1、1 Copyright 2023 The Nielsen Company(US),LLC.State ofData-driven personalization:The future of streaming content discoveryData-driven personalization:The future of streaming content discovery2 Copyright 2023 The Nielsen Company(US),LLC.In just three short years,the amount of content available to TV

2、viewers has grown by more than 1.1 million individual programs1.Combined with an explosion of streaming services,the video landscape has become vast in a very short amount of time.Source:Nielsen Streaming Content Consumer Survey,June 202320%say they dont know what to watch beforehand and couldnt fin

3、d something to watchso they did something else insteadOverwhelmed by choice:1 Gracenote Global Video Data;1.6 million unique titles available February 2020;2.7 million available in June 2023.The abundance of choice has put the audience in control like never before.But the expanding streaming landsca

4、pe has become overwhelming for viewers.Its taking longer for viewers to find content theyre interested in,and audiences know that if they dont see something they like,a different option is just a click away.This reality highlights the importance of the user experience within individual services,espe

5、cially amid the trend away from content exclusivity.2 Copyright 2023 The Nielsen Company(US),LLC.3 Copyright 2023 The Nielsen Company(US),LLC.For context about the breadth of choice available today,audiences across the U.S.,U.K.,Canada,Mexico and Germany now have more than 2.7 million individual vid

6、eo titles2 to choose from across broadcast,cable and streaming.Thats almost 1 million more than they had just two years ago.While the number has increased across both linear programming and streaming services,86.7%of the total now reside on streaming services.Audiences now have more than 2.7 million

7、 individual video titles to choose fromDistinct video titles across linear and streaming servicesNote:Numbers reflect availability over a 14-day period.Source:Gracenote Global Video Data;July 2021 and June 20232 Gracenote Global Video Data;numbers reflect availability over a 14-day period.2021202320

8、212023202120230500K1M1.5M2.0M2.5M3MStreaming257,665516,841Total uniqueLinear1,682,4012,346,1711,884,5872,706,322U.S.U.K.CanadaGermanyMexico4 Copyright 2023 The Nielsen Company(US),LLC.To tap into the bounty of streaming content,adoption of connected television(CTV)3 devices,including smart TVs4,cont

9、inues to rise.Earlier this year,Digital TV Europe published a prediction that global smart TV penetration will reach 50%by 2026.In the U.S.,where audiences streamed more than 19 million years worth of content last year,85.8%5 of TV households have at least one TV-connected device(smart TV,internet-c

10、onnected device,game console).Traditional broadcast and cable programming remains the primary option for TV content outside of the U.S.,but streaming is gaining ground.3 CTV refers to any television that is connected to the internet.The most common use case is to stream video content.4 A smart TV is

11、 an internet-enabled television 5 Nielsen National TV Panel,May 2023 6 Australia Consumer and Media View,Q4 2022 7 Thailand Cross Platform Ratings 8 The Gauge,June 2023 In Australia,for example,70%of audiences6 say they watch streaming video,with the average viewer watching 1.7 hours per day.In Mexi

12、co,streaming had grown to account for 21.4%of TV usage in June 2023,up from 15.2%in December 2022.In Thailand,streaming had a reach of 50.7%7 during the second half of 2022,and audiences spent just under an hour per day watching streaming content.In the U.S.,streaming has been the dominant TV option

13、 since November 2022,growing to account for 37.7%of TV usage8 in June of this year.5 Copyright 2023 The Nielsen Company(US),LLC.Compared with traditional cable packages and schedules,digital media has few,if any,confines.There is seemingly infinite space for new services,channels,content creators an

14、d business strategies.The flipside,however,is that the audience is finite,and it fragments across every new platform and channel that debuts.This dispersal of engagement presents a significant challenge for an industry that has historically relied on monetizing content by attracting large audiences

15、to a single place with aggregated,provider-chosen options.The growing abundance of content and content sources has become overwhelming for audiences,who say they now spend an average of 10-and-a-half minutes searching for something to watch,which is up from nearly seven-and-a-half minutes back in ea

