TV & Video Consumer Trends 2011 - Ericsson
TV & Video Consumer Trends 2011 - Ericsson
TV & Video Consumer Trends 2011 - Ericsson
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<strong>TV</strong> & <strong>Video</strong><br />
<strong>2011</strong><br />
<strong>Consumer</strong> <strong>Trends</strong><br />
Global Version<br />
<strong>Ericsson</strong> <strong>Consumer</strong>Lab<br />
<strong>2011</strong>-11-01<br />
Anders Erlandsson, Niklas<br />
Rönnblom, Atli Ericson<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 1 (62)
<strong>Ericsson</strong> <strong>Consumer</strong>Lab<br />
› The voice of the consumer into <strong>Ericsson</strong> since 1995<br />
– Research representing opinions of more than 1.1 billion people<br />
– More than 80 000 Interviews every year<br />
– More than 40 countries worldwide<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 2 (62)<br />
Operators and<br />
service providers<br />
<strong>Consumer</strong>s
Table of Content<br />
› <strong>TV</strong>/<strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong><br />
› Creating your own <strong>TV</strong>/<strong>Video</strong> experience<br />
› The Role of Devices<br />
› <strong>Consumer</strong> Spending & Willingness to Pay<br />
› <strong>TV</strong>/<strong>Video</strong> Services and Features<br />
– Ranking<br />
– App <strong>TV</strong><br />
– Internet Add-ons<br />
– 3D <strong>TV</strong><br />
– Quality<br />
– Recommendations<br />
– Social <strong>TV</strong><br />
› Conclusions<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 3 (62)
Qualitative & quantitative<br />
22 households / 13000 <strong>TV</strong> viewers<br />
Representing the views of more than 430 M <strong>Consumer</strong>s<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 4 (62)<br />
Qualitative & quantitative<br />
Quantitative
Sample representative for<br />
more than 430 m consumers<br />
Population aged 16-59:<br />
Representativity of<br />
sample (16-59) in %:<br />
Representativity of<br />
sample (16-59) in size:<br />
Population aged 16-59:<br />
Representativity of<br />
sample (16-59) in %:<br />
Representativity of<br />
sample (16-59) in size:<br />
China<br />
urban<br />
Germany Spain Taiwan Sweden<br />
330 M 50 M 26 M 16 M 5 M<br />
42% 65% 57%* 79%* 76%<br />
139 M 33 M 15 M 13 M 4 M<br />
Brazil<br />
urban<br />
87 M<br />
25%<br />
22 M<br />
*) estimations using knowledge from similar markets<br />
Korea Australia Russia Netherlands Austria<br />
33 M 13 M 71 M 10 M 5 M<br />
80% 66% 35% 73% 58%<br />
27 M 9 M 25 M 7 M 3 M<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, Urban sample in China, Brazil & Russia, National sample all other markets<br />
urban<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 5 (62)<br />
UK<br />
36 M<br />
70%<br />
25 M<br />
US<br />
175 M<br />
67%<br />
117 M<br />
Total<br />
<strong>2011</strong><br />
858 M<br />
51%<br />
>430 M<br />
13 Markets
<strong>TV</strong>/<strong>Video</strong><br />
<strong>Consumer</strong> trends<br />
Changes in <strong>Consumer</strong> behaviour
<strong>Consumer</strong> <strong>TV</strong>/<strong>Video</strong> Viewing<br />
Habits comparison 2010-<strong>2011</strong><br />
› More than 8 out of 10 still<br />
watch broadcast <strong>TV</strong><br />
several times per week<br />
› Slightly decreased<br />
recording of broadcast<br />
<strong>TV</strong> 48% (53%)<br />
› More than 50% (45%)<br />
use video on-demand<br />
(streamed or<br />
downloaded content)<br />
several times per week<br />
Scheduled broadcast<br />
<strong>TV</strong><br />
Recorded broadcast<br />
<strong>TV</strong><br />
Short video clips, e.g.<br />
Youtube<br />
Watch DVD/Blu-ray<br />
etc<br />
Streamed <strong>TV</strong> shows<br />
Downloaded video<br />
content<br />
Streamed Movies<br />
Pay-per-view<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 7 (62)<br />
<strong>Consumer</strong> <strong>TV</strong>/<strong>Video</strong> Viewing Habits (several times/week)<br />
15<br />
15<br />
31<br />
31<br />
30<br />
33<br />
34<br />
36<br />
35<br />
39<br />
48<br />
50<br />
49<br />
0 20 40 60 80 100<br />
Question: How often do you use the following services?<br />
Base: All (US, UK, Sweden, Germany, Spain, China and Taiwan)<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong> & <strong>Ericsson</strong> <strong>Consumer</strong>Lab Multiscreen Media Consumption study 2010<br />
53<br />
85<br />
88<br />
<strong>2011</strong><br />
2010<br />
It’s impossible for me to<br />
DVR that stuff because<br />
in this day and age you<br />
can’t watch a ball game<br />
after it’s been played!<br />
Mike, 32, US<br />
%
<strong>TV</strong>/<strong>Video</strong> <strong>Consumer</strong> trends<br />
<strong>Consumer</strong>s have begun to pay for VOD services,<br />
spending on average > €9 per month<br />
VOD<br />
COMMERCIAL VOD<br />
SERVICES ARE TAKING<br />
OFF IN THE US…<br />
Three main reasons<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 8 (62)<br />
More new and old content to choose from<br />
More user friendly and simple<br />
Attractive price models and price levels
<strong>TV</strong>/<strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong><br />
From…<br />
What is on<br />
right now?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong><br />
…to:<br />
What do I feel<br />
like watching<br />
right now?<br />
And now also:<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 9 (62)<br />
Who else is<br />
watching this<br />
right now?
