Public Service Broadcasters (PSBs) are facing an existential crisis due to a radical change powered by changing consumer habits and digitization in the media industry. The challenge for PSBs is to stay relevant by becoming leading providers of high-quality content to their target audiences across all media channels while continuing to fulfill their public-service regulations
1. Become Integrated Providers
To adapt to the boundary-less and fast-paced digital environment, PSBs need to expand their reach into non-linear, on-demand content that is delivered through a wide array of PCs and electronic devices. The need of the hour is for them to break down the borders separating TV, radio and online platforms and transform into integrated content providers
2. Track Target Audiences
The idea is to successfully deliver different genres of content via different media platforms to target audiences throughout the day. The media touchpoint approach measures audience relevance on the basis of how often and at what times a consumer uses different media platforms
Another key area of concern for PSBs and other media companies at large, is to stay relevant in the face of advanced global digital companies that provide content on demand, and customize it en-masse, leading to a better customer experience. This has made the traditional media companies believe they need to revamp the way they think, collect and use their data.
The good news is that the awareness and acceptance of a technology overhaul has meant that the job of a CIO in a media, publishing and broadcasting companies is no longer a fringe concern, but a core proposition. And by adopting a forward-looking Digital Strategy, long-term competitive gains can be regained.
In recent years, radical change in the media landscape across geographies has posed severe challenges to publicly supported broadcasters. Audience engagement with public TV and radio has steadily declined since the 1970s due to market liberalization and the entry of commercial television.
Now, a revolutionary change in the global media industry is being brought about by digitization and changing consumer habits. The best way for PSBs to remain relevant in this disruptive environment is to be leading providers of high-quality content to their target consumers, and to fulfill their public service mandates at the same time. Instead of exiting the traditional business of delivering national and regional TV programmes, PSBs must strengthen their online activities to become integrated providers of content across all media.
Adapting to this changing industry landscape would require an in-depth understanding of consumer habits and behavior. Each PSB should identify those programming genres in which it can be a content leader, and those in which it can afford to be a follower. Decisions regarding investments in content should be based on the “customer journey”. How do consumers consume media throughout the day? Which media platform are they using at any given time?
To gain insights in the customer journey, BCG proposes the media touchpoint approach that measures the relevance of programming to target consumers across all media. Under this approach, consumer relevance is measured on the basis of how often a consumer uses different media platforms. It also measures how many of these touchpoints are generated across media – via PCs, TV sets, smartphones, radios, or other devices.
With this knowledge, PSBs can analyze the benefits and costs of providing certain genres of content over a particular media platform. By doing so, PSBs can substantially increase their odds of making smart bets on both conventional and digital programming