Driving Innovation; Amazon, HULU, Netflix.

Added on by Arturo Gutierrez.

We've seen great examples of crowdsourcing in the past few years; from collaboration platfoms like open sourced project platforms for businesses to Starbucks ideation starting with real suggestions from their customers. So when I heard Amazon was crowdsourcing original content earlier this year I got specially excited because it was hopefully a motivational kick in the butt for traditional television programming. 

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Has it worked? Not really. I have yet to see the larger studios make any changes to the manner in which they create and distribute content, and as long as HULU is breathing, all they really have to compete with is mirrors on mirrors online, which amounts to???? Exactly. They are the dumb pipes of content.

The implications of innovation in content creation, at least observed in the past year through the moves by Netflix and Hulu as they are complemented by behaviors of online content viewing, is that they are begining to change (or should change) how advertisers approach program advertising. Are those high budget TV spots really worth it anymore? Online targetted of any kind is much better, flexible, and cheaper than creative produced for television...where recall on television spots continue to fall and retargetting techniques are less accurate. Viewing online leads to better engagement and interaction by viewers, because it begins with actual intent to watch. As with television programming, viewers are tied to a set schedule of content with little to no fliexibility unless you have DVR, TIVO, etc... you get the picture. 

I am excited for the competitive landscape that is being cultivated by both untraditional content creators and the viewers that are driving necessary change. It is, so far, yielding better content, making advertisers think differently about how to reach consumers, and hopefully motivating technologists to create new ad formats. 

Exciting times for advertising and content creation. 

 

- arturo gutierrez