Activities While Watching <strong>TV</strong><br />
Talk with others in the<br />
same room<br />
Eat in front of the <strong>TV</strong><br />
Browse Internet<br />
Talking on the phone<br />
Use social forums or blogs<br />
(e.g. Facebook, Twitter)<br />
Reading/studying<br />
Chat (e.g. MSN, Skype,<br />
Facebook chat)<br />
Play games (e.g. Angry<br />
birds, World of Warcraft)<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 10 (62)<br />
26<br />
33<br />
33<br />
0 10 20 30 40 50 60 70 80 %<br />
More than 40% use Social Media while watching <strong>TV</strong><br />
(on a weekly basis)<br />
Question: Which activities do you do at the same time as you are watching <strong>TV</strong>?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: ALL, 13 Markets<br />
42<br />
50<br />
64<br />
68<br />
68
“Creating” your own<br />
<strong>TV</strong>/<strong>Video</strong> Experience<br />
The consumer logic
The consumer logic<br />
› I want to experience this<br />
particular content…<br />
› Which is the most convenient<br />
way to do that?...<br />
› Which technology and which<br />
sources can I use to access it?<br />
› Ok, I will customize a <strong>TV</strong> setup<br />
that gives me convenient access<br />
to this content!<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 12 (62)<br />
CONTENT
Focus on the Experience<br />
<strong>Consumer</strong>s think in terms of experiencing content, not the<br />
specific technology<br />
› Technology & methods<br />
› Individual functions<br />
› Services<br />
Question: To what degree do you agree to the following statements? (top 2 out of 7)<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All 13 markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 13 (62)<br />
› The overall experience<br />
› Focus on experiencing<br />
content<br />
32% - It is not important to own or store<br />
<strong>TV</strong>/video content. The important thing is<br />
to always have access to it online
When the experience fails…<br />
@<br />
“Internet is an experience, not a technology!”<br />
@<br />
› Internet is a daily habit<br />
› We expect a certain experience<br />
– User friendly<br />
– Limitless<br />
– Efficient and fast<br />
@<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 14 (62)<br />
› Internet enabled <strong>TV</strong>’s provide<br />
something else<br />
– Hard to control and navigate<br />
– Restricted and limited<br />
– Slow<br />
@<br />
Internet on the <strong>TV</strong> is just inferior. It takes<br />
way too long..<br />
Franz, 31, Germany
The Role Of Devices
The role of devices<br />
The role of devices is changing…<br />
From accessing devices… …to accessing content!<br />
Question: To what degree do you agree to the following statements? (top 2 out of 7)<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All 13 markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 16 (62)<br />
35% - There is no longer any need to<br />
buy/rent DVD/Blu-rays - everything I<br />
need is available through the Internet
The PC and physical media is<br />
leaving the <strong>TV</strong> equation<br />
Broadcast<br />
channels<br />
2010<br />
+ + +<br />
Streamed,<br />
DL files<br />
DVD &<br />
Blue-Ray<br />
Broadcast<br />
& Catch up<br />
<strong>2011</strong><br />
Streamed<br />
& VOD<br />
› Built-in or separate smart boxes makes<br />
on-demand super simple<br />
› <strong>Consumer</strong>s are “creating” their own remotes<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 17 (62)<br />
+<br />
Enhanced<br />
remote<br />
Broadcast,<br />
Catch up,<br />
Streamed & VOD<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong> & <strong>Ericsson</strong> <strong>Consumer</strong>Lab Multiscreen Media Consumption study 2010<br />
Beyond 2013<br />
+<br />
Enhanced remote<br />
& true mobile<br />
<strong>TV</strong>/<strong>Video</strong> habits<br />
What I love about the Apple <strong>TV</strong><br />
is that I can throw anything on<br />
the <strong>TV</strong> from my phone, like<br />
Youtube at parties!<br />
John, 14, US
Hours/week watching on<br />
different devices<br />
Tablet users are heavy consumers of <strong>TV</strong>/<strong>Video</strong> outside the home<br />
<strong>TV</strong>-Screen<br />
Desktop computer<br />
Laptop<br />
Smartphone<br />
Portable video player<br />
Tablet<br />
Other screen<br />
At home Away from home<br />
0 2 4 6 8 10 12 14 16<br />
Question: How many hours per week do you actively watch <strong>TV</strong> or other video content on the following screens in your household/away from home?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: Have and use resp. device, 13 markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 18 (62)<br />
Average<br />
hours per<br />
week
The role of Devices – Tablet<br />
Six roles of the tablet for <strong>TV</strong>/video consumption…<br />
1. Enhanced <strong>TV</strong> remote<br />
6. Alternate screen<br />
2. Remote DVR<br />
management<br />
5. Game console<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 19 (62)<br />
3. Social tool<br />
4. Content discovery<br />
& push to main screen
The role of devices – Smartphone<br />
Five roles of the smartphone for <strong>TV</strong>/video consumption…<br />
1. <strong>Video</strong> clip screen<br />
5. <strong>TV</strong> schedule<br />
2. Enhanced <strong>TV</strong><br />
remote<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 20 (62)<br />
3. Remote DVR<br />
management<br />
4. Social tool
The role of devices – APP <strong>TV</strong><br />
1. Access on-line VOD services<br />
(NETFLIX)<br />
10. Wireless home<br />
(less clutter, less cables)<br />
Ten potential roles of the APP <strong>TV</strong>…<br />
2. Access on-line<br />
catch-up <strong>TV</strong> services<br />
(BBC iPlayer)<br />
9. <strong>Video</strong> Comm<br />
(Skype)<br />
8. Social tool<br />
(facebook)<br />
3. <strong>TV</strong> schedule /<br />
Electronic Program Guide<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 21 (62)<br />
5. Stream local<br />
content<br />
6. Access on-line<br />
video clips<br />
(Youtube)<br />
7. Internet Access<br />
(Google)<br />
4. Content Discovery<br />
But most of the roles are yet to be addressed successfully!