16、rly 2019.Compared with strategies focused on adding more content to engage audiences,focusing on personalization and user experience can help audiences find what theyre looking for more quickly.Average time to find something to watchAudiences now spend an average of 10-and-a-half minutes searching f

17、or something to watchSource:Nielsen U.S.streaming content consumer surveysIn minutes and secondsWithout traditional boundaries,content sources have explodedMarch 2019October 20227:2411:1610:30June 20236 Copyright 2023 The Nielsen Company(US),LLC.To compound the complexity of audience engagement,Grac

18、enote Global Video Data had a record of more than 39,500 distinct channels for audiences in the U.S.,U.K.,Canada,Mexico and Germany as of June 2023,with the U.S.accounting for nearly 80%of them.Each channel represents a unique source of linear programming,such as ABC and Flicks of Fury,an original c

19、hannel on Pluto TV.Separately,there are more than 167 unique streaming video sources,with each representing an individual provider,such as Netflix and Disney+.This view of where video engagement is taking place is much different than a consolidated list of channels within a single cable package.Dist

20、inct video channels and catalogs across linear and streaming servicesAudiences have nearly 40,000 different channels and streaming sources to find content on05K10K15K20K25K30K35K40K050100150200202120232021202336,09639,555118167ChannelsCatalogsU.S.U.K.CanadaGermanyMexicoSource:Gracenote Global Video

21、Data;July 2021 and June 20237 Copyright 2023 The Nielsen Company(US),LLC.From a monetization standpoint,streaming content distribution has evolved from its ad-free,subscription-focused roots.Today,platforms and services are increasingly including advertising.In more recent cases,advertising has beco

22、me the primary go-to-market strategy.Traditional media companies have also joined in by distributing their linear content through digital channels(MVPD9 apps and vMVPDs10).As ad-supported options become more prevalent,audiencesmany of whom are scaling back on their paid subscriptionsare rallying.In

23、the U.S.,for example,subscription video-on-demand(SVOD)viewing had fallen to account for 49%of all streaming11 at the end of May 2023,while ad-supported VOD(AVOD)had grown to account for 26%,and MVPD/vMVPD streaming had grown to account for 15%.Percent of streaming minutes watched in the U.S.9 Multi

24、channel video programming distributor(e.g.,Xfinity,DISH Network,DirecTV,Spectrum,and Time Warner Cable).10 Virtual MVPDs deliver video content through an internet connection(e.g.,DirecTV Stream,FuboTV,YouTube TV).11 Streaming Platform RatingsNotes:“Other”categories are not included Source:Nielsen St

25、reaming Platform RatingsThe rise of ad-supported streaming2H 202125%53%10%May 202326%49%15%Total AVODTotal SVODTotal MVPD/vMVPD8 Copyright 2023 The Nielsen Company(US),LLC.Now,the playing field is shifting again,especially in the U.S.,as audiences are gravitating to the latest iteration in the strea

26、ming space:free ad-supported television(FAST)channels.Unlike VOD services like Netflix and Hulu,FAST services,like Pluto TV,Tubi TV and XUMO,offer programming that is presented very much like traditional cable or satellite services dolive and on a schedule.Many complement their scheduled programming

27、 with on-demand content,providing the best of both worlds.In addition to presenting audiences with a familiar,cable-like experience,FAST channels are built to be adjusted very quicklybased on shifting demand.Said differently,new channels can be developed and added very rapidly,especially when media

28、companies and other creators seek to add new channels to existing services.In late June,for example,NBCUniversal announced plans to launch 48 FAST channels to Amazon Freevee and Xumo Play.In addition to genre-specific programming,the lineup will include dedicated channels for Saturday Night Live,Top

29、 Chef and The Real Housewives franchises.Given the speed in which FAST channels can be developed and launched,industry stats about how many actual FAST channels exist are varied.As of June 2023,Gracenote Video Data had a record of 1,400+individual FAST channels in its database,with 1,050+of them ava

