MAD Perspectives Blog

Addicted to Connectivity?

Peggy Dau - Monday, August 18, 2014

Connectivity. Engagement. Data. Anytime. Anywhere.  These are the buzzwords that surround those of us in the communications, media & entertainment sector. We check the stats about the adoption of Smartphones and Tablets, using them to justify investment in new solutions and product updates. We track likes, hash tags, influencers and market trends. We use data to understand how customers, consumer or business, are accessing content and information. But, do we pay attention to how we access all that content, information and data?  

Not really. While we actively select our broadband and wireless carriers based on our needs, we take it for granted that that connection will be there when we need it. We increasingly use free Wi-Fi to access rich content on the go because we don't want to eat up the data in our data plans. We can do this because…free Wi-Fi is increasingly available at places beyond Starbucks and McDonalds. Anytime I’m traveling, especially internationally, I pop into such places to download email, check social updates and gather business news. I admit it; I'm addicted to connectivity.

Who supplies that connectivity? The telecommunications companies around the globe. They are AT&T, Verizon, BT, T-Mobile, Vodafone, Telefonica, Telecom Italia, NTT DoCoMo, and the list goes on. We expect these service providers to provide us with the connectivity that allows us to be informed, entertained and engaged. But, do we understand how it works? Do we care? Yes, we care in so much as when the network doesn't work, we are disgruntled. We may even tweet about it.

These communication service providers (CSP) have worried about becoming commoditized pipes. It's a fair concern, given that the motto, "Content is King" has never been more true than it is now. However, how would we access that content without network connectivity? How would all those big data companies scrape the Internet for social insights, search queries, opinions and recommendations, to augment internal, system driven data, without network connectivity? 

OTT content consumption has raised eyebrows for broadcasters, cable operators and the FCC in the United States. Why? Not simply because it changes the business model for content, but because it consume a LOT of bandwidth. Bandwidth provided by CSPs such as Verizon and Comcast. As wireless networks continue to improve and networks in general become more flexible due to evolving technologies, the bandwidth and services they can provide become more advanced. We are already enjoying content on the TV screen while using Wi-Fi or wireless networks to access incremental data related to the show we are watching, or to see what our friends our saying, or to check email or to [fill in the blank]. What happens next is dependent on the evolution of those wireless technologies enabling our connectivity.

Network technology is the secret sauce connecting our 21st century world. While CSPs are certainly not perfect in how they manage connectivity, they are persistently working to improve their capabilities. And, we are all addicted nonetheless.

What's your perspective?

Trends Proving True in 2014

Peggy Dau - Monday, July 14, 2014

I love this info graphic as it was created earlier this year and uses data to support its definition of the trends I've seen in 2014. I've been writing about them and their application for the media & entertainment and telco industries. It's a nice mid-year reminder that the trends are also the realities for clients as they invest to improve their storytelling capabilities.

What's your perspective?

The Marriage of Data and Storytelling

Peggy Dau - Tuesday, July 08, 2014

A few weeks ago I wrote about finding the story in the data. This relationship between data and storytelling continues to evolve as increasing amounts of data are available to us. Domo released an enlightening info graphic that exclaims that Twitter users tweet 277,00 times and that Apple users download 48,000 app severy minute of every day. These are just few examples shared in the infographic, which reflects that data never sleeps. With its chronic insomnia, data provides an unending source of stories to entice, educate, elucidate, engage or enrage readers. 

Even as big data is on the cusp of entering the trough of disillusionment phase of Gartner's Hype Cycle, data will continue to be the source of validation for all levels of business strategy and the stories we tell to explain those strategies. Our stories take the form of quarterly earnings, product announcements, R&D proposals, go-to-market programs and customer experience initiatives. The data, that we collect from internal and external sources, structure and unstructured, serves to support those stories. Data and story are intrinsically bound until death do they part.