<strong>Consumer</strong> Spending &<br />
Willingness to pay
<strong>Consumer</strong> <strong>TV</strong> Media Spending<br />
New technology = new possibilities & new costs<br />
Increased<br />
hardware<br />
costs<br />
Increased<br />
<strong>TV</strong> provider<br />
costs<br />
Increased<br />
content<br />
costs<br />
Increased<br />
internet<br />
costs<br />
Choose less<br />
pricey <strong>TV</strong><br />
providers<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 23 (62)<br />
Choose cost<br />
efficient internet<br />
based On-demand<br />
solutions<br />
Look for relevant<br />
payment models<br />
Download illegally
Paying for ON-demand Content<br />
People pay for content on both <strong>TV</strong> and the computer.<br />
People are getting used to pay for content<br />
<strong>TV</strong> screen<br />
Desktop computer<br />
Laptop<br />
Smartphone<br />
Tablet<br />
Portable video player<br />
Other<br />
Question: On which of these screen(s) do you pay for downloaded/streamed videos?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: Users of each device, 13 Markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 24 (62)<br />
3<br />
3<br />
4<br />
9<br />
0 5 10 15 20 25 30<br />
20<br />
22<br />
24<br />
%
<strong>Consumer</strong> interest in Different<br />
ways to pay for live <strong>TV</strong> & HD <strong>TV</strong><br />
Fixed monthly<br />
fee for a live<br />
event package<br />
Pay a fee per<br />
live event<br />
Use info about<br />
you to<br />
personalize <strong>TV</strong><br />
ads (discount)<br />
Heavily<br />
increasing the<br />
commercials<br />
(discount)<br />
Live <strong>TV</strong> HD <strong>TV</strong><br />
8<br />
12<br />
0 5 10 15 20 25<br />
16<br />
21<br />
%<br />
Fee to see all your<br />
regular <strong>TV</strong>/<strong>Video</strong><br />
content in HD<br />
quality<br />
Fee to upgrade a<br />
specific <strong>TV</strong>-channel<br />
to HD quality<br />
Fee to upgrade a<br />
specific <strong>TV</strong><br />
program to HD<br />
quality<br />
Use info about you<br />
to personalize <strong>TV</strong><br />
ads (discount)<br />
Increasing the<br />
amount of<br />
commercials<br />
shown (discount)<br />
0 5 10 15 20 25 %<br />
Fixed fee with unlimited usage are much more<br />
appreciated than increased advertising<br />
Question: Regardless of how you pay for <strong>TV</strong>/video today, in what ways would you be willing to pay for watching different live <strong>TV</strong> (e.g. live events and<br />
sports)? AND in what ways would you be willing to pay for being able to see <strong>TV</strong>/video in HD quality? Please select all the payment methods you would<br />
consider<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 25 (62)<br />
6<br />
9<br />
10<br />
12<br />
22
<strong>Consumer</strong> interest in Different<br />
ways to pay for <strong>TV</strong>-series & Movies<br />
Pay a fee to see<br />
all existing<br />
episodes of a <strong>TV</strong>series<br />
Pay a fee per<br />
episode of a<br />
certain <strong>TV</strong>-series<br />
Use info about<br />
you to<br />
personalize <strong>TV</strong><br />
ads (discount)<br />
Heavily<br />
increasing the<br />
commercials<br />
(discount)<br />
<strong>TV</strong>-Series Movies<br />
8<br />
13<br />
14<br />
0 5 10 15 20 25 30 %<br />
Question: Regardless of how you pay for <strong>TV</strong>/video today, in what ways would you be willing to pay for watching different <strong>TV</strong>series/Movies?<br />
Please select all the payment methods you would consider<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 26 (62)<br />
25<br />
Fee for each specific movie<br />
Monthly fee to watch as many<br />
movies as you want<br />
Fee to get 24 hour access to all<br />
movies in VOD catalogue<br />
Use info about you to personalize<br />
<strong>TV</strong> ads (discount)<br />
Increasing the amount of<br />
commercials shown (discount)<br />
Cost control and unlimited consumption of the right<br />
content is high on consumer agenda<br />
7<br />
10<br />
15<br />
23<br />
26<br />
0 5 10 15 20 25 30<br />
%
<strong>Consumer</strong> interest in Different ways to pay<br />
for Multiscreen and impact of Data cost<br />
Pay a monthly fee<br />
for access through<br />
all your devices<br />
Pay a fee each time<br />
you want to access<br />
Pay a monthly fee<br />
for each separate<br />
device<br />
Use info about you<br />
to personalize <strong>TV</strong><br />
ads (discount)<br />
Increasing the<br />
amount of<br />
commercials shown<br />
(discount)<br />
Multiscreen Data costs<br />
5<br />
8<br />
0 5 10 15 20<br />
10<br />
10<br />
18<br />
%<br />
I wouldn't watch any<br />
<strong>TV</strong>-/video content at<br />
all<br />
I would try to only<br />
watch when having<br />
access to free WiFi<br />
I would reduce the<br />
time watching, in<br />
order to reduce data<br />
costs<br />
I would keep<br />
watching, but would<br />
be unhappy<br />
I would watch just<br />
as, since I can<br />
afford it<br />
