Media Companies Lack Short Form Video Strategy, Courting Long-Term Disaster (Guest Column)

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As a seasoned gamer with decades of experience navigating the ever-evolving landscape of digital entertainment, I can’t help but draw parallels between the current media dilemma and my own journey through various gaming platforms. Just like how traditional broadcasters are grappling with the rise of short-form content, I remember when console giants were slow to adapt to mobile gaming or online multiplayer, only to find themselves playing catch-up.

The rise of short-form platforms such as TikTok and YouTube is creating a significant hurdle in the media world, affecting traditional broadcasters, sports organizations, and content providers alike. Despite their focus on long-form content, neglecting short-form strategies could hamper their ability to engage, retain, and monetize audiences, particularly younger demographics. History suggests that this could pose a significant risk to their streaming ventures unless they seize the opportunity instead of being paralyzed by the same paradigm shifts that afflicted their predecessors.

For a considerable period, the market values of conventional media firms have taken heavy blows due to a shift in consumer video preferences from broadcast and cable television to online streaming platforms such as Netflix and Amazon. These companies not only struggle to maintain viewership but also struggle financially due to their lack of profits from streaming, and moreover, these meager profits do little to counterbalance the loss in revenue generated by traditional high-margin media businesses.

As a gamer, I can’t help but notice that they seem to be lagging behind yet again in catching up with the fast-paced and evolving world of short video content consumption.

Social media platforms like YouTube and TikTok, along with others, have rapidly captured viewers’ interest, significantly increasing their portion of consumer video viewership. This trend is particularly noticeable among Generation Z consumers, who spend approximately three hours daily watching videos on YouTube and TikTok collectively, compared to slightly over an hour on streaming and traditional media platforms combined.

By merely sharing content or advertising on such platforms like YouTube and TikTok, although it’s a crucial tactic, it essentially fortifies their dominance by amplifying the network effect of these sites, creating a growing barrier for competition known as a “moat.” This strategy might unintentionally hand over what could potentially be the next significant media breakthrough.

To remain relevant among consumers, streaming services like Disney, Warner, Fox, Paramount, and others must swiftly develop both content and product strategies to meet the growing demand for short-form content. Failing to do so could result in losing their audience’s attention entirely. These investments can also aid in achieving broader strategic goals by creating more adhesive platform ecosystems that attract new users, boost engagement, and present fresh revenue streams.

Let’s examine various methods it can benefit their strategic goals: Initially, a concise in-app destination brimming with engaging content could establish a routine for users to visit and utilize their app daily. It’s been found that U.S. consumers incorporate 9-10 apps into their daily routines; short-form videos provide a strong incentive due to their quick, frequently updated content, encouraging users to start and finish their day, or fill those small moments in between, within the streaming media platform. Why should TikTok and YouTube have exclusive access to all viewers’ attention?

This brief in-app feature provides a chance to engage new users with free content, acting as an inviting entrance to raise awareness and curiosity about premium subscriptions. It also serves to encourage existing subscribers towards more valuable, extensive content through promotions. Furthermore, this leads to an expansion of ad space and chances for additional monetization, similar to Shopify experiences.

Indeed, it won’t be a simple task. However, these businesses need to grasp the ways they can stand out and improve consumer satisfaction.

To kick off a journey in creating short form videos, rights holders should make use of their existing library and implement an effective strategy for releasing content in brief formats, initially. Utilizing advanced AI tools, which have been trained across various scenarios such as sports and on-demand video content, can expedite the launch process and speed up publishing by identifying crucial moments, editing, converting to vertical format, and distributing short form content derived from live, new, and archived content.

This can be supplemented by direct investment in glossy, original short form content, dusting off the playbook from the now defunct Quibi. While Quibi lacked a strong data foundation to inform content investment, today’s streamers are well-positioned to leverage their mountains of data into an effective original shorts strategy. Furthermore, with fan engagement activations and AI-driven moderation tools, influencer and / or user-generated content could also play a role as consumers express their fandom and creativity around brands, adding to the content mix.

From a product point of view, these same companies need to invest in a destination within their respective streaming apps that caters to the short form experience. Instead of adapting a long form experience via rails and other quick-fixes to create a short form product, they must instead adopt a winning engagement format for shorts that includes vertical format, infinite scroll, personalization, and engagement tools like comments, emojis, graphics, clipping and sharing.

As a gamer diving into the digital world, I can’t stress enough the immense potential of short-form video content. It’s like discovering a hidden power-up in a game – if media companies don’t grab this opportunity right now, they’re only setting themselves up for more challenging levels ahead, with both their audience and investors growing increasingly skeptical. Remember, as Shakespeare said, “what’s past is prologue,” but the future is still unwritten. The shrewd move here is to craft a strategy that embraces short-form programming – it’s the key to unlocking a brighter future in this ever-evolving gaming landscape.

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2024-12-17 18:26