Of course in any marriage there are supporting cast members. At this wedding, the maid of honor is social media. She provides context in the form of voluntary updates. She can be emotional, repetitive, succinct, and pragmatic. She adds color to the story and sometimes is the instigator of the story. On the other side of the aisle is mobility. He is the enabler of location based data, subscriber data and usage data. He provides a different kind of context to big data, delivering the insight that allows big data and storytelling to target their efforts even more specifically. By bringing these players together and consolidating the value each of them provides, we move closer to the using data prescriptively. Understanding the context of the data is, for now, the secret sauce. This allows our stories to not only share what and when something is happening, but why. We will be able to suggest better solutions for our customers because we will more fully understand the issues that are enablers versus those that are inhibitors to healthy relationships.

Stories have been a key element of all business, from those that introduce a new norm (Ford), found a business segment (HP, IBM), challenge the norm (Apple, Google) or provide new ways to connect (Bell Labs, Facebook). All stories have a common foundation, data - about the market, the product and the opportunity. Data can exist without story, but its value would not be appreciated. What's your story?

What's your perspective?

Mobile at the Intersection!

Peggy Dau - Monday, June 23, 2014

Mobile is changing the face of business as we know it. It sits at the intersection of cloud, social and big data. While much focus in the mobile phone market is about devices and apps for the consumer, I would argue that Microsoft's decision to finally release it's Office suite as apps for both iPhone and IPad is a true barometer reflecting the increasing use of these devices for business purposes. Why is mobile so important? Aside from the flexibility that it provides users, mobile is driving use of cloud based services as the device itself does not function in a typical client/server fashion. These devices are the route to success for social networks as proven by Facebook's continued investment and focus on mobile. They are changing the shape of industries from healthcare to media to financial services. 

How? Healthcare is perhaps at the forefront of the M2M conversation with the ability for devices to share critical patient data with other devices. Or with the ability to simply encourage users to live healthier lives through wearables and apps capturing and tracking cardio activities or comparing healthy food options. Mobile solutions for healthcare also include patient appointment reminders and medication alerts. Doctors can provide virtual consultations and use software based diagnostic tools that incorporate a patient's medical history to make health recommendations. In the background this is all enabled by cloud, big data and social networking concepts.

The financial services sector has adopted mobile for banking, payments and brokerage transactions. Not only can we review account balances, we can deposit checks, transfer funds, research investments and perform transactions. And, the mobile payments industry (which perhaps is as much about e-commerce as it is financial transactions) is still maturing as companies like Square, Dwolla, Google Wallet simplify payments via your mobile device. The amount of data that is now available to financial institutions thanks to mobile banking allows banks to customize their marketing efforts, creating both efficiencies and new business opportunities.

The media and entertainment industry has been turned on its ear by mobile. Everything from cameras to media workflows to ad sales and advertising itself is going mobile. On the operational side, mobile solutions are lowering costs for broadcasters providing coverage of sport events like the FIFA World Cup. Mobile has also forced significant shifts in media workflows as multichannel consumption is now the norm, not an option. This means content producers must consider HOW they will enable content to be distributed and consumed on a wide variety of devices. Mobile allows social sharing of content, opinions. It is the second screen for entertainment. Media is social. It generates consumer data and content data - all of which is beneficial for operational and financial purposes. And, it is all increasingly happening in the cloud.

The industry at the heart of all? The industry without which none of this could happen. No, its not Apple or Google or any of the device or operating system providers. Its the telecommunications industry. they provide the bandwidth, be it 3G, LTE or WiFi, that allows our devices to connect to their networks and access the information, entertainment or people they desire. Not only does mobile "validate" the existence of communication service providers, it offers them new business opportunities. Companies like AT&T and Verizon, offer a variety of services to help businesses, large or small, develop and/or capitalize upon the use of mobile apps. They provide device management solutions to help businesses address the "Bring Your Own Device" desire for many employees. They provide data analytics services to visualize how, when and where users are accessing information.

That brings the final piece of the puzzle to the table. Data. Lots and lots of data. Data about the subscriber, where they are, what they do. Patterns can be illuminated. Browsing habits can reveal new opportunities. Data about devices and networks. How much data is being transported across networks. What type of data is it?  Structured? Unstructured? Is it related to entertainment, social media, sports, financial services, health, e-commerce, travel? It's no wonder that big data analytics vendors are squarely focused on mobility and the ecosystem that exists around it.