30、ilable in the U.S.Available to audiences via internet connection without a paid subscription,FAST channels are ad-supported,and they lean into a trend that isnt discussed much in the industry press:the appeal of classic TV.Compared with traditional SVOD services,which typically offer a mix of high-p

31、rofile originals and titles acquired from other sources,FAST channels are predominantly set up to showcase library contentprogramming that originally aired somewhere else(usually on traditional TV).Unique FAST channel distribution by countryU.S.1,073U.K.206Germany108Other371,434Source:Gracenote Vide

32、o Data,June 20239 Copyright 2023 The Nielsen Company(US),LLC.Importantly,the rise of FAST channels isnt an experiment in streaming audience engagement.While Netflixs House of Cards was groundbreaking in bringing original content to SVOD in early 2013,time spent with acquired content is steadily risi

33、ng.In the U.S.,for example,60%of time spent streaming in May 202312 was dedicated to programming that first aired on linear channels.Thats up 5.2%from October 2022.12,13 Streaming Content RatingsFor additional context,18 of the 25 most-watched streaming programs by U.S.women 18-34 in 2022 were class

34、ic TV titles13,with Greys Anatomy and Gilmore Girls beating out Stranger Things for the top spots.In total,this audience watched just under 77 billion minutes of these shows,which is 73%of the total for all 25 titles.Comparatively,17 of the 25 most-watched streaming titles by U.S.men 18-34 in 2022 w

35、ere acquired titles,and this audience watched nearly 43 billion minutes of these titles64%of the total time spent with all 25 titles.The appeal of library content bodes well for FAST services,and the three FAST services that are independently reported in The Gauge(Roku Channel,PlutoTV,Tubi)already a

36、ccount for more viewing per month than all but the two top cable networks.In June of this year,these three services accounted for 3.3%of total TV use in the U.S.Streaming audiences spend more time with classic TV than original programs73%of the time U.S.women 18-34 spent watching the top 25 streamin

37、g programs in 2022 was dedicated to classic TV10 Copyright 2023 The Nielsen Company(US),LLC.The streaming industrys wealth of choice now puts the fate of any platform,service or program in the hands of the audience.And with the rise of FAST services,creators,distributors and advertisers have a new c

38、onsideration with respect to audience engagement:channels.As individual FAST services increase their channelsmany of which include several hundredsuccess will hinge on their ability to quickly connect viewers with content theyre looking for.That point,which is critical across all streaming services,

39、becomes even more critical when you consider that many channels and programs are not exclusive to individual services.Just a few years ago,Netflix paid to be the exclusive streaming home of Seinfeld for a period of five years that started in 2021.Fast forward to this year and we see Warner Bros.Disc

40、overy(WBD)and MGM cement a deal to bring 23 FAST channels to Amazon Freevee,including Cake Boss and Say Yes to the Dress,which are also available on the Roku Channel and Tubi.FAST services offer an array of experiences,but very little personalization.“Filiz Bahmanpour,VP of Product,GracenotePersonal

41、ization will attract audiences at the channel level11 Copyright 2023 The Nielsen Company(US),LLC.The proliferation of FAST services that offer non-exclusive content puts the onus of audience engagement in the hands of individual services.Said differently,any service that offers the same content as a

42、 competing service will need to lean on something other than content to attract and keep audiences engaged.While this is largely unique to FAST services,HBO(via WBD)recently broke character by licensing the distribution rights to several of its high-profile original titles to Netflixa move that foll

43、owed WBDs announced FAST partnership with Roku and Tubi involving a handful of titles that were previously exclusive to HBO.This trend away from exclusivity highlights the immense importance of a platforms user experience.“Right now,there are tons of experiences,but very little personalization,”says

44、 Filiz Bahmanpour,VP of product at Gracenote,a Nielsen company.“Many say that FAST services will need exclusive content,original programming and marketing to succeed,but I think user experience and personalization will be the real differentiators.FAST services need to get the right piece of content

