Transcript of "Henry Stewart Dam La Conference Pw C Public Cvm Blw 20121101"
www.pwc.comAdvancement of MAM:Unlocking the Value ofContentHenry Stewart EventsDAM LANovember 1, 2012
Let’s start by acknowledging the ubiquity of DAM’s market opportunities, which extend far beyond M&EThe DAM market is expected to cross By 2013, more than 25% ofthe billion dollar mark in 2015, driven the content that workersby: see in a day will be According to a• Corporate MARCOM dominated by pictures, survey of 800• Digital TV & HD mandates video or audio, leading to end-user IT• Web 2.0 and IPTV the severe disruption of organizations,• Mobile media existing content strategies software for• Post production workflows management -Gartner of images and - Frost & Sullivan video is the fastest- growing Video is the next generic Nearly half of information segment of the workers will have some content data type for enterprise management type of personal video information, and the M&E solution in 2016, up from market industry ‘s experiences in just 15% today video and other digital -Gartner media are the bellwether -Forrester for enterprise IT
But in M&E, digital spending drives global content growth…and the increased need to manage the assets Digital is defined as: • Online and mobile 2500000 Internet advertising Digital Content % Growth: • Mobile TV subscriptions • 17.6% in 2011 vs. 0.6% flat growth for non-digital • Digital music • 67% share of 2012-2016 growth 2000000 • Electronic home video • Online and wireless video games • Digital consumer 1500000 magazine circulation $ million spending • Digital newspaper 1000000 circulation spending • Digital trade magazine circulation spending • Electronic consumer, 500000 educational, and professional books • Satellite radio subscriptions 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 • Broadband and mobile Non-digital Digital Internet accessPwC
Global M&E consumer spendingDigital products are high-growth opportunities but, with lower per unit revenues WW Revenue Growth % WW Revenue Share % 2016 2011-2016 Non-Digital Digital Non-Digital Digital 37% 33% 63% 67% Source: PwC Global Entertainment and Media Outlook, 2012–2016 M&E companies need to balance a portfolio of strategic investments in high-growth digital products, while sustaining the profitability of lower-growth traditional content productsPwC
MAM is playing a more strategic role beyond cataloging,search, storage and archiveMonetizing the multiplatform content portfolio requires an integrated view toanswer core questions Decision-support in the Media Governance digital content era requires the combination of knowing: Process Content 1. What content you have, 2. The rights you have to Financial Rights monetize it, and Organization Systems 3. The proper business model for those titlesPwC 5
Monetizing the multiplatform content portfolioDigital media enables the provision of content in cross-divisional bundles infiner slices of a program; driving the need for better analyticsDiversified Media Enterprise The difficulty in managing such a contentTelevision Brands portfolio today, is the stovepipe nature of divisional IT infrastructures. Enterprise Data WarehouseBroadband video, For Advanced Analytics • A major Hollywood studio has over 75 MAM systems.Social media • Another studio has 80+ different Rights Repositories, e-commerce • Another had 12+ separate BU data warehouses, and cannot perform cross-BUVideo Games & Licensing analyticsPublishing • Yet another cannot report P&Ls by titlesPwC
Ownership and Platform Rights As multi-platform strategies emerge, an organization’s ability to execute relies onmanaging the complexities of rights issues. A major MSO’s rights are buried in For a leading cable network, unsearchable contract PDFs. the process to determine rights clearances takes up to 2 weeks. Slide and concepts property of Accenture 2007 Slide and concepts Product property of Accenture Slide and concepts 2007 property of Accenture 2007 For a cable MSO, with licensed programming, fines were in the $,$$$,$$$ PwC annually for violating contracts. 7
Effectiveness of marketing spendMajor Hollywood studios want to align marketing spend with real-time socialbuzz, website traffic, mobile apps, and consumer behavioral economicsPwC
Leading practicesContent Value Management (CVM)frameworkPwC 9
Content Value Management (CVM)CVM is a decision-support framework that aggregates and correlates content, itsintellectual property rights and associated financials, across channels andplatforms, promoting actionable understanding across business units. Diversified media enterprise Enterprise Layer – Finance, Legal, IT systems & infrastructure Broadcast TV Cable TV Theatrical Syndication New media Home & licensing entertainment Media Governance Process Content Financial Rights Organization SystemsPwC
Extending CVM with dynamic analytics enhances businessdecisions Agent-based System Dynamics –High Modeling – Captures complexities Predict mass such as non-linearity, Prediction behavior from diffusion and feedback What might happen? individual actions loops. and interactions. Monitoring What’s happening now?Complexity Analysis Predictive analytics and mining Why did it happen? Dashboards and Scorecards OLAP and advanced visualization tools Reporting What happened? Query, reporting, data searchLow Business value HighPwC
Dynamic analytics enhancing business decisionsFilm AnalyticsHow do I optimize the release windowing, platforms, and distribution strategyfor a film to maximize revenue across its lifecycle? • Do we have the right content in the right windows for the right amount of time? • What kind of content is right for this new service/platform?PwC
Dynamic analytics enhance business decisionsTV Content AnalyticsWhat is the overall value (financial and brand) of a television series, and how can Iimprove that? The value of content cannot be considered exclusively financial. Contents brand value should also be considered. The analytical model allows for a combination of quantitative and qualitative valuation, taking into account both financial and brand aspects of content value.PwC
Content Value Management (CVM)The CVM user experience presents information to the right people at the right time,in such a way that it is understandable and actionable Deal Management Rights/Finance by Analytics Geo, BU and Franchise (picture here) Multiplatform CVM CVM Content and Alerts Associated ViewsPwC Self Service reports
MAM at the center of operations and decision-support Effective media asset, rights, and title financial management are keys to improving and maintaining the profitability of your entire content portfolio • With accurate and real time assets, rights• Decision-support in the digital content • The automation and integration of these and financial information, organizations era requires the combination of knowing systems deliver this critical knowledge can make the right decisions for present what media assets you have, the rights combination and drive higher operational and future content distribution and obtain you have to monetize it, and the proper efficiency and lower error rates visibility on the likely impact of those business model for the title or portfolio decisions on revenue, costs and margin Theatrical Home Ent TV Personalized Internet Mobile Offer Management Linear On Demand OTT Business Rights Content Management Cost/Value Function Assets, Rights, and Financial Inf ormation Channel / Finance Integration Distribution Predictive Decision Exploitation Automation Management Analytics Support and Sales Framework Sales, Costs & Programming Media Asset Management Consumer Response PwC 15
Name Blake L. WhiteTel: 408-817-5838Email: Blake.L.White@us.pwc.com May 2012PwC 16
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