Our mobile devices are our most important accessories. How many times do we double check to make sure we have our devices with us when we are laving the house. They are our link to FINDING information -  about products, competitors, customer service, market trends, industry insights and more. They improve our productivity. They save business a lot of money through time saved. They help business invest in new markets and new solutions, through the use of time saved elsewhere. Mobile devices have changed the way we live and the way businesses will evolve.

What's your perspective?

Big Data Making the Connection

Peggy Dau - Monday, June 16, 2014

With all the buzz about big data, the primary assumption is that it will help companies better understand their customers. This is not wrong, but is is just one aspect of what big data can do. In his recent conversation at HP Discover, Brian Kraznich CEO of Intel, spoke about how big data can help us uncover "known unknowns and the unknown unknowns". For example, we know we can uncover data that will help us understand consumer preferences. It's just a matter of aggregating and analyzing the data from multiple sources. But, what about making the connection between various data points that reveals something we never imagined?

Industries from financial services to oil & gas to telecommunications & media are all using big data to improve their businesses. How big is Big Data?  It's big enough that there is now a data visualization award at this week's Cannes Lions event - the "Oscars" of the advertising industry.  It's important enough that data scientists are paid more than business analysts at financial services firms.

We've all read about Netflix's use of its subscriber data to influence its production of the hit series "House of Cards". However, Netflix is also using data to identify the impact of Quality of Experience (QoE) on the subscriber behavior. For example, what is the rebuffer rate? What is the bitrate? What is the network capacity? One benefit in correlating this data is that it allows Netflix to make smarter decisions about where and when to cache content, usually near the "edge" of the network, to better server their customers.

Netflix is not alone in its focus on the network. Cable operators and telecommunications providers have long been monitoring and measuring network performance. They capture data from across their networks in order to provide a better a subscriber experience, but also to reduce their operational costs. They have adopted big data analytics solutions to address concerns such as extracting data from call data records and comparing it to network alerts with the goal of  improving customer service. The analysis may reveal that a small number of network nodes are responsible for the majority of customer issues. The service provider can then pursue options such as providing online self-service tips, performing proactive network maintenance or performing network equipment upgrades. The results include reductions in the volume of calls to the call center as well as reduced on-site visits, improved customer service margins and happier customers.

A benefit for all service providers is the ability of big data analytics to unify systems for network monitoring, management and troubleshooting. With a variety of hardware and software in the network and at the subscriber premises,  aggregating disparate data is a challenge. Big data solutions enable capture, aggregation and analysis to:

     - measure network usage

     - reduce network equipment costs

     - perform fraud analysis

     - uncover bandwidth issues

Getting ahead of the curve on these issues will allow cable operators, telecommunications providers, wireless carriers and OTT Players to manage their networks more efficiently, which ultimately allows them to serve their subscribers more effectively. Big data provides the insight to prepare them for the increasing demands on the network to provide connectivity, deliver high bandwidth video and enable interactivity.

What's your perspective?

Finding the Story in the Data

Peggy Dau - Monday, June 09, 2014

Batting averages. Market share. Global warming. Presidential front-runner. What do all of these statements have in common? They are statements based on data. They are the beginning of a story. Whether it is a journalist reporting or an analyst writing or a brand positioning, the basis of the story is in the data. It's little wonder that big data analytics has become the catchphrase for every marketer (myself included!).

We've always been data driven. The only difference now, is that we have MORE data. It has always been able to find the data to support any type of debate. However, now individuals are voluntarily sharing their thoughts and opinions on the internet and social networks. It is the power of this unstructured data, especially when combined with existing structured data from existing systems, that is attractive to brands. They have the opportunity to tailor a story to meet specific, self-defined customer needs. But the challenge lies in how to sift through all that data.