45、and ads to the right user through merchandising,curation and algorithms.”Personalizing the FAST experienceWhich experience would drive the most engagement with the same program?8:30Home Live TV TV Shows Movies Networks9:009:3010:3011:00Queen of TartsQueen of TartsQueen of TartsBillys Backyard BBQBil

46、lys Backyard BBQFinger LickinQueen of TartsQueen of TartsFamily TriesFamily TriesFamily TriesTools of the TradeOpen HouseHouse&HomeHouse&HomeAround the YardIn the GreenSearchFamily TriesFamily Tries*Related&HomeownerTheHandygardeningchannelTHEPITTexasBrothers&Featured Global News National News Local

47、 News Sports Comedy Action Drama Horror Sci-fi Entertainment Kids Weather Browse Live TV CategoriesTexas BBQ BrothersThe Drill DownHammer TimeTHE DRILL DOWNHouse&HomeHouse&HomeTodays Modern GardenerTexas BBQ BrothersAround the Yardgardeningchannel9:45TV-PGEllen takes on the quirkiest customers yet.2

48、0 min leftTV-PGQueen of TartsTatsofQueenTHEPITLive TV Free with Ads CategoriesEllen takes on the quirkiest customers yet.15 min leftTV PGQueen of Tarts8:309:009:3010:3011:00HomeownerHandyTHEPITBillys Backyard BBQQueen of TartsThe Drill DownThe Drill DownThe Drill DownOpen HouseBillys Backyard BBQQue

49、en of TartsTasty Treats with Trisha TapeokaQueen of TartsFinger LickinTexas BBQ Brothers STREAMRWatch nowDragon Heart12 Copyright 2023 The Nielsen Company(US),LLC.The growing range of content that audiences have access to presents a challenge yesterdays TV and film production wasnt built to address:

50、personalized content discovery.Thats why its taking audiences longer to find something to watch.To catalog a TV show or movie,individual titles are encoded with information that provides the essential details of the content.Basic information includes program title,program summary,genre,production da

51、te,country of origin,run time,primary actors,etc.Now think about whether that information will help audiences determine if a program is something they want to watch when they log into Google TVs live TV service,which has more than 800 free channels to choose from(following the addition of Plex,Tubi

52、and Haystack in April).Traditional program information isnt capable of helping audiences zero in on the programs that interest them at a personal leveland the challenge will only grow as the options multiply.To put the concept into perspective,consider the Showtime drama series The L Word,which aire

53、d on traditional TV from 2004-2009.As of April,Google TVs live TV service touted more than 800 free channelsThe reason its taking audiences longer to find something to watchThe reason its taking audiences longer to find something to watch13 Copyright 2023 The Nielsen Company(US),LLC.When The L Word

54、debuted,content distribution was different,and learning about the program or where to watch it wasnt contingent on traditional program metadata.To watch the show,audiences simply checked a schedule and turned to the right network.Today,however,the 73 programs in the series are available across an ar

55、ray of streaming catalogs globally,and viewership has experienced a second wind in recent years due to a sequel that just completed its three-season run in January of this year.Viewed as groundbreaking at the time for featuring televisions first ensemble cast of lesbian and bisexual female character

56、s,the show is now among the more than 3,190 video titles14 that include some dimension of LGBTQ+inclusivity.So how can distributors and platforms help audiences who might be interested in this program find it?We know they cant rely on the shows original program information.This is where content meta

57、data enrichment is critical.There are 31 individual Gracenote Video Descriptors for The L Word that platforms and services can use to deliver desired audience experiences.In total,Gracenote has approximately 15,000 Gracenote Video Descriptors that can help facilitate content discovery.Video descript

58、or metadata is critical in delivering personalized content experiencesGracenote has approximately 15,000 video descriptors that can improve content discovery 14 Gracenote Global Video Data,April 2023LovePersonal RelationshipsOriginal ConceptFriendsLesbiansWritersHomesLGBTQ IssuesFeelings Of LoveFall

