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AVoD vs SVoD in MENA

With TV Connect MENA now firmly on the horizon, Media + Networks caught up with IHS Markit’s Constantinos Papavassilopoulos to find out a little more about his session and view of the MENA region.

Who do you work for and what do you do? 

I am a Principal Research Analyst for IHS Markit. In my capacity as an analyst, I cover the TV (pay and free) and online subscription video (OTT) markets of the MENA region, along with India, South Africa, Turkey, Greece and Israel. Each year I write the IHS Markit publication MENA Pay TV Market Monitor.

You are taking part in in a panel discussion at TV Connect MENA examining SVOD vs AVOD in the region. What are the five most important things attendees of your session need to know to get them ready?

1) The MENA region is still primarily an AVoD market, where most online video revenues are coming from advertising

2) Subscription video is swiftly catching-up and by 2022 SVoD revenues will be higher than AVoD

3) The best monetization strategy for the moment, at least for local operators who control popular content, is to adopt a freemium business model, ie make a large part of the non-premium content available for free (to build scale) and the premium content offered behind a pay wall.

4) A vital component of a successful strategy is to offer (preferably on an exclusive basis) local content and particularly original local content.

5) The keyword for success is partnerships. Partnerships between telcos and SVoD operators, between content owners and SVoD operators, between pay and free TV operators. In a word partnerships between parties that can both add value to the business proposition of each party.

Constantinopolis

What are your three predications for the MENA TV market in the next five years? 

1) The overall pay TV market will grow (if left outside of political considerations).

2) The online subscription video market will grow much faster than the “traditional” satellite TV market.

3) In MENA one size does not fit all: we will see that the offer of content will follow the tastes and interests of local and regional markets.

What do you hope to gain or enjoy most at TV Connect MENA 2018?

TV Connect MENA provides the best setting to see, hear and meet with industry leaders, professionals who have shaped the TV business in the region and to conduct business meetings, presentations and to connect with the people of the industry and the TV and online video communities in the MENA countries.

MENA-ContentPlugConstan

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