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Market Research Pain Points – Media & Entertainment
While Media & Entertainment is a huge industry, with annual revenue of $1.7 trillion, involving multiple sectors including film, television, video games, music, publishing, and more, the industry is in a state of flux. The digital revolution has transformed every aspect of the industry, from how content is produced and distributed to how consumers consume it.
This transformation has created new opportunities for innovation, but it also presents many challenges for market researchers. Media companies are now tasked with staying relevant in a world where technology allows consumers to have an overwhelming amount of choice—and they’re not afraid to switch platforms if a product isn’t meeting their needs. This article will uncover the top trends in the Media & Entertainment sector, potential pain points and troubles for marketers, and how market research can help alleviate them.
Top Trends In Media & Entertainment
Subscription fatigue is a real problem in 2022. Many people are overwhelmed by the amount of content they can access. The number of subscriptions they have, and the number of services they’re paying for is quite significant.
The rise of streaming platforms has upended traditional models for both content creation and distribution. This has created a new set of opportunities for startups in the sector, but it has also made it more complex for established companies to stay on top of their game.
To remain competitive in this shifting landscape, businesses need to clearly understand where they stand relative to their competitors and what they need to do next to stay ahead with agile customer feedback.
The generation gap between Millennials and older generations is another pain point in Media & Entertainment. The younger generation is more tech-savvy and interested in social media than their elders. They also like to stream content instead of watching shows on TV. While these differences may seem obvious, they have implications for marketers who want to reach specific age groups. For example, if you’re targeting a 55+ audience and your ad campaign only shows up on Facebook (which younger people use more), you might be missing out on potential customers!
Market research can help provide insight into where your customers consume media by gathering feedback from various sources, including focus groups and interviews.
The metaverse is a platform for virtual reality, augmented reality, and mixed reality, where users create, customize, and share their own virtual experiences. The metaverse can be accessed through a VR headset. It combines real and virtual worlds, allowing users to immerse themselves in an alternate reality. The metaverse has many potential uses, including entertainment, education, and shopping/commerce.
Market research allows Media & Entertainment brands to identify trends among their consumers so they know how their behaviors are changing with the rise of new technology. With market research, companies can understand where there might be opportunities for growth or new markets worth exploring.
Even though the pandemic is seemingly winding down, many people are still hesitant to return to concert halls, sports stadiums, and movie theaters.
Entertainment venues may be able to rebound from the pandemic by offering an enhanced experience onsite. One way entertainment venues can drive revenue is to become multipurpose spaces, hosting sports games, concerts, conferences, and more with technology that can handle it all. Moreover, venues that embrace a hybrid approach, combining in-person experiences with remote viewing and live streaming, can reach a wider audience.
Consumer surveys and focus groups can help venues discover what options consumers prefer for live entertainment.
In 2022, we will see the creator economy dominate mainstream culture. Platforms like YouTube and TikTok have entirely transformed how people consume media. The rise of influencers has also changed the way traditional media companies think about their talent. In 2015, music-related YouTubers generated more listeners for Spotify than any record label, illustrating the revenue that could be reaped from a direct relationship between creators and audiences outside of media companies.
Even the largest and most mainstream entertainment providers are approaching creators to commission videos from them and help them build audiences on third-party platforms.
With market research, brands can anticipate future shifts in viewer/listener loyalty, purchase decisions, and viewing/listening behaviors.
Artificial intelligence (AI) will continue to have a transformative impact throughout the media industry. Its three most important functions within this industry will be recommendation, voice recognition, and media automation. Since the arrival of Netflix and streaming services have upended the way we discover and consume entertainment media, every provider has invested in recommendation technology to more efficiently and accurately surface content with audiences that will find it valuable. Netflix has said that 80% of its content delivery is achieved through recommendation, and it, as well as all other streaming providers, will be competing to improve on this score throughout 2022.
The second area where AI will have an impact is voice recognition. This technology has received considerable attention in recent years because it is one of the critical components in voice assistants such as Alexa and Google Assistant. Voice assistants make recommendations based on what they think you want to hear next or what they think you want to do next. They also act as digital concierges by answering questions about your day or helping you find information quickly through searches or web browsing activities they perform on your behalf without having to type anything yourself. Voice assistants are capable of understanding speech and responding with intelligent answers using natural language processing systems that understand how humans talk so they can respond in ways that feel natural when spoken.
Media brands must optimize the total customer experience with journey mapping, including new technology like voice searches and smart recommendations.
The Media & Entertainment industry is in an exciting transition period. As such, there has been a rapid increase in industries using data science for business decision-making. In 2022, the Media & Entertainment Industry needs to scale its research and aggregate a consistent stream of customer feedback into an actionable decision-making process. This is accomplished through online communities, panels, and custom research solutions catered to fit the needs of the Media & Entertainment industry.
Learn more about the state of entertainment and media with our webinar, “Predicting the Future of Media.”