Originally featured on BroadcastEngineering.com
Media, entertainment companies ill-prepared for today’s digital opportunities, says study
The vast majority of media and entertainment company senior executives say they are not using to the fullest extent possible customer data that would make it possible to deliver customized content, according to the findings of a new survey from Accenture.
According to the Accenture research, 91 percent of these media executives are failing to take full advantage of the data, leaving them ill-prepared to fully realize the revenue opportunities available from today’s digital technology.
Moreover, 95 percent of the executives surveyed said they do not have strong digital customer relationship management (CRM) capabilities. Fifty-eight percent said they are in the early stages of developing CRM capabilities.
The research, Accenture’s “Global Media & Entertainment High Performance Study,” found fewer than 10 percent of the executives said their companies have a fully integrated view of their digital consumers. This suggests the overwhelming majority of industry players must consider altering how their companies do business if they are to succeed in growing revenues in today’s digital landscape.
The study canvassed opinions from 130 senior industry executives across Europe, North America, South America and Asia Pacific to identify the characteristics necessary to be a high-performing media and entertainment company in the future. It involved speaking to leaders and decision-makers in the media and entertainment industry, including television, gaming, film, music, publishing, portals and advertising.
Accenture also surveyed the executives about the implications of social media for their businesses. Fifty-five percent said their companies had a clearly defined social networking strategy in place. Thirty-eight percent of the executives indicated they use social networking to gain customer intimacy, while only 17 percent indicated that it is employed to gain sales.
The study also revealed that 42 percent of the executives expect advertising to be the primary source of revenue over the next two years.