
It is likely that China, "where generalist and specialist video players already operate side by side, but where the global giants of video are largely excluded, [will] "account for 60% of the Asia-Pacific revenue, including 66% of regional subscription revenue" [1]. The next biggest markets include: Taiwan, South Korea, India, Australia and Japan [1].
The Largest Markets
It is likely that China, "where generalist and specialist video players already operate side by side, but where the global giants of video are largely excluded, [will] "account for 60% of the Asia-Pacific revenue, including 66% of regional subscription revenue" [1]. The next biggest markets include: Taiwan, South Korea, India, Australia and Japan [1].
By 2023, the revenue from subscriptions outside China is predicted to rise from $3 billion to $6 billion; and further, it is anticipated that the spend on online advertising (excluding China), will shoot up from $5 billion to $11 billion. The report by Media Partners Asia predicts that across the entire Asia Pacific area, content costs will increase at as rate of 14% per annum from $16.6 billion in 2018, to $31.5 billion in 2023. Further, with the exception of China, the investment in content, will reach $5.9 billion, up from $2.7 billion.
Early Innings
The report notes that the industry: "is in the early innings of an industry evolution which will require high levels of investment and strong balance sheets" [1]. In the case of standalone players: across the medium term, there is no clear pathway to the generation of substantial free cash, in any market. Moreover, big-scale TV players and integrated digital behemoths are subsidising their online video services losses. - However, with regard to local platforms in Japan, India, China and Australia, operational break-even is predicted within the near to medium term [1].
The Three Tech Kings
Along with Facebook and YouTube, analysis for 2018, indicates that that three mega video operators in the Asia Pacific (each of which are incorporated into bigger tech giants), are: China’s iQivi (which is predicted to gain close $2.7 billion); Tencent Video (which is thought will roll in $2.4 billion); and Youku (which is forecast to achieve $1.9 billion). And within the same region, Netflix has a predicted revenue of $750 million, while Amazon Prime Video has an estimated income of $320 million, in countries such as Japan and India, where it is readily available. [1].
Along with Facebook and YouTube, analysis for 2018, indicates that that three mega video operators in the Asia Pacific (each of which are incorporated into bigger tech giants), are: China’s iQivi (which is predicted to gain close $2.7 billion); Tencent Video (which is thought will roll in $2.4 billion); and Youku (which is forecast to achieve $1.9 billion). And within the same region, Netflix has a predicted revenue of $750 million, while Amazon Prime Video has an estimated income of $320 million, in countries such as Japan and India, where it is readily available. [1].
Advertising Spend & An Expected Surge in Ramping Up Sub Numbers
When it comes to Facebook and YouTube, this year in 2018, within Asia, these platforms' video advertising spend will be near the $4 billion mark, and most of this will be controlled by YouTube.
With regard to Netflix, its current success is largely due to its extended presence in New Zealand and Australia, although it is ramping up its sub numbers in Taiwan, other regions in S.E. Asia, and India. Moreover, in the not too distant future, Netflix is expected to surge in Korea particularly, as well as India [1]. Speaking to Variety, Couto stated: “All eyes are now on the landscape starting 2019 as Disney invests to scale global and local entertainment and sports offerings in Australia, India, Japan and Southeast Asia, following its acquisition of Fox.
Indonesia
Indonesia is one of the buoyant emerging markets where online video streaming platforms have started to have some success: "Falling smartphone prices and improved 4G coverage have also contributed to heighten smartphone penetration to 43 percent and to a growth in Subscription Video on Demand (SVOD) services" [2]. But SVOD means paying mandatory subscriptions, and this is not within the budget of a large percentage of the population which exceeds 260 million. So a viable free alternative is crucial. - Step forward OONA...
What
is OONA?
OONA TV is the
cool, interactive AVOD (ad-based video on-demand & live) OTT
entertainment platform which goes beyond TV and OTT. OONA's
Indonesian platform, OONA Indonesia, is currently set to offer 185
million plus Indonesians its free cutting-edge interactive
entertainment service that gives viewers the very best in top
international and national content on up to 300 channels. And on top
of this, OONA has other premium options available as well, so that everyone's
preferences are met. OONA is also is well on course for expansion in
other parts of Asia, Africa, South America, the Middle East, the US
and Europe.