Limited “interest” in paying extra for <strong>TV</strong>/video content on<br />
all devices. Data traffic cost is a substantial barrier<br />
Question: Regardless of how you pay for <strong>TV</strong>/video today, in what ways would you be willing to pay for being able to access all your <strong>TV</strong>-/video content<br />
on all your different devices? Please select all alternatives you would consider AND Watching <strong>TV</strong>-/video content on mobile devices when away from<br />
home generates mobile data charges. If you would have to pay for the amount of data (Mb) used how would this affect your habits? Please chose one<br />
alternative<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 27 (62)<br />
7<br />
10<br />
0 5 10 15 20 25 30 35 40<br />
20<br />
29<br />
34<br />
%
File sharing Story - Its all about<br />
offering the best service<br />
<strong>Consumer</strong>s don’t want to be pirates, but…<br />
Illegal alternatives<br />
Triggers<br />
› Lack of attractive legal alternatives<br />
– Access to “all” content<br />
– Timely access to new releases<br />
– Price (free)<br />
– Flexibility to play on all devices<br />
– Considered victimless crime<br />
Barriers<br />
› Cumbersome<br />
› Time consuming<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 28 (62)<br />
Legal alternatives<br />
Triggers<br />
› Easy to use<br />
› High quality<br />
› Instant access<br />
Barriers<br />
› Price<br />
› Limited amount of content<br />
› Delayed access to new releases<br />
(windowing)<br />
› Pay per device / DRM
File sharing Can Be Reduced!<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
60%<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
File sharing Other <strong>TV</strong>/Cable<br />
operator Ondemand<br />
service<br />
Movistar<br />
Imagenio<br />
<strong>Video</strong>club<br />
Base: Spanish on-demand (streaming & downloading content) users (766 users out of 1018)<br />
0%<br />
Other File sharing Amazon<br />
Instant <strong>Video</strong><br />
Apple iTunes Operator Ondemand<br />
(e.g.<br />
AT&T)<br />
Base: US on-demand (streaming & downloading content) users (589 users out of 1046)<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 29 (62)<br />
Orange <strong>TV</strong> Ojo Jazztelia Filmotech.com<br />
<strong>TV</strong> Network<br />
homepage<br />
Netflix Hulu<br />
Spain<br />
New & old content Attractive pricing User friendly & simple<br />
Question: When you watch downloaded/streamed video, which services do you use?<br />
US
<strong>TV</strong>/<strong>Video</strong> services and<br />
features
Ranking OF <strong>TV</strong>/<strong>Video</strong> services<br />
2010 and <strong>2011</strong><br />
Standard quality<br />
Excellent quality<br />
Free from<br />
ads/commercials<br />
Usability, super<br />
simple interface<br />
The Wireless<br />
home<br />
Time shift<br />
A lot <strong>TV</strong> channels<br />
Personalised<br />
<strong>TV</strong>/<strong>Video</strong> content<br />
Internet on <strong>TV</strong><br />
Interactive <strong>TV</strong><br />
Important features 2010 Important features <strong>2011</strong><br />
23<br />
29<br />
35<br />
41<br />
40<br />
43<br />
47<br />
49<br />
51<br />
65<br />
0 10 20 30 40 50 60 70<br />
Standard quality<br />
Excellent quality<br />
Usability, super<br />
simple interface<br />
The Wireless home<br />
Personalised<br />
<strong>TV</strong>/<strong>Video</strong> content<br />
Free from<br />
ads/commercials<br />
Extreme quality<br />
(HD++)<br />
A lot of <strong>TV</strong><br />
channels<br />
Watch dow nloaded<br />
content on <strong>TV</strong><br />
<strong>Video</strong> telephony<br />
(Skype)<br />
Question: How important are the following services/features to you? Answers 6 or 7 on a 7 graded scale, where 1 means not important at all, and 7<br />
means very important.<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: 7 countries (US, UK, Germany, Sweden, Spain, China & Taiwan)<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 31 (62)<br />
21<br />
30<br />
0 10 20 30 40 50 60 70<br />
40<br />
42<br />
45<br />
45<br />
44<br />
46<br />
56<br />
TOTAL 7<br />
% %<br />
Quality is still the most important factor, Personalized <strong>TV</strong> is increasing<br />
64
Willingness to pay V.s.<br />
Important Features<br />
Excellent quality<br />
Extreme quality (HD++)<br />
Standard quality<br />
Theatrical releases direct on <strong>TV</strong><br />
Free from ads/commercials<br />
Time shift<br />
Personalised <strong>TV</strong>/<strong>Video</strong> content<br />
The Wireless home<br />
A lot of <strong>TV</strong> channels<br />
3D <strong>TV</strong><br />
Internet on the <strong>TV</strong><br />
Usability, super simple interface<br />
<strong>Video</strong> telephony (Skype)<br />
Interactive <strong>TV</strong><br />
Apps on the <strong>TV</strong><br />
Worth paying for <strong>2011</strong> Important features <strong>2011</strong><br />
Total 13 countries<br />
0 5 10 15 20 25 30 %<br />
35<br />
Standard quality<br />
Excellent quality<br />
Usability, super simple interface<br />
