OTT Contributing to 90% of Growth in TV & Video Advertising Spend

"Research from Strategy Analytics has calculated that global consumer & advertising spend on TV and video will likely grow from $490 billion in 2017 to $559 Billion in 2022, with over-the-top services contributing 90% of this growth" [1].

Other research carried out by Strategy Analytics (a company which specialises in market intelligence), indicates that digital video ad revenue and consumer spending from OTT video services: iflix, NOW TV, Hulu, Amazon Prime Video, Netflix, Google Play, YouTube, and other online OTT TV companies, is likely to double between 2017 and 2022, thereby generating an increase of $123 Billion [2]. Further, OONA Mobile TV - the free, cutting-edge interactive, ad-based live and video on-demand platform, which is set up to serve 185 million plus Indonesians, and is well on its way to delivering its service to other parts of Asia, Africa, South America, the Middle East, the US and Europe, is also forecasting a very robust growth for its digital video ad revenue between 2019 and 2022.

                                        Photo Credit: SpotX

“OTT TV and video services will be the driving force behind future revenue” [2]

The founder and CEO of OONA, entrepreneur and leading digital strategist, Christophe Hochart, has a unique strategy that has made OONA a substantial channel of opportunity for TV channels and content holders. This is while simultaneously providing: the best of TV and AVOD entertainment including: acclaimed original series, films of all genres; documentaries, educational broadcasts, cookery specials, FashionTV, finance news from Bloomberg, international and local news, motoring shows, combat, football, and live sports and other live events. 

The genius in Hochart's business model is that the platform and its partners are entirely financed via a tailored personalised ad service. This is generated by the consumers' regular chats with OONA's patented AI genie in the app, Siskabot, together with data about the user's behavior on the platform (all of which is kept strictly confidential). So it is a win-win situation for the three way partnership: the TELCOM company, (such as Telkom Indonesia), the channels/content holders, and OONA.  In addition to this, OONA viewers stand to benefit the most compared to those who use other platforms.

OTT Revolution in a Box

OONA, which was founded by leading digital strategist, CEO, Christophe Hochart, has revolutionized the OTT TV media space in various different ways, one of which is in the sphere of advertising. The brillance in Hochart's business model is that the platform is entirely financed via a tailored personalised ad service.  - By integrating the platform's demographic-specific AI chatbot, Siskabot, who appears live when the user downloads the OONA app, and then continually carries out her duties as an Ad Personaliser Manager. Just like a real life counterpart, SiskaBot becomes a virtual friend, ready and waiting to chat and help 24/7. The regular discussions she has with consumers help to determine exactly what sort of programs they enjoy watching, and what type of brand products they really love and would like to get for a discount and good price. This, along with the users' behavior patterns and program choice preferences provide excellent data collection and data architecture which in turn, optimizes ad targeting and delivers the best brand benefits to every single user.

This AI personalized experience strategy builds customer loyalty by not only helping OONA consumers get what they want and save money, but by not subjecting them to irrelevant and annoying ads. Moreover, research indicates that the majority of users like being able to ask questions in real time, and appreciate a personalized online experience [3].

OONA understands competitive advantage, and that the name of the game is knowing your consumers extremely well. To that end, Siskabot, who appears like a genie on an overlay, regularly checks to see if she has done a good job for the user's ads experience, and asks what she can do better to serve her user. This feedback ensures that the consumer gets the very best that OONA has to offer in the way of optimized app ads and great money saving promotions. And on top of this, the users even get virtual currency tcoin rewards for interacting with the OONA app, chatting with Siskabot and other users, watching and sharing entertainment; and clicking, watching and sharing ads. These tcoins can be redeemed for all kinds of branded goods and services, meals, and fun days out, as well as free telephone minutes and telcom products.

Leading TV channel owners and content holders are taking an up close and personal look at all the advertising strategies regulated OTT companies such as OONA have to offer. But this is to be expected, when data from the GSMA Intelligence Report, Global Mobile Trends 2017, indicated that: “5 billion unique mobile subscribers globally was achieved in Q2 2017. [And] by 2020, almost 75% of the global population will be connected by mobile” [4].