A
Cut Above the Rest
The OONA platform is
unique in that it gives its viewers rewards in the form of a virtual
currency - tcoins (which can be exchanged for branded goods and
services, discounts, meals, fun days out, free phone minutes and
telcom products), just for watching content and personalised ads;
sharing the with friends and family; and interacting with OONA's
world first patented AI genie in the app, Siskabot.
Siskabot
Siskabot
serves as a personal assistant and virtual friend who has users'
favourite content ready and waiting for them. She also has regular
chats with viewers to see what kind of brands they are really keen
on, so she can arrange ads that will not only interest them, but save
them time and money. All personal information is kept strictly
confidential, and all of OONA's policies are completely transparent.
These
days, we all want flexibility. This is a number one consideration
with OONA, and its strategy empowers viewers so they can enjoy the
freedom of not being tied down with financial commitments to cable
companies etc. - In fact, OONA consumers have a whopping five
choices:
Option 1
Viewers do not have to pay subscription or data charges. This is because OONA's AVOD is completely funded by personalised ads which are regularly updated according to what branded products each individual consumer is interested in at the time. Further, the technology that OONA uses enables first-class digital FTA (free-to-air) broadcasting in a clear (unencrypted) form.
Option 2
Option 1
Viewers do not have to pay subscription or data charges. This is because OONA's AVOD is completely funded by personalised ads which are regularly updated according to what branded products each individual consumer is interested in at the time. Further, the technology that OONA uses enables first-class digital FTA (free-to-air) broadcasting in a clear (unencrypted) form.
Option 2
OONA's SVOD (subscription based live and
on-demand video service), offers viewers the choice of paying for
specific premium content on a daily, weekly, monthly, quarterly or
annual basis.
Option 3
Option 3
OONA's TVOD
(transaction-based live and on-demand video service), provides a
pay-per-view option. So for example, if a couple just want to enjoy a
newly released premium film on the odd Friday night or weekend, then
they do not have to sign up for an extended period of time, and be
burdened for paying for more content than they really want, like they
would have to with other platforms.
Option 4
Viewers can unlock premium content by using their tcoins (OONA's vitural currency rewards which can be used for telcom products, branded goods, meals and other fun things). These tcoins are easy to accrue from watching various channels, looking at ads, sharing content with friends and family, and interacting with OONA's AI Genie in the app, Siskabot. They are stored in a virtual wallet.
Option 5
Viewers can unlock premium content by using their tcoins (OONA's vitural currency rewards which can be used for telcom products, branded goods, meals and other fun things). These tcoins are easy to accrue from watching various channels, looking at ads, sharing content with friends and family, and interacting with OONA's AI Genie in the app, Siskabot. They are stored in a virtual wallet.
Option 5
Premium pay-TV content can be easily included in the
user's telcom data plan bundle.
The OONA Advantage for Studios and Channels
Studios can become channels on the OONA platform without any financial outlay. By doing this, they can enjoy full transparency and 100% access to data. Further, channels can click on and activate any business model they are interested in, and have flexibility in any market.
Studios can become channels on the OONA platform without any financial outlay. By doing this, they can enjoy full transparency and 100% access to data. Further, channels can click on and activate any business model they are interested in, and have flexibility in any market.
Patented Media Monitization and Deep Data
All of these advantages are made possible because of OONA's unique patented media monetization strategy, and the deep data that is regularly collected via chatbot engagement. Find out more here.
All of these advantages are made possible because of OONA's unique patented media monetization strategy, and the deep data that is regularly collected via chatbot engagement. Find out more here.
References
[1]. Frater, Patrick (2018). “Booming
Asia Video Market Will Be Key Battle for Global Conglomerates
(Study).” Variety. https://variety.com/2018/digital/asia/booming-asia-video-market-key-battle-for-global-conglomerates-1202911329/
Accessed 26 Aug. 2018.
[2]. Yun Kyung, Kim (2017). "Video on demand: An emerging industry."
http://www.thejakartapost.com/life/2017/08/08/video-on-demand-an-emerging-industry.html Accessed 26 Aug. 2018.
Accessed 26 Aug. 2018.
[2]. Yun Kyung, Kim (2017). "Video on demand: An emerging industry."
http://www.thejakartapost.com/life/2017/08/08/video-on-demand-an-emerging-industry.html Accessed 26 Aug. 2018.
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