Accenture study: Traditional media with their backs to the wall
Traditional media companies are confronted with a complex web of challenges where marginal strategies are not enough to ensure a healthy economic and strategic future. This is shown by the results of Accenture's third annual "Reinvent for Growth" study. The study focused on the entertainment industry.
"Media companies need to become radical and leave their comfort zone. They need to become bolder and rethink traditional revenue streams, target new audiences, redefine roles within the media value chain and move into completely new industries," says John Peters, Managing Director in the Media & Entertainment division at Accenture.
According to the study, more than a third of media users (36%) say that they find it difficult to find something entertaining and 52% say that the recommended content does not match their interests. Almost 60% cancel and re-subscribe to services depending on what content they want. In 2023, 47% of consumers canceled more subscriptions than the year before.
User-generated content in vogue
Two thirds of consumers consider user-generated content to be just as entertaining as traditional media. In all scenarios presented to respondents, such as "When I want something fun" or "When I want to relax", social media and social video platforms were consistently named as the media of choice over video streaming services.
The study also shows opportunities for media companies to expand beyond traditional content offerings, including aggregation platforms and lifestyle bundles. A majority (83 percent) of consumers say they would be inclined to use a single app to access all their digital services - both in terms of media and non-media categories.
Furthermore, Accenture predicts that lifestyle bundles will reach a volume of 3.5 trillion dollars by 2030, with technology brands being better positioned than traditional media brands. In order to make its film offering much more diverse, streaming giant Netflix has begun a massive internal reorganization and cut costs in the process, as the news portal Press release reported. (pte/swi)
For the Study by Accenture were A total of 6,000 people in ten countries were surveyed about their media use.
