Regional broadcasters get a feel of OTT services

Dubai: As more broadcasters deliver TV content on to their subscribers’ tablets, entertainment on the move might not seem an outlandish idea in the UAE or the other Gulf territories. Now, with tablets in sync, viewers are looking to another platform — smartphones — to take in programmes they just cannot do without.

With the telecom infrastructure — and high-speed connectivity — the GCC possesses, TV on your smartphone — or over the top (OTT) TV as the lingo goes in the industry — should not pose much of a challenge. Or is it?

Currently, such content delivery is done exclusively by Wi-Fi connections within a home or a hotspot zone outside. But beyond that, where 3G or 4G connectivity, comes into full play, such a delivery is not available as of now.

“The challenge that we face on these devices is how to deliver content that’s truly mobile,” said David Hanson, director of digital at the pay-TV broadcaster OSN. “If you’ve looked at the level of connection on your smartphone as you travel around the region, you’ll know that the level of connection can be changeable at times.

“We won’t release OSN Play as a mobile service until we know that the user experience is going to be a good one. Until we can guarantee that, we need to rely on Wi-Fi rather than roaming connections. We’d like to partner with the mobile network providers to deliver something that’s going to create a lasting model and that won’t frustrate our customers.”

Content delivery

A sense of caution in opening up the brave new world — for this region at least — of OTT TV is justified. In the UK, the BBC’s iPlayer has been phenomenal, while over in the US, a lot of activity is centred around non-TV content delivery,

In comparison, it is only over the recent past that regional broadcasters got active. OSN launched its service on tablets a year ago, while MBC, Al Jazeera and Abu Dhabi Sports are also in the space.

But to develop into a platform that could vie with TV viewership will need more players to come on board, and particularly the telcos in the region.

“Broadcasters need to recognize that consumers are getting more and more sophisticated and want to consume content on their own terms and not just have TVs as the sole screen,” said Hanson. “Our strategy then is to engage consumers. If you are in the pay TV network, you will expect subscribers to consume content wherever they are and on a second or third screens. That’s value for money for subscribers.

“Once OTT TV attracts advertising it will open up another revenue stream. There will be more broadcasters coming in — just now they are trying to figure what the business model is before they take the plunge.”

Once they do, they could find connecting with their core audience — the 18- to 49-year demographic — is that much easier.

“Undoubtedly OTT TV is geared towards a younger audience which engages with these devices,” said Christopher O’Hearn, general manager of TView, an audience measurement service provider. “But don’t forget the key target audience for most advertisers (and they’re the ones ultimately paying for the free content) is generally 18-49 years old.

Target audience

“Unless you have a specific product aimed outside this, then you have to use every avenue possible to effectively reach your target audience, and the content has to bring that audience in.”

But O’Hearn makes a further point that old platforms are not about to fade away. “Even in very mature markets TV viewing is not declining — there are many social and cultural as well as visual and technical aspects which will continue to make it the dominant visual medium for years to come,” O’Hearn added.

“But people who also watch TV content on other devices not only consume more content, they watch more on their television sets. They also use the devices at the same time as TV for additional content and social interaction, so the television screen remains the focal point around which these other devices orbit.”

If that is case, broadcasters and telcos with OTT TV plans should do so by offering it as an option and not a replacement. Moreover, content trumps all.