At Content Americas 2024, Parrot Analytics presented a report that highlights key trends and predictions for where the entertainemnt industry is headed in the Americas. Titled "Future Content Trends - Reflecting and Projecting", the report explores future content trends and their implications for the media and entertainment industry, with a focus on streaming demand, local content, IP-based content, and market consolidation.
Outlined below are some key insights from the report:
Growing Demand for Streaming Originals in Latin America
- Since 2019, there has been a steady increase in demand for streaming originals in Latin America.
- Linear content demand is declining as streaming originals gain popularity.
- Linear broadcasters must transition towards streaming to remain competitive. Investments in streaming infrastructure and original content are crucial.
Rising Appetite for Local Content
- Local content is increasingly driving demand in the region.
- Local shows generate higher demand compared to international titles.
- Investing in local storytelling and production is essential to resonate with regional audiences and enhance market penetration.
High Demand for IP-Based Content
- Content based on existing intellectual properties (IP) like video games and comics travels well globally and attracts a strong fan base.
- Video game adaptations are particularly successful both in theatres and on streaming platforms.
- Leveraging well-known IPs can ensure a higher likelihood of success and international appeal. Collaborations with gaming studios and comic book publishers could be beneficial.
Consolidation and Bundling
- There is a notable rise in consolidation, bundling, and ad-supported services.
- Non-traditional bundling, offering a mix of content, is becoming more popular as consumers seek simplicity.
- Media companies should explore strategic partnerships and bundling options to offer diverse and comprehensive content packages.
Strategic Content Placement
- Understanding the strategic role of each piece of content is crucial for platforms.
- Demand drives revenue, and platforms must align their content strategy to maximize viewer engagement and retention.
- Analyzing content performance and adjusting strategies accordingly can optimize revenue. Tailoring content to specific demographics and preferences is key.
Specific Case Study: Netflix and "Sintonia"
- "Sintonia" generated significant demand and revenue for Netflix in Brazil.
- The show contributed $39 million to Netflix's revenue in Q3 2023, with 40% of this revenue coming from markets outside Brazil.
- Local hits can become international successes. Promoting successful local content on a global scale can drive subscriptions and engagement.
To thrive in the evolving media landscape, it is imperative for Hollywood executives to focus on streaming, invest in local content, leverage popular IPs, explore bundling options, and strategically manage content portfolios.
For more detailed insights, download the full report here.
To know more about Parrot Analytics' full suite of entertainment analytics and content valuation products, visit the link here.
