Digital age poses new challenges to broadcast industry. The market has become more fragmented. The behavior of consumers has been dramatically changed. New content creation models has been emerged. As a result, this environment created a fierce competition across media and broadcast agencies to attract the audience’s attention. Although new technologies brought challenges to the industry, they promise new opportunities to tackle these challenges. In this presentation, I discuss the application of business analytics for broadcast industry and showcase some examples of successful implementation of business analytics in broadcast agencies. Business analytics is the scientific process of transforming data into insight for making better decisions. By employing different data sources, business analytics can help broadcast agencies to better understand their consumers, identify opportunities for increasing their engagement with the content, target different segments more accurately, and predict consumers’ behavior and optimize allocation of resources across different media channels. As an example, Entravision, a media company targeting US Latinos, provides a platform which gives its clients access to Latino persona models and analytics. It helps provide clients with a clearer understanding of how Latino consumers behave. The Real‐Time Cloud Insights is another platform created by Entravision, which takes a client's data and integrates near real-time insights to build predictable, relevant models and can improve business efficiencies in real time. Another example is partnership between FOX Networks Group and Facebook to broadcast OUTCAST show in Facebook live and analyze the reaction of the audience behavior in social media. These examples illustrates the applications of analytics in the broadcast industry. It also indicates a new area has started in which the media agencies have no longer faced mass consumers. Instead, they need to treat them as individuals.

1. ANALYTICS FOR THE
BROADCAST INDUSTRY
By Farzad Minooei, MBA, PhD – November 2018

2. What is Business Analytics?
• Business Analytics (BA)
• Business Intelligence (BI)
• Data Driven Management
• Data Mining
• Artificial Intelligence

3. It is all about DECISION MAKING

4. How do managers make decisions?
•Tradition:
• “We’ve always done it this way”
•Intuition
• “Gut feeling”
•Rules of thumb
• “As the restaurant owner,
I schedule twice the number of
waiters and cooks on holidays”

5. Complexity: The nature of real world
problems
• More uncertainty
• More ambiguity
• More interconnectedness
• More elements

6. Business analytics definition
Business analytics is the scientific process of
transforming data into insight for making
better decisions.
(Definition by INFORMS)

7. What is new?
• Data Revolution
• Huge amounts of data
• Enhanced capability in
data storage
• Advanced data analysis
techniques and
algorithms

8. Challenges of broadcast industry in digital
age
• Shifting viewing habits
• Content model and consumers
• Fragmented viewing and prominence
• Rising content budgets
• New advertising models

9. Increasing expectations from media agencies
• Better understanding of the
audiences
• Better targeting
• Less expenditure
• More detailed reports
• Help make better strategic business
decisions
Quantitative
Marketing
Qualitative
Marketing

10. From audience perspective
Reference: IBM Analytics 2015

11. Broadcast Media Analytics

12. Consumers as individuals
• Traditional Structured Data
• ERP and CRM Systems
• Marketing Data
• 3-Party Audience / Market
Research
• Non-Traditional Un-structured Data
• Social Media
• Audio/Video
• Textual/Reviews
• Email/Chat/ SMS Correspondence
• Non-Traditional Data
• Consumption via STB,
VOD, IPTV, DVR
• Online Purchases &
Interactions
• Public Data

13. Analytics across multiple business functions
Reference: IBM Analytics 2015

14. How analytics is changing the game?
• 360º consumer profiling
• Know audience characteristics /preferences
• Microsegmentation
• Segment mapping
• Improve targeted advertising

15. How analytics is changing the game?
• Engagement and churn analytics
• Identify consumption drivers
• Reduce churn
• Calculate lifetime value

16. How analytics is changing the game?
• Consumer targeting
• Improve reach to target segments
• Increase campaign conversion
• Enable personalization

17. How analytics is changing the game?
• Audience forecasting
• Predict outcomes such as sales, views, …
• Optimize the media mix
• Predict behavior

19. Entravision
• Entravision: a diversified media company targeting US
Latinos
• Luminar (2012): the first "big data" analytics with the
goal of connecting marketers with U.S. Latino
consumers
• Four main factors influenced this decision:
• Become a data-driven organization
• Hispanic consumers are under represented
• Synergistic opportunity
• New revenue stream

20. Entravision
• Luminar Insights App
• Customer Decision Engine
• Real‐Time Cloud Insights

21. FOX Networks Group
• FOX Networks Group: 300+ entertainment,
sports, factual and movie channels in 45
languages across Latin America, Europe,
Asia and Africa
• FOX and Facebook partnership (2016)
• Pilot: OUTCAST
• Facebook Live and Brandwatch Analytics
• Add insight depth

22. FOX Networks Group
• Key results
• Dissecting the viewership
• Analyzing Sentiment and
Language
• Strengthening Brand
Association

23. Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster
• 2014 Winter Olympic Games broadcasting in Norway
• The transition of broadcasting rights from NRK to TV2
• Resulted in massive discussions
• Research Questions:
1. How did consumer behavior of the TV2 network change as a result of
broadcasting the Olympic Winter Games of 2014?
2. How was consumer opinion of the TV2 network affected during the
Olympic Winter Games of 2014?
3. How did consumer opinion towards TV2 and NRK differ during the
Olympic Winter Games of 2014?

24. Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster

25. Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster

26. Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster

27. Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster

28. Implications
• TV2 should continue hosting the Olympics
• Locating re-runs to popular time-slots is counter-effective and
should be avoided
• TV2 should optimize its social engagement capabilities to turn
opportunities into growth
• TV2 has to stop airing commercials at important moments in a
program, or very early in the programs.

29. Conclusion
• Think about the way you make decision
• Be aware of new business models
• Consumers as individuals
• Opportunities provided by Business Analytics
• Microsegmentation
• Increase in engagement
• Better targeting
• Forecasting and optimization

30. References
• Brandwatch (2018). “How New Technologies and Social Intelligence are Revolutionizing the
Media Industry“, brandwatch.com.
• EY (2013). “Future of Television”, ey.com.
• Ferguson, R. B. (2014). “Luminar Insights: A Strategic Use of Analytics”, Sloan Review,
https://sloanreview.mit.edu/case-study/luminar-insights-2 .
• Hennig, A. , Åmodt, A. S., Hernes, H., Nygårdsmoen, H. M., Larsen, P. A., Mukkamala, R. R.,
Flesch, B., Hussain A., Vatrapu, R. (2016). “Big Social Data Analytics of Changes in Consumer
Behavior and Opinion of a TV Broadcaster”.
• IBM Corporation (2015). “IBM Audience Insight for Broadcast/Cable Networks”.
• Lugmayr, A. (2011). “Current Issues in Broadcasting from a Market Perspective”.
• OFCOM (2018). “Public Service Broadcasting in the Digital Age”.

31. Thank You.