The Wireless home<br />
Personalised <strong>TV</strong>/<strong>Video</strong> content<br />
Free from ads/commercials<br />
Extreme quality (HD++)<br />
A lot of <strong>TV</strong> channels<br />
Theatrical releases direct on <strong>TV</strong><br />
Internet on the <strong>TV</strong><br />
<strong>Video</strong> telephony<br />
Interactive <strong>TV</strong><br />
Apps on the <strong>TV</strong><br />
0 10 20 30 40 50 60 70 %<br />
Quality is still the most important factor, Personalized <strong>TV</strong> is increasing<br />
Question: How important are the following services/features to you? & Which of the following services/features do you consider worth paying for?<br />
Answers 6 or 7 on a 7 graded scale, where 1 means not important at all/not worth paying for, and 7 means very important/definitely worth paying for.<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All (13 markets)<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 32 (62)<br />
Time shift<br />
3D <strong>TV</strong><br />
TOTAL 13<br />
COUNTRIES
App <strong>TV</strong><br />
<strong>TV</strong>’s with built-in app functionality
The built-in app experience<br />
What is an app?<br />
› A dedicated program<br />
› Very simple and easy use<br />
› Provides instant access<br />
Apps on the <strong>TV</strong> should provide an as good experience as<br />
we are all used to<br />
<strong>Consumer</strong> expectations for “smart” <strong>TV</strong>’s with apps<br />
and internet browsers are born elsewhere<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 34 (62)
App <strong>TV</strong>’s are not a success so far…<br />
The app experience on the <strong>TV</strong> isn’t good enough..<br />
› Too slow, apps should be instant<br />
› Hard to maneuver<br />
– The “classic” remote isn’t up to the task<br />
› Internet is slower than on other devices<br />
› <strong>TV</strong> apps provide a too limited functionality<br />
› Poor selection of apps,<br />
– Few apps are relevant for the big screen<br />
How do I write www.google.com using digits 1 to 9?<br />
The app experience shouldn’t be contained to one device<br />
1. <strong>Consumer</strong> acquired the app (free or paid)<br />
2. <strong>Consumer</strong> perceive they own the app<br />
3. Accordingly the app should be his/hers to<br />
use on any device<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 35 (62)<br />
www
Internet Add-On<br />
Solutions<br />
Getting internet content<br />
on the <strong>TV</strong> Screen
Add-on solutions vs. App <strong>TV</strong>’s<br />
Internet add-on solutions are preferred to app <strong>TV</strong>’s<br />
Faster<br />
Cheaper<br />
More functionality<br />
Greater connectivity<br />
Better Internet experience<br />
Easier to use and maneuver<br />
Possible to upgrade instead of replace<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 37 (62)
PC-<strong>TV</strong> connection, no longer the<br />
only choice…<br />
No longer deemed necessary in order to access<br />
Internet and OTT services on the big screen<br />
10% of the respondents have a<br />
separate/add on box for online <strong>TV</strong><br />
Internet add-on solutions appear to replace the previous <strong>TV</strong>-PC connection in<br />
many households<br />
Do you have any of the following devices in your household?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: ALL, 13 Markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 38 (62)<br />
Able to provide the most requested online<br />
content on the big screen in a user friendly way<br />
The simplicity of Add-on’s are enabling advanced behavior for new target<br />
groups<br />
Primary usage of internet add-on<br />
› Streaming movies an series<br />
› Accessing stored content<br />
› Web-<strong>TV</strong> and video clips<br />
› <strong>TV</strong> related browsing
Features available to the <strong>TV</strong><br />
It is more common to have both internet browsing and app functionality built<br />
into the <strong>TV</strong>, than available through other devices (e.g. Apple-<strong>TV</strong> or PC)<br />
Apps (able to install and<br />
use apps on <strong>TV</strong>)<br />
Internet browsing (browse<br />
Internet on <strong>TV</strong>)<br />
Supported by/built into the <strong>TV</strong> Through other device (Boxee, PC..)<br />
0 5 10 15 20 25 30 35<br />
Question: What of the following features are accessible through your <strong>TV</strong>-screen/projector?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All 13 markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 39 (62)<br />
%
3d <strong>TV</strong><br />
Watching <strong>TV</strong> in 3 Dimensions
3D <strong>TV</strong> – So far no huge success<br />
3D - Not really worth the effort of overcoming the barriers<br />
Perception of 3D <strong>TV</strong>’s<br />
› Perceived as cool and exciting<br />
› More of a gimmick than a must have<br />
› Not perceived as important as the step<br />
from SD to HD quality<br />
› Still in its infancy, will become more<br />
relevant as it matures<br />
3D<br />
Low/no usage of 3D <strong>TV</strong>’s<br />
