Mobile TV and Video in Italy: An assessment

Mobile TV and Video in Italy: An assessment

This 26 page report is a thorough assessment of the mobile TV and video markets in Italy. It includes revenue and user projections, in-depth analysis of challenges and opportunities, and recommendations throughout.

Mobile TV and video do not exist in isolation, but must be understood in the context of an eco-system of devices and content, that inform take up and behaviour around mobile TV and video. In the first section of this report we provide a contextual overview of the digital TV, internet, mobile phone and mobile internet markets in Italy. Comparison data with other countries are provided to contextualise data.

Proceeding this, we look at mobile TV broadcast via DVB-H, covering business models, usage data, user projections, and insights. Mobile video is then examined, and we investigate usage and user projections, and provide comparison data.

In comparison with other European countries, take-up of mobile TV and video in Italy is fairly impressive. Despite this, growth has been significantly less than predicted. We therefore undertake a thorough examination into hindrances to take-up, and discuss content, preferences around mobile video and TV viewing, long form and short form content, downloading, cost, and technology. We provide recommendations throughout.

We follow this with a section around monetisation in which we provide revenue projections alongside an examination into and recommendations around fee based services, advertising and targeted advertising.

Proceeding this is a section providing an overview of DVB-SH. We then finish with a section that covers further recommendations to arise from this report.

What this report will give you:

· User forecasts for mobile TV to 2015

· User forecasts for mobile video to 2015

· Revenue forecasts for mobile TV to 2015, and mobile video to 2015

· Data overview of digital TV, broadband, mobile internet, and mobile phone markets in Italy

· In-depth analysis of the mobile TV and mobile video markets, and behaviour

· Viewing patterns, including dayparts analysis and content viewed via mobile

· In-depth analysis of barriers to take up

· Analysis around monetisation, including subscriptions and advertising

· Overview of DVB-SH

· Recommendation throughout the report

· Keys to success

· Lessons to be learned from the Italian mobile TV and video markets

Contents:
Introduction 5
Eco-system of devices and content 6
Digital TV 7
Internet penetration 7
Mobile phones 8
Mobile internet 9
Mobile TV and Video 10
Broadcast TV - DVB-H 11
Usage 12
Mobile video 13
Usage 14
Usage across mobile TV and video 15
Average viewing time and location 15
Behaviour routines 15
Content viewed 16
Explaining low take-up 16
Social differences 16
Event programming 16
Preference for video and TV viewing 17
Video-on-demand 18
Downloading and side-loading content – drivers to long form viewing 18
Content and services created for mobile 18
‘Free’ content 19
Monetisation 19
Fee based mobile broadcast TV 19
Advertising based mobile TV and video 19
What can be learned from the Italian mobile TV experience? 20
Targeted advertising 21
Revenues 21
DVB-SH 22
Recommendations 24
The 3 Italia experience, and what other operators and markets can learn 25
Cross platform and multiple channel commissioning 25
Social media 25
Advertising 26
Measurement, reporting and analysis 26

Figures:
Figures
Figure 1. Europe Top Ten Internet Population (Source: Internet World Stats, 2009) 7
Figure 2. Europe Top Ten Internet Penetration (Source: Internet World Stats, 2009) 8
Figure 3. UMTS phone users 2004-2009 (Source: Nielsen 2009) 9
Figure 4. Mobile internet users (Source: Nielsen, 2009) 9
Figure 5. 3 Italia's vertical TV model 11
Figure 6. Typical broadcast model adopted by TIM and Vodafone 12
Figure 7. Mobile TV user forecasts 13
Figure 8. Video users (m) across Europe, 2009 (Source: Nielsen) 14
Figure 9. Mobile video user forecasts 14
Figure 10. Mobile video penetration and smartphone penetration by age (Source: Nielsen) 15
Figure 11. Mobile TV and viewing throughout the day (Source: ComScore) 15
Figure 12. Italians’ preferred method for watching videos (Source: Park Associates 2009) 17
Figure 13. Italians video viewing activities (those who have done this in the last six months). (Source: Parks Associates, 2009) 17
Figure 14. Ad responses by mobile video users 20
Figure 15. Forecast revenues from mobile TV and video 21
Figure 16. Solaris Mobile: Projected pan-European coverage (Source: Eutelstat) 22
Figure 17. Solaris Mobile's proposed distribution model (Source: Solaris Mobile) 23

Tables:
Table 1. Mobile subscriptions 8
Table 2. Mobile handset market (source: iDate, 2009) 8
Table 3. Mobile operators 9
Table 4. Mobile TV and video services by operator (Source: Pyramid) 11
Table 5. Mobile TV and video services by operator (Source: Pyramid) 13
Table 6. Top five video and TV categories viewed: Italy contrasted with other European countries (Source: Nielsen) 16