Paywizard visits CABSAT 2016
CABSAT highlights so far
CABSAT 2016 is one of the biggest dates in the Pay-TV industry calendar, with some of the most influential names in the industry taking to the stage to share their insights.
If you’re following us on Twitter, you may have seen that Bhavesh Vaghela (Paywizard’s Chief Marketing Officer) and Peter Brownbill (Channel Director) are currently attending. We wanted to share our highlights of the event so far with you
One of the most interesting keynotes on day one came from Dreamworks’ Eric Ellenbogen, who described how linear TV channels are still an important discovery mechanism and how they remain critical, even in the new age of video on demand (VOD). In contrast to much of the dialogue around VOD, Ellenbogen reaffirmed that traditional networks are far from finished.
These sentiments were echoed by David Butorac, CEO of pay TV operator OSN. In his presentation, Butorac stated that OSN’s board isn’t concerned about Netflix entering the MENA market, as they believe that all premium programming will remain on linear TV, regardless of on demand services. He did however go on to suggest that looking forward, children’s content would be a key driver in the growth of on-demand across multiple devices in the region.
Like Butorac, Ellenbogen also commented on the importance of content highlighting that mobile is a key platform for penetration, specifically in Africa. Unsurprisingly, Ellenbogen went on to disclose that Dreamworks has already catapulted its way into “television business” and is now “going into the channel business”.
Early on in the event, Frost & Sullivan shared findings from their latest State of the Industry report, proposing that MENA is full of potential and ready for disruption. Pay-TV penetration currently stands at just 11.5% and satellite TV at 77%, with Frost & Sullivan concluding that cheaper pricing strategies will be a key for broader consumption of paid content.
Frost & Sullivan’s report findings reaffirmed the opportunities in MENA while Netflix revealed the hurdles it’s facing in the market – describing the challenge of receiving customer payments due to credit card penetration being very low across the region. This is a barrier the company already faced in South America.
Other interesting highlights included: a Channel 4 study which showed brains being more active when watching YouTube; and Amagi’s discussion about the inability to measure media – an issue for advertising revenue models.