› Little 3D content available<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 41 (62)<br />
› 2D to 3D conversion not that good<br />
› Only adds value to certain<br />
types of content<br />
› Glasses are expensive<br />
– Need more than one pair<br />
› Glasses are annoying<br />
– What if you wear glasses?<br />
› 3D without glasses is not good enough<br />
We got the 3D <strong>TV</strong>, although we haven’t watched<br />
anything. We got a bunch of 3D movies, but we only<br />
have four pair of glasses and there are six of us.<br />
Susan, 40, US<br />
12% of the respondents have a 3D <strong>TV</strong> in their household
Quality<br />
Quality experience and concern
Quality<br />
<strong>TV</strong> screen viewing is driving quality concerns<br />
› <strong>TV</strong>/video viewing return to the <strong>TV</strong> screen<br />
› Increased quality concerns<br />
› <strong>Consumer</strong>s expect a better experience<br />
on the <strong>TV</strong><br />
› <strong>Consumer</strong>s invest in order to improve<br />
the quality of the <strong>TV</strong> experience<br />
› Social aspects increase the importance<br />
of Quality<br />
Question: How important are the following services/features to you?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 43 (62)<br />
<strong>TV</strong>/video<br />
viewing is<br />
returning to<br />
the <strong>TV</strong><br />
screen<br />
52% of the respondents consider HD quality to be a very<br />
important feature, 39% thinks the same about the option<br />
to get even higher quality
Quality<br />
The notion of quality is connected to hardware<br />
46<br />
The important thing about the <strong>TV</strong> set<br />
is, first of all, the size. 46 inches. It<br />
was important to have a large <strong>TV</strong> set.<br />
The quality of the picture was<br />
important for us and that it’s a very<br />
sharp picture. That the colors are right.<br />
Christel, 37, Germany<br />
› Many believe that image quality is<br />
primarily a result of the <strong>TV</strong> screen<br />
› They rely on hardware to secure and<br />
upgrade the <strong>TV</strong> quality<br />
Question: What of the following features are accessible through your <strong>TV</strong>-screen/projector?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 44 (62)<br />
› The more up-to-date hardware, the better<br />
the image and audio quality<br />
53% of the respondents claim that they<br />
have a <strong>TV</strong>-screen in the household that<br />
supports 720p or higher video quality
Quality<br />
The experience of AV quality depends on several factors<br />
CONTENT:<br />
High involvement content<br />
like movies and series<br />
require higher quality<br />
DEVICE:<br />
Quality perception differs<br />
between devices<br />
PREVIOUS EXPERIENCE:<br />
<strong>Consumer</strong>s used to HD have trouble<br />
accepting SD quality<br />
QUALITY<br />
FULL HD<br />
1080<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 45 (62)<br />
CONTEXT:<br />
Number of people<br />
watching, location,<br />
disturbances, light etc.<br />
THE SERVICE:<br />
<strong>Consumer</strong>s expect<br />
premium quality when<br />
you pay for it<br />
SCREEN SIZE:<br />
The bigger the screen, the<br />
higher the experience of<br />
quality<br />
30% have a<br />
<strong>TV</strong> screen<br />
larger than<br />
40 inch
%<br />
Importance of HD quality For<br />
Different Screens & Content<br />
60<br />
50<br />
40<br />
30<br />
20<br />
10<br />
0<br />
HD quality is most important on the Main <strong>TV</strong> and Tablet.<br />
HD quality is significantly more important for <strong>TV</strong> series and Movies<br />
49<br />
47<br />
39<br />
Main <strong>TV</strong> Tablet Desktop PC Laptop Portable<br />
video player<br />
37<br />
Top 2<br />
33 33 33<br />
Other <strong>TV</strong><br />
screens<br />
Smartphone<br />
Question: How important is HD quality for the different types of screens/Content? Top 2 answers (6 or 7) on a 7 grade scale where<br />
1 means not important at all, and 7 means very important.<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong>, Base: owners per device, 13 markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 46 (62)<br />
60<br />
50<br />
40<br />
30<br />
20<br />
10<br />
0<br />
51<br />
<strong>TV</strong> series &<br />
movies<br />
40<br />
Live sport<br />
events<br />
Top 2<br />
38<br />
Broadcast <strong>TV</strong><br />
content<br />
24<br />
Youtube<br />
content
Content<br />
Recommendations<br />
New Media consumption Patterns<br />
increase the need of<br />
recommendations
Recommendations<br />
<strong>Consumer</strong>s express increased need for relevant<br />
information about <strong>TV</strong>/video content<br />
Information needs<br />
To identify content<br />
To choose between content<br />
Help screen content for kids<br />
Reliable and independent<br />
› More content to choose from<br />
› More choices to make throughout viewing<br />
› Less control over kids’ viewing<br />
