Imagine a time when you had to wait for that one day in the week to watch a movie and the movie premiering was not even the one you wanted to watch. For the generation today this would not have been less than a nightmare. Advancement has not spared any age group from its charm and convenience. Presently, no one waits for weeks and months to watch a movie they missed in theatres, credits to the trend of the digital entertainment industry.
What is the digital entertainment industry?
If you thought that this industry is limited to just web series and shows, here is the ice breaker!
"Digital entertainment" lays upon entertainment technology and eventually empowering basic computer technologies, Internet, Digital Rights Management, multimedia, and streaming media.
It is an overlap combination of the following things that make this industry the hub of entertainment. It includes -
video on demand
Digital entertainment landscape in India
The Indian media and entertainment sector has seen tremendous growth since 2019. Although television still reigns supreme, digital is conquering audiences faster.
Well-recognized consulting firms such as the Boston Consulting Group (BCG) had evaluated the impact that the humongous online user base would have on the digital entertainment landscape, and predictions were magnificent. Online video consumption and over-the-top (OTT) content, specifically, is expected to lead to growth going forth.
Credits to the Bollywood blockbusters launch on the digital platforms that helped the sector to gain the highest domestic revenue in recent years in the country. Music and television have seen growth in the audience too but less than the digital platforms. Although print and radio remain larger than the digital platforms yet have shrunk in recent years.
Overall, the sector saw a significant growth of nearly 9% in the country, outperforming the previous GDP growth of under 8%. Under any and every circumstance, the media & entertainment sector has seen to benefitting with very significant growth in consumption as the industry to caters the needs of an information-hungry Indians.
Content providers including content aggregators, labels, and content right holders, and the technology platform providers enable the digital delivery of the content frame the essential parts of the network for the services like music and video streaming. Distribution channels for ‘on-demand content’ service are seen dominating by app stores and telecom players that offer wider reach through their WAP sites to their customer base. However, new OTT players are entering the industry with innovative models, aiming to increase their distribution reach towards the targeted audience via e-commerce, retail, OEMs partnerships, etc. in India.
Technological BTS of the digital entertainment industry
Companies tend to combine structured and unstructured data and machine learning methods to match people’s preferences and content, hence, improving the significance of content suggestions and efficiency of content distribution.
Although, leading tech media players such as Tik-Tok and Netflix are venturing more and more into AI-based interactive and smart content, thus engaging the possibility to see a shift from simpler content recommendation systems to an entire AI-driven personalized content experience.
Credits to Artificial Intelligence and Machine Learning, media and entertainment companies can predict churn rates much more accurately, place advertising at the right time and place, hence offering a more appropriate and personalized experience and higher chances to increase conversion.
In the constantly advancing media and entertainment sector, real-time prediction based on current trends and behaviors from all data sources is the key. The predictive modeling technique will help media and entertainment companies by allowing them to react to consumers immediately as well as anticipate their behavior and influence long-term investments. Further, companies can make predictions about which customers are more likely to view a specific type of content, and the device they will be using when viewing it.
Trends of Digital Entertainment Industry
Digital transformation trends for the media and entertainment industry are focused on things like the rise in video ads, demand for digital experience, and an upsurge in mobile data usage due to such high demand. Let us now explore the biggest media and entertainment trends for 2021.
D2C Video Streaming
People crave to look for diverse, meaningful, and quality video content. OTT platforms like Netflix, Hulu, and Amazon Prime offered all these things that the TV viewers had never experienced earlier. This change even triggered the downfall in the Pay-Tv subscription and further streaming warfare. Disney was the first to withdraw its content from Netflix and offer in D2C channel through its sister project Disney+. The move defined the trend of the largest media houses declining content and hitting third-party applications brutally.
Focus on the Enterprise
Media and entertainment companies must start focusing on building intelligent enterprises and implement enterprise resource planning to ensure higher efficiencies, lower spending, and more efficient work processes overall.
Ad-free Viewing Experience
Since people are paying a subscription, they demand the best and an uninterrupted ad-free experience. The volume of consumable content rose and assisted in retaining users easier. With top studios transforming to video streaming, ad-supported content is expected to make an appearance soon. OTT platforms are accumulating and filtering every crumb of data to deliver ‘not annoying’ ads.
Reports show that a subtle chunk of the Millennials and Gen Z’ers are ready to pay for personalized content. They want the best that digitization can provide. Companies are constantly doing R&D to provide the best niche communication and content geared towards catering to audience desires. This also means that further increase in AI and ML will help drawing out linking points so that the audience preferences can be better met and analyzed.
Gaming events were the center of attention for displaying the latest AR/VR. Besides, legalized sports betting holds to benefit from the upcoming 5G technology. Entertainment software development can be easily turned in this direction to foster app development.
Technology has made not just life, but entertainment and typical time pass also very convenient. Everyday evolution with the help of Artificial Intelligence and Machine Learning is helping to provide the best and personalized experience to the viewers and becoming the reason for the exponential growth of the industry.