By: Lekha Rao, Vice President of Corporate Communications & Media Relations at Telaria
“And miles to go before I sleep…” Robert Frost may well have been reflecting the thought of every attendee at dmexco 2018 as they walked from cavernous hall to cavernous hall in Cologne, Germany! And so it was at dmexco 2018, where everyone more than achieved their daily step count!
It’s been an exciting year since the Telaria brand debuted at dmexco 2017, and our company has come a long way since then, both in brand recognition as well as in advancing our business; so we were excited to return and engage with our clients, partners and friends to showcase our progress and milestones.
Over two days of scheduled meetings, impromptu drive-bys and serendipitous encounters between the Telaria team and our premium publisher clients and prospects, DSP and agency partners, this year was a chance for us to showcase our Video Management Platform on the dmexco stage. Telaria’s complete suite of technology tools designed to help publishers maximize the value of their video inventory is perfectly positioned to leverage the changing dynamics of a video first world where consumers and technology are pacing each other to achieve a fully connected TV ecosystem.
But first things first — the night before the conference started, Telaria hosted 40 clients and partners for an al fresco dinner on the stunningly beautiful grounds of the 18th century Schloss Bensberg Castle. It was an opportunity to unwind and connect with industry friends after a day of travel for most before the focused intensity of meetings, presentations, pitches and information sharing of the next two days.
As Digiday noted in their article summarizing dmexco, connected TV dominated this year’s conference and we had a packed house for Telaria’s CEO, Mark Zagorski’s seminar presentation where he talked all things connected TV. Titled “Connected TV: Mapping Tomorrow’s World Today,” Mark’s presentation highlighted research conducted by Telaria on the cord cutting phenomenon to better understand the factors that influence consumers’ decisions to cut or keep the cord.
Mark spoke to the global secular trends that are changing the definition of TV and how it will be monetized. Last year alone, pay TV lost 4,000,000 subscribers – and that’s just in the U.S. According to Telaria’s study, almost half of Cable Keepers aren’t committed to keeping pay TV and have considered ending their subscriptions. Eleven percent of them are planning to ditch pay TV in the next six months. But if you don’t think this change is coming to where you live, you can be certain it is. The shift to connected television is a global phenomenon across APAC, LATAM, EMEA, and North America. Per eMarketer, the past three years have seen a 200% increase in OTT video viewers worldwide.
The presentation noted that by the end of this year, Netflix will spend $6 billion on original content on over 1,000 original programs and is predicted to spend $8 billion next year. To put that into context, only broadcasters who buy the rights to live sporting events have ever spent more on content in a single year. It’s a virtuous cycle: More content will drive more adoption. Adoption will drive up demand for content. And more content will drive more advertising inventory, paving the way for increased ad investment. At Telaria we’re seeing this growth first hand on our VMP. Telaria’s connected TV revenue as a percentage of total revenue for the first half of 2018 versus the first half of 2017 increased over 400%!
It was a thought provoking and engaging presentation that demonstrated how CTV delivers almost everything that advertisers want in digital including 100% viewability, non-skippable ads and almost no fraud. That combined with the fact that younger generations are driving the growth of connected TV means that for Telaria it’s clear that the future of TV is connected TV!