The future of media business from the intrinsic value of television: TVer Shinjiro Ninagawa, Fuji Television Toshihiro Shimizu | DIGIDAY[Japan version]
The rise of OTT, the penetration of devices such as CTV, and the accompanying changes in advertising models and viewing environment. Video media is now at a major crossroads, and in particular, conventional television is fundamentally questioned.
In Japan, the OTT of the commercial broadcasting official portal “TVer” will start offering the operational advertising platform “TVer Advertising” in November 2020. From April 11, 2022, the ban on terrestrial real-time distribution, which simultaneously distributes terrestrial TV programs on the Internet, has been lifted, and efforts are underway that are not bound by the so-called existing “television” framework.
Shinjiro Nagikawa, a director who is in charge of business strategy and service planning and development at TVer, said, “The intrinsic value of” mass “content provided by TV is as it continues to change and evolve rapidly in the situation surrounding the media business. It doesn’t change. ” On top of that, he appeals for the transformation of business schemes in line with the times, saying that we must provide what we can do digitally as a matter of course. Fuji Television He also agrees with Toshihiro Shimizu, Deputy General Manager of the Content Division, “I think there is still more work to be done in the TV station business.”
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They will be holding the event “March 17, 2022”DIGIDAY PUBLISHING SUMMIT 2022In the session entitled “The Future of Media Business as Seen from TV”. We talked about the future of the media business as a whole, centering on “television,” which is closely related to each other.
The true value of television and the transformation that is being questioned now
It has been a long time since it was said that young people are away from television, and data supporting this has been released from various places. However, according to Mr. Nagikawa, the contact time with TV has increased since the pandemic. Mr. Shimizu also introduces an interesting reversal phenomenon in the United States.
“In the United States, there are more than 300 OTT operators, and 25% of households subscribe to five services. As a result, viewers are” subscribed “. Further, the amount of advertising has increased. , Advertising unit prices are also falling. On the other hand, TV viewing rates are falling, but advertising costs are rising. ” In other words, Mr. Shimizu points out that in the United States, the awareness that “digital cannot be branded, but television can be branded” is being cultivated.
Mr. Nagikawa says that the structure of the market is different between Japan and overseas, so it cannot be said unconditionally, but based on the principle that the market price rises as the shortage value increases, it is nodded that the change in consciousness will come to Japan in the future. .. However, if “increasing shortage value” means “decreasing the number of slots,” he claims that it means that the essential value of “mass” television can be lost.
“Television has always had the advantage of reaching almost 100%, but the reach may be halved in the future. However, TV stations are not making vertical content, but a lot of content. It’s “mass content” that is distributed to people, “says Ninagawa. “The word mass is intrusive and I don’t want to use it too much, but the essential value we provide is that the same information is distributed and the same experience is shared by many people through the media of television. It should be. “
Mr. Nagikawa points out that “sharing experiences” is the essential value of television.
Face users who have spilled from viewer ratings
So what should we do to build a sustainable business scheme while maximizing the value of television in sharing information and experiences? Mr. Nagikawa says that it is indispensable to assume that it is an era in which “individuals” have the initiative in content consumption by cutting content on SNS or uploading it to YouTube by individuals.
“Traditionally, we’ve relied on the convenience of viewership, which is a convenient indicator, to focus on the viewers who are watching in real time in front of the TV, but we must understand that some viewers may miss it. We will need to build a distribution network so that content is also consumed on every shelf. “
Moreover, it cannot be ignored that the viewing environment of people is constantly changing, as represented by the spread of CTV. “We believe that targeted advertising, such as TVer advertising, will become important in terms of complementing the disadvantages of mass content, such as reduced reach and diversified channels,” Ninagawa adds.
What we should work on is “liberalization of television”
As a TV industry person, Mr. Shimizu also says, “We value the perspective of what we are doing in the media to convey.” Based on that perspective, he presents the idea of ”Media 4.0″ in order to grasp the direction of the next media.
“Like Web2.0 and Web3.0, evolution and changes in values in the Internet and digital world are divided into phases, but I also assume media up to 4.0.” According to Mr. Shimizu, “1.0” is the phase of “creating a good program and delivering it to the masses by appealing its functions.” “2.0” is “delivering programs that are close to individual viewers.” “3.0” is “value appeal”, that is. It is a face that creates useful content for society that supports someone by seeing it. “And when we reach Media 4.0, I think the goal is to create co-creation activities with viewers.”
Mr. Shimizu says that the perspective of “what is the medium to convey” is important.
Mr. Nagikawa agrees with that view, saying, “If you think about that phase, the TV phase is still at the stage of going from 1.0 to 2.0.”
“The first thing we need to do is to eliminate the inconvenience of television. It’s still close to digitalization, not DX. However, when it comes to 3.0 or later, we will talk with viewers. Communication should be born. Even if it is not so-called “throwing money”, it is okay to seriously consider a mechanism that supports your favorite talent by seeing the content and leads to profits. Isn’t it? Especially because it is a medium like TVer, such a free orientation should be required. “
Don’t hesitate to challenge
Nagikawa says TV stations haven’t yet dispelled their “fear” of digital. However, he points out that the momentum for change is emerging. Mr. Shimizu also nods, “If someone rushes and there is even one successful case, everyone will follow.”
“I’m also starting YouTube on which I’m appearing. I reported to my boss in advance when I started, but I was thinking of doing it without permission if it was stopped,” Shimizu concludes. “As a result, the learning from this challenge is great, and even if you make a mistake, you won’t get fired, and even if something happens, your boss will scold you. Now that we are undergoing major changes, we will challenge the entire industry and the media. I want to create the future of. “
Written by Kazuya Ono
Photo by Yukazu Watanabe