› Lots of biased marketing information<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 48 (62)<br />
New sources for Info<br />
Google<br />
Wikipedia<br />
IMDB<br />
Amazon
Intro to Recommendations<br />
The context determines the use and value of<br />
recommendations<br />
Content triggered Time Centered<br />
Spontaneous<br />
Know what<br />
to watch<br />
Need inspiration<br />
& recommendations<br />
The value of recommendations increases as:<br />
› The invested of time and money into the content/situation increases<br />
› The degree of focused viewing increases<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 49 (62)
Ranking different types of<br />
recommendations<br />
Advice from your<br />
friends & family<br />
User ratings<br />
Recommendations<br />
based on your<br />
previous habits<br />
Most bought/watched<br />
The latest releases<br />
Expert<br />
recommendations<br />
Others who watched<br />
this also watched…<br />
Advice from friends and family are the most used and trusted<br />
recommendation method<br />
Your friends are<br />
currently watching<br />
% Who use each method % Who consider each method useful (top2)<br />
Advice from your<br />
friends & family<br />
Based on previous<br />
purchases, habits<br />
The latest releases<br />
User ratings<br />
Your friends are<br />
currently watching<br />
Others who watched<br />
this also watched.<br />
Most bought/watched<br />
Expert<br />
recommendations<br />
% %<br />
0 10 20 30 40 50 60 70 80<br />
0 10 20 30 40 50<br />
Question: Which of the following types of advice and recommendations have you used in order to “find” a good movie, <strong>TV</strong>-series or program to watch?<br />
Question: How useful do you consider each one of those types of advices and recommendations for you to be, regardless of if you have used them previously or not?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: ALL, 13 Markets<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 50 (62)
Drivers and barriers<br />
Recommending<br />
to others<br />
Drivers<br />
› Fun<br />
› Status<br />
› Expressing your opinions<br />
› Social viewing & discussion<br />
› “Trading”: Give in order to get<br />
› Promoting and saving niche content<br />
Barriers<br />
› Time consuming<br />
› Complicated<br />
› Privacy issues<br />
Using/listening to<br />
recommendations<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 51 (62)<br />
Drivers<br />
› Inspiration<br />
› Reminder for what's available<br />
› Help in making a choice between<br />
several programs<br />
› “Quality” insurance<br />
› Save time: Avoid watching crap<br />
Barriers<br />
› Time consuming, slow<br />
› Complicated, cumbersome<br />
› Quality issue in larger households<br />
<strong>Consumer</strong>s must feel that they are in control of their information or<br />
privacy issues will become a major barrier
Concerns regarding sharing viewing<br />
information<br />
Ok for my <strong>TV</strong>/video provider to<br />
save/use information about my<br />
personal <strong>TV</strong>/video habits for<br />
suggestions etc.<br />
Ok for my friends and family to see<br />
info regarding what I am watching<br />
(Able to control it)<br />
Ok for other users to see your<br />
ratings of movies and <strong>TV</strong>-series<br />
I agree (Top 2) Middle 3-5 Don't agree (Bottom 2) Don't know<br />
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%<br />
Sharing your viewing habits to friends <strong>TV</strong>/<strong>Video</strong> provider poses some<br />
privacy concerns. <strong>Consumer</strong> have to feel that they are in control<br />
Question: We would like to know how you feel about sharing personal information about you and your <strong>TV</strong> habits in order for<br />
the <strong>TV</strong>/video provider to give you better suggestions and offers. To what extent do you agree with the following statements?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> & <strong>Video</strong> <strong>Consumer</strong> <strong>Trends</strong> <strong>2011</strong>, BASE: All<br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 52 (62)
What friends are watching<br />
Concept<br />
Attractive idea for the US:<br />
› Perceived as advice or a cue in content<br />
discovery<br />
› Fits well into the existing social <strong>TV</strong><br />
behaviors<br />
› In general, US consumers are heavy users<br />
of social media like Facebook…<br />
Unattractive idea for the Germany:<br />
› Added value in not obvious<br />
› Perceived as intrusive<br />
› No existing social online habits around the<br />
<strong>TV</strong><br />
› German consumers are as much into<br />
social media.<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 53 (62)<br />
I’d want this, absolutely!<br />
Because if all my friends are<br />
watching it, I’m going to watch it<br />
too. This is better than Twitter<br />
because you know your friends<br />
are watching. On Twitter, you<br />
don’t really know.<br />
Jasmine, 27, US
The social tv<br />
Social aspects changes <strong>TV</strong><br />
Consumption patterns
THE SOCIAL <strong>TV</strong><br />
