Tinder is one of the most high-profile mobile apps on the market and has transformed the adoption of online dating
Tinder’s success is due in large part to its understanding of user experience, which is key to getting, keeping and upselling users through network effects
But the financial value of this success is limited by the industry: even a mobile revolution has not created a high-revenue mass market where none existed before
2016 was another good year for UKTV, with appreciable growth in revenue and linear viewing share; a trajectory the product of a sensitive pay/free balance of its channels, investment in productive EPG slots and development of its original programming suite.
Recent deals with both Sky and Channel 4 will go some way to providing financial stability, allowing UKTV to invest with more certainty in new content and encouraging further development of its online proposition.
UKTV Play has underperformed, chiefly due to a lack of content. But with plans to significantly ramp up both its offering and marketing spend, it may well unlock further audiences; specifically targeting elusive 16-34 year-olds.
Media reports of ads by top brands appearing next to extremist content on YouTube have surprised advertisers and led to a barrage of criticism from other media companies, agencies and the UK government
Despite several advertisers pausing spend, the revenue impact for Google is likely to be small in the short term – but the debate is a symptom of ongoing tension between “frenemies”: large agencies and Google & Facebook
By urging Google alone to educate display advertisers and filter campaigns, agencies risk ceding more of their client relationship to the advertising giant, while calls for the platform to make all editorial judgements on political content are inappropriate
2016 was yet another year in which we saw big changes in the UK’s video consumption habits amongst the under45s, with little let up in the decline of traditional broadcast linear TV viewing for the younger age groups.
Online video-on-demand services will continue to grow, partly at the expense of traditional TV audiences. We also expect the overall volume of viewing to rise, mainly due to wider production of and access to short-form content.
Despite these changes, conventional broadcasters look to be strong for years to come—we estimate they will still account for 80% of all video viewing in 2026.
Secretary of State Karen Bradley has intervened on two UK public interest grounds in 21CF’s bid for 100% ownership of Sky: media plurality, as in 2010, and a commitment to broadcasting standards, new in 2017
Ofcom will assess any implications of 21CF’s full control of Sky on whether it is ‘fit and proper’ to hold a broadcast licence, reporting back on 16 May
Undertakings are a live issue in the 2016 bid, notably to protect the editorial independence of Sky News, noting the bid faces determined opposition from certain quarters
Amazon’s marketing services bring in a growing stream of direct, high-margin revenue, but their main role is still in supporting vendor partnerships
Amazon uses customer profile data to profit from its own media and that of others, illustrating the value of a direct customer relationship in online advertising
In the future, Amazon’s moves into video content and voice interfaces are likely to significantly expand ad inventory, but maintaining the trust of shoppers is not straightforward
Enterprise cloud computing democratises access to IT capacity ranging from specialised software to platforms to infrastructure, transforming cost structures in sectors like media and retail
Cloud enables unprecedented scalability of bandwidth for digital media services like Pokémon Go and Netflix, while also hosting the back-end for advertisers and retailers
As the industry consolidates quickly, intense competition among Amazon, Microsoft and Google is delivering value to customers and boosting adoption