Besides expanding their content library depth, VoD service providers should focus on content discovery and also produce more local content to cater to audiences across different regions, said Tom Williams, co-founder and CEO of Ostmodern.
Tom Williams, co-founder and CEO at Ostmodern, highlights the themes he expects to take place in the video-on-demand (VoD) space this year
Video-on-demand (VoD) service providers should focus on developing ways to help viewers navigate through libraries of content to find relevant programmes to watch, said Tom Williams, co-founder and CEO at Ostmodern, a digital product design company based in London.
Discussing the themes that Ostmodern anticipates taking place in 2017 across the VoD space, he explained: “2016 has seen a deluge of content being produced and a fight for users’ attention, [and] 2017 looks set to continue this trend.
“While this seems hugely beneficial for users, the issue becomes deciding which content is worth taking the time out of their busy days to watch. While Netflix looks to be leading the way with their recommendation engine, some users are becoming increasingly frustrated by it.”
Instead of focusing on expanding VoD library depth, VoD providers should use content localisation to gain a competitive advantage, Williams emphasised. Operators are trying to produce more local content, he said, as they have realised the need to cater to the varying tastes of audiences across all regions.
This year, expect to see existing VoD providers and new market entrants identify and prioritise niche markets, as this will create new opportunities for user acquisition and sustained retention in dedicated audiences.
“Traditionally, VoD providers have primarily targeted mainstream audiences by providing them a ‘catch-all’ experience. As the market has matured and accessibility to VoD has grown across the globe, the viability of catering specifically to niche audiences is emerging,” Williams elaborated.
Separately, VoD providers also need to dedicate more time in understanding consumers’ viewing habits across devices, and the contexts in which they watch content.
“In 2017, VoD providers will dig deeper into the many different use cases of their customers, and will become more adept at accommodating these use cases in their product evolution and specifications,” Williams concluded.