59、ing In LovePassionateSensualStylishBetrayalFriendshipSelf-DiscoveryLove StoryPersonality ClashBisexualsFamily MembersLovers2000s DecadeBig CitiesCafsLesbian BarsRomantic RelationshipsHomophobiaHeartbreakComing OutWest HollywoodOriginal metadataDescription:A group of friends lives in Los Angeles.Genr

60、es:LGBTQ,DramaCountry:U.S.Language:EnglishOriginal Network:ShowtimeOriginal series airing:2004-200914 Copyright 2023 The Nielsen Company(US),LLC.But media is no longer defined by specific channels.Audiences no longer need to leave their homes to see a movie,for example,and podcasts are no longer jus

61、t audio experiences.The proliferation of technology and device capability has broken down the walls between once-unique media types.The same needs to happen with content discovery,and tools like Gracenote IDs(unique content IDs),when paired with granular metadata,will be critical in aiding content d

62、iscovery across the entire media landscape.“The power of metadata isnt limited to the content or the platform,”says Nielsen Gracenotes Bahmanpour.“When you do an internet search,it becomes a tool that looks at deeper metadata that helps identify why an audience member might want to watch something.A

63、nd with metadata today,descriptors even involve things like mood,theme and scenario.”The other shortcoming of basic metadata is that it lacks the depth to facilitate modern content discovery across the entire media landscape.In essence,traditional metadata was one-dimensionalmeant for a specific med

64、ia type,like television.Basic metadata cant aid content discovery across media types14 Copyright 2023 The Nielsen Company(US),LLC.Content discovery happens everywhere15 Copyright 2023 The Nielsen Company(US),LLC.Fans of the English indie band Florence+The Machine,for example,might be aware of the gr

65、oups music catalog,touring schedule and social media activity,but a view into those specific channels doesnt always provide everything a fan might want to knowespecially things that have already happened.But when both the band and the BBCs Graham Norton Show have a Gracenote ID,a fan can do a quick

66、search on the internet(well outside of a search within a specific platform or service)and find out that their favorite act appeared on the popular British talk show back in June of 2018 just before releasing their fourth studio album.These IDs can also tell audiences who else was on the show at the

67、same time,and what each guest is famous for.Content discovery now spans the entire media landscapeThe Graham Norton ShowSeries(TMS)ID:SH012609270000Series(Studio)ID:4780271Jennifer SaundersCelebrity(TMS)ID:71045Celebrity(Studio)ID:4013415Channing TatumCelebrity(TMS)ID:321547Celebrity(Studio)ID:42908

68、64Usain BoltAthlete ID:485385Celebrity(TMS)ID:609024Celebrity(Studio)ID:3626198Florence+the MachineMusic Artist ID:GN87RPCB4ZR2YJ9 Celebrity(TMS)ID:556923Celebrity(Studio)ID:5234642Absolutely FabulousProgram(Studio)ID:4754704Program(TMS)ID:SH012694310000Kingsman:The Golden CircleMovie(TMS)ID:MV01059

69、4360000Movie(Studio)ID:5496674Rio Summer Olympic Games-Mens 100MOlympic Event ID:898618Program(TMS)ID:EP024344400503What kind of manRecording ID:GNCAFJVRRXGMVEPHow Big,How Blue,How BeautifulAlbum ID:GND1M09XGCGPCEXSeason 23 Episode 10June 8,2018Jennifer Saunders,Channing Tatum,Usain Bolt,Florence+th

70、e MachineEpisode(TMS)ID:EP012609270440Episode(Studio)ID:807932016 Copyright 2023 The Nielsen Company(US),LLC.Audiences today expect seamless discovery and search across media types.Platforms and content owners can deliver on this expectation across digital channels by leveraging linked content IDs.F

71、or example,if someone watches A Star is Born starring Lady Gaga and Bradley Cooper,they can easily navigate to the music featured in the film,jump to the video for“Shallow,”watch clips of Lady Gagas appearances on late night TV,or search for which podcasts she has appeared on.When combined with view

72、ership data,the“scenario”video descriptors within Nielsen Gracenotes Advanced Discovery suite can also help inform creators and distributors about which scenarios are trending from a viewer engagement perspectiveand which ones arentwhich can help identify whitespace development opportunities.Video M

