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Home > Business/Finance > Diversified Services > Marketing/Advertising/PR
Marketing in the Digital Age Market Assessment 2006
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The advertising world has been undergoing a seismic shift in the past decade. First advertisers and marketers saw the ground shifting beneath them as their tried and trusted media fractured and fragmented, leaving them wondering just where to put their money in order to reach their target markets. Then they developed strategies to identify and classify consumers and then follow them online onto the sites on which they were most likely to be found. However, it is now all about convergence. TimesOnline, for example, launched Times Online TV in June 2006; this includes clips from a number of content providers, including the news agency Reuters across the world, and it is expected that the service will develop to include live-stream television.
Technology is advancing at a rapid pace and all single-play content providers are increasingly looking to bundle other technologies to increase their range. The service providers of television, telephony and the Internet are combining to offer triple-play services and, with mobile telephony — quad-play — to consumers.
One example is BT’s development with Microsoft of new set-top box
technology (the BT Home Hub), which combines a digital terrestrial television (DTT) receiver with a broadband receiver. This kind of converged technology allows much more flexibility in the kind of services that providers can deliver and more choice for consumers in terms of how and when they manage their communications and media content.
One of the key drivers behind the acceleration in technological developments is the countdown to digital switchover. In September 2005, the Government announced its switchover timetable, which will roll out region by region until analogue switch-off in 2012.
A fully digitalised world — analogue signals will be switched off across the globe, although each territory is developing its own programme — affords a much greater degree of flexibility in the way in which content is presented and consumed. The move will see people accessing the kind of content they want, when they want it, using the device of their choice from the location of their choice. People will no longer need to rush home to watch their team in the World Cup finals or finish supper before the latest episode of their favourite drama is broadcast, for example. People will be able to choose how and where they watch; they will be able to talk to their friends on the other side of the world for free while doing so, storing clips of the goals or other programme highlights in their own personal video library to share with others.
To a certain extent, this is already happening. Home broadband is the Internet connection now used by more than 40% of Great Britain (as at February 2006 — see Table 29 of this report: Internet Usage in Great Britain by Platform, from BMRB’s Internet Monitors for February 2005 and February 2006). Not only does broadband afford faster Internet connectivity to allow better television and video streaming, but it also enables voice calls to be made from computers which are of a quality that is equal to fixed-line telephony, and at a much lower cost.
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