Social interaction around <strong>TV</strong> is spreading online,<br />
>40% use social media from the <strong>TV</strong> sofa<br />
› Social interaction from the physical world is now also engaging viewers<br />
online in social media forums<br />
› Online social <strong>TV</strong> interaction appears to be more diverse and engaging than in<br />
the physical world<br />
› Few barriers to online social <strong>TV</strong> interaction. No need to invite friends over –<br />
just log on!<br />
Question: Which activities do you do at the same time as you are watching <strong>TV</strong>?<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 55 (62)
On demand anD broadcast<br />
social viewing<br />
Viewing behaviors are both triggering and triggered by<br />
social interaction online<br />
Live broadcast<br />
viewing triggers<br />
social interaction<br />
Appointment<br />
viewing<br />
Event<br />
viewing<br />
ONLINE SOCIAL<br />
<strong>TV</strong>/VIDEO BEHAVIOR<br />
LIVE / BROADCAST ON DEMAND<br />
Impulse<br />
viewing<br />
Start:<br />
Content<br />
Online gaming<br />
turned into<br />
viewing<br />
Start:<br />
Social<br />
interaction<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 56 (62)<br />
Chats turned<br />
into viewing<br />
On demand viewing<br />
triggered by social<br />
interaction<br />
VOD parties<br />
YouTube<br />
parties<br />
ONLINE SOCIAL<br />
<strong>TV</strong>/VIDEO BEHAVIOR<br />
Social forums could become an alternative starting point to<br />
content consumption, as natural as the EPG or Zapping!
Enhancing the experience and<br />
value<br />
25% of consumers<br />
are more likely to pay<br />
for <strong>TV</strong> content, if they<br />
watch it in a social setting<br />
Adding<br />
Social aspect<br />
Content A<br />
(Lousy)<br />
Adding<br />
Social aspect<br />
Content B<br />
(Ok..)<br />
Content A<br />
(Mediocre)<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 57 (62)<br />
Content B<br />
(Good)<br />
› Commenting on stupid<br />
things on the show<br />
› Flashing smart remarks<br />
about the stupid content<br />
› Conversing about the<br />
events in the program<br />
› Commenting on the events<br />
in the program<br />
Social interaction and discussion have the potential to<br />
enhance the experience and the value of content
Content for real time discussions<br />
Content suitable for “live”<br />
social interaction<br />
› Sports<br />
› Reality shows<br />
› News magazines &<br />
debates<br />
› <strong>TV</strong> events<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 58 (62)<br />
Content less suitable for<br />
“live” social interaction<br />
› Series<br />
› Movies<br />
– But lots of discussions before<br />
and after watching…
The virtual <strong>TV</strong> sofa<br />
Concept<br />
<strong>Consumer</strong> reactions<br />
› Found attractive on all markets<br />
› Easy to picture how on would use it<br />
› Want a choice between “on tablet” and “on<br />
screen” interaction<br />
› Want a choice between text, voice and video<br />
chat<br />
<strong>Consumer</strong> concerns<br />
› Poses a threat to privacy and integrity<br />
› Don’t want to share all of their viewing habits<br />
› Should be able to opt-in to share their viewing<br />
habits<br />
› <strong>Consumer</strong>s want to choose who they share their<br />
viewing habits with<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 59 (62)<br />
I would love that. It would be great for<br />
me and my friends, especially if we’re<br />
watching different teams that we like<br />
and who are playing each other, we<br />
would just trash talk each other about<br />
the other team.<br />
Connor, 27, US<br />
<strong>Consumer</strong>s have already created the virtual <strong>TV</strong> sofa using<br />
existing devices and services
Conclusions
SUMMARY 1(2)<br />
› <strong>Consumer</strong>s increase their on-demand (streaming and<br />
downloading content) usage<br />
– One out of two do it several times per week or more!<br />
› Social aspects of <strong>TV</strong> increasingly important for consumers<br />
– A strong driver for broadcasted ”live” <strong>TV</strong><br />
› Quality remains high on consumer agenda<br />
– <strong>Consumer</strong>s are prepared to pay for HD<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 61 (62)
SUMMARY 2(2)<br />
› The tablet and smartphone are being included into<br />
consumers everyday <strong>TV</strong>/<strong>Video</strong> consumption<br />
– Multiscreen behaviour is already here<br />
› <strong>Consumer</strong>s prefer legal on-demand <strong>TV</strong>/<strong>Video</strong> services if<br />
they are attractive enough<br />
– Filesharing can be reduced<br />
Source: <strong>Ericsson</strong> <strong>Consumer</strong>Lab <strong>TV</strong> <strong>Video</strong> <strong>Consumer</strong> trends <strong>2011</strong><br />
<strong>TV</strong>/Media <strong>2011</strong> Study - Global Report | Commercial in confidence | © <strong>Ericsson</strong> AB <strong>2011</strong> | <strong>2011</strong>-10-07 | Page 62 (62)