OONA empowers TV channel companies and content owners by giving them a 100% control, customization and data transparency, without threatening their existing model. And this is one of the areas where OONA's highly successful strategy partnership is different to other platforms. Further, OONA adapts to each single market without changing its first-class universal user experience. The TV landscape, media content and economics of a particular country remain the same, and every OTT solution is framed using a custom designed model which is beneficial to both the channel company and the user.

The Rock & Roll of Programmatic Advertising

                                                   Photo Credit: Mirror

Programmatic advertising is a highly successful advertising option offered by OONA. It effortlessly streamlines the process of ad buying via the use of automated data-driven technology with various options including: 1. A programmatic advertising video (30 seconds), CMP and CPC revenue; 2. Programmatic display advertising (30 seconds), CMP and CPC revenue; 3. Programmatic advertising short-video (pre-roll 6 seconds); and 4. Pay per view micro-transactions.

                                                   Photo Credit: Geospatial World

What Exactly is So Advantageous about Programmatic Advertising?

“Programmatic advertising has risen to dominate the digital display market in just a few years, having accounted for just 13% of display adspend in 2012. Programmatic ad-spend grew from US$5bn in 2012 to US$39bn in 2016, at an average rate of 71% a year” [5]. And the spending for programmatic digital display advertising: “is projected to grow to 45.72 billion in 2019” [6].

Programmatic marketing empowers channel and content owners so they can target specific audiences. This can cover various demographic segments including location, social standing, gender, age and interests. Moreover, ads can be limited to certain frequencies and specific times in the day to coincide with target markets, such as in between OONA's live sports specials. With this method, channel and content owners are only paying for hugely effective adverts, delivered at the right time to the right people.

The bottom line is that programmatic advertising increases efficiency and saves money - two very valuable advantages. By opting for automation, it puts human beings out of the equation, and buying ads becomes less expensive and more dependable. Also, very importantly, program channels and content holders are able to optimize their KPIs (key performance indicators), and attain a deeper insight into the behavior of consumers [7].

In summary, the digital revolution is here and now, and this is rocketing up advertising spend.  More and more advertisers are getting on board the winning train which has already shown that it can take businesses to new audiences, and multiply their sales - regardless of which part of world they may be in... Is it any wonder that major entertainment studios have partnered up with OONA?

References

[1]. O'Halloran, Joseph (2018). “OTT spend to propel global TV, video spend to $559BN by 2022.” Rapid TV News. https://www.rapidtvnews.com/2018081553170/ott-spend-to-propel-global-tv-video-spend-to-559bn-by-2022.html#ixzz5OEmN2Rgf   Accessed 17 Aug. 2018.

[2]. Strategy Analytics (2018). "Strategy Analytics: Consumer and Advertising Spend on TV and Video Will Reach $559B Globally in 2022."  https://news.strategyanalytics.com/press-release/media-services/strategy-analytics-consumer-and-advertising-spend-tv-and-video-will   Accessed 17 Aug. 2018.

[3]. Kulbyte, Toma (2017). “32 Customer Experience Statistics You Need to Know for 2017.” Superoffice. https://www.superoffice.com/blog/customer-experience-statistics/ Accessed 17 Aug. 2018.

[4]. GSMA Intelligence Report. “Global Mobile Trends 2017.”  https://www.gsmaintelligence.com/research/?file=3df1b7d57b1e63a0cbc3d585feb82dc2&download  Accessed 17 Aug. 2018.

[5]. Zenith Media (2017). “Programmatic ads to grow 31% in 2017, ahead of all other channels.” https://www.zenithmedia.com/%EF%BB%BF%EF%BB%BF%EF%BB%BFprogrammatic-ads-grow-31-2017-ahead-channels/  Accessed 17 Aug. 2018.

[6]. Statistica (n.d.). "Programmatic digital display advertising spending in the United States from 2013 to 2019 (in billion U.S. dollars)."  https://www.statista.com/statistics/278727/programmatic-display-ad-spend-in-the-us/ 

Accessed 17 Aug. 2018.

[7]. Kloefkorn, Sheila (2017). “Trends In Programmatic Advertising To Watch This Year.” Forbes. https://www.forbes.com/sites/forbesagencycouncil/2017/05/16/trends-in-programmatic-advertising-to-watch-this-year/#781cb7cf7f11  Accessed 17 Aug. 2018.