73、oodTone of the work,as expressed through the combination of story,characters,setting,dialog,art direction,cinematography,music,effects,etc.ThemeAn abstract concept of human experience that the work addressesScenarioA specific situation,often personal or interpersonal,that sets the plot into movement

74、,or moves it forwardConcept SourceThe type of original source material that provided the inspiration or story for the workCharacterActual or fictional person/being/group relevant to the workSettingWhen and where all,or a portion,of the plot is set:-Time-Place-OccasionSubjectA specific topic that the

75、 work addresses:-Issue-Personal Issue-Activity-Practice-Event-Location-Milieu-Being/GroupVideo descriptor classifications17 Copyright 2023 The Nielsen Company(US),LLC.While engaging audiences is paramount,the latest evolution in the streaming industry brings us back to very familiar go-to-market ter

76、ritory:ad-supported programming.And knowing that audiences continue to migrate to streaming services,brands and agencies are following suit with significant ad spend.Much like in traditional media,audience measurement will be critical for advertisers and agencies as streaming continues expanding.But

77、 as video content becomes increasingly digital and unified through standardized IDs,metadata can help advertisers as well.Media research house Digital TV Research recently forecasted global AVOD revenue to hit$91 billion by 2028,up from$41 billion last year.It then forecasted FAST ad revenue to hit$

78、18 billion in the same year,triple the$6 billion it attracted in 2022.These forecasts align with the sentiment from the global marketers surveyed for Nielsens 2023 Annual Marketing Report,which cited that 45%of ad budgets are shifting to CTV.Additionally,84%of marketers say their marketing mixes now

79、 include streaming services.Ad revenue from AVOD and FAST is expected to hit$109 billion by 2028Advertisers are seeking their audiences:metadata can help1.Improve transparency.Proper metadata to describe content helps ensure buy and sell side parties speak the same language.As buys are efficiently a

80、nd transparently served against the content and services expected,increased advertiser trust can translate to higher spend.2.Get contextual.Access to and distribution of content-level metadata,such as network,genre and parental rating,can add context to decision making process,improving overall targ

81、eting and monetization.18 Copyright 2023 The Nielsen Company(US),LLC.A clear shift is underway within the streaming industry.Media companies are no longer solely focused on subscriber acquisition to fuel growth.Theyre also thinking about financial efficiency amid the growing pains of the latest phas

82、e of the streaming wars.Audiences still have a bounty of choice;that wont change.And that fact,complemented by a developing shift away from content exclusivity,puts the burden of audience engagement on each individual platform and service.In the burgeoning FAST space,two factors will be critical for

83、 success and enabled by advanced content metadata:Personalization of channels and guides to keep the viewers on a specific platform.Advertising precision that matches the brand premise to the content that is being watched.The user experience becomes critical to streaming success 19 Copyright 2023 Th

84、e Nielsen Company(US),LLC.Outside of advertising,media descriptors and personalization are just as beneficial for VOD platforms,especially if popular titles become more widely available across services.Personalization has always been the promise of a data-rich digital environment.Recommendations and

85、“other people who watched”options are table stakes across platforms,but platforms have just barely scratched the surface of what a truly audience-centric experience could be.In the FAST space,some providers dont even feature recommendation capabilities,while others purposefully showcase the content

86、they have paid to license instead of leveraging data about audience preferences.And every experience is currently a grid.To truly deliver on the promise of the Spotifyization of televisionand not just within the FAST spacecreators and distributors will need to lean into the personalization power tha

87、t descriptive metadata can facilitate.Channel programming,personalized recommendations and user experience can be as customized as any platform chooses.Within such an expansive environment,its clear that user experience will become the most important ingredient for success in the years ahead.Browse Movies Live TV For youHi Ethan.Whats your mood?Be frightenedBreak my heartFeel tenseAmuse meLet looseFeel romanceDark Comedy20 Copyright 2023 The Nielsen Company(US),LLC.