Enter - big data analytics. Analytics is now big business. Every IT company has jumped on the bandwagon. IBM and its Watson supercomputer are positioned to provide personalized advice to doctors, financial analysts or online shippers. While HP Vertica is sifting subscriber data at telecommunications companies around the globe and analyzing social data feeds for NASCAR.  Not to be outdone, Teradata is providing greater customer insight to the hospitality industry and food suppliers.  Each of these vendors is providing the 'secret sauce' to help their customers connect with their customers by telling the most relevant story. And, it all comes from the data.

A report from Columbia's TOW Center for Digital Journalism, speaks to data-driven journalism. But, hasn't journalism always been data driven? Yes, but instead of having staff researchers manually scour files and reports, or spend hours online searching for the right data, there are an increasing number of tools to help them uncover the data to create or support the story.  They are not alone. The term data scientist has gained great cache in the past few years. Whether it is for advertising firms or for financial services, the value of data has never been higher. 

One only needs to look at the history of US presidential elections.  Remember the predictions Dewey defeating Truman in the 1948 US Presidential election? Newspapers had determined that they had their story and went to print with "Dewey Defeats Truman" on the front page. Perhaps access to more data would have prevented that now famous error.  Today's pollsters have many more tools available to them today as proven by Nate Silver's eerily accurate predictions in the 2012 US Presidential race.

Brands are learning how to tell their stories with a deeper understanding of their customer base. Dove has hit home runs with their ads reflecting real women rather than models. Telecommunications vendors are modifying their marketing outreach to reflect the knowledge they have about subscriber consumption. Advertising conglomerates, perhaps the kings of storytelling, have invested in analytics to improve ROI for their clients. Big Data Analytics is not a passing fad, it is a logical step on the journey for meaningful, measurable communication between individuals and businesses. Have you found your story in the data?

What's your perspective?

Twitter is #Indispensable

Peggy Dau - Tuesday, June 03, 2014

Twitter.  Everyone knows what it is. Everyone has an opinion as their future viability.  The company went public with much fanfare. The stock opened at $26, climbed to the $70 range and sunk back to $30.  It's now stabilizing, but the question remains - can Twitter hang in there for the long haul?  I'm not a power user of Twitter, nor do I have any financial stake in Twitter. Yet, I find Twitter to be more and more compelling.  

Here's what i like about Twitter. It has taught all of us how to communicate concisely. It's that simple. We've all had to learn how to communicate in 140 characters or less. And that includes any url links or hashtags! I just listened to a report on how to make sure your email is read. In short (pun intended), be direct, be clear, be succinct. It sounds liked Twitter is influencing email.

Twitter is enabling and influencing more than individuals.  It provides personal context to the topics of our day. Twitter has changed the shape of news, politics, sports, TV viewing and business communication.

News:  Twitter has become the source for breaking news. It is so much an accepted force that broadcasters and journalists not only own their own twitter accounts. Twitter is not only incorporated into their reporting, it is now used to get the news out and track audience opinion and interest. It is used to determine the level of reporting associated with breaking or ongoing news topics.

Politics: Then candidate Barack Obama may arguably have been the first politician to capitalize on the power of social media, but the role of Twitter in politics is now, not only acknowledged, it is embraced - until it becomes embarrassing (remember Anthony Weiner?). Twitter helped power the Arab Spring uprisings of 2011. It is such a recognized communication tool that some countries have banned Twitter.  These countries include Turkey, Iran, Pakistan, China, and North Korea.

Sports:  Most professional leagues/teams and college sports programs (e.g., MLB, NFL, NBA, ChampionsLeague, FIFAWorldCup, USOlympics, GoDiplomats, etc.) have active accounts, as do over half of professional athletes. However, the real power of Twitter for sports is in the hands of the fans. The largest spikes in Twitter use surround big sporting events like the SuperBowl, Olympics and the upcoming FIFA World Cup.

TV: This may be where Twitter's influence leading to revenue generation. As Twitter prepared for its IPO, it announced deals with the NFL, Comcast and Nielsen. Twitter, through its acquisition of Amplify, can distribute videos.  However, Twitter users can also click on the "See It" button for certain programs and obtain more information, or watch content on their device.

Business: Twitter has forever changed the nature of business communication. Is there a company, large or small, that does not have a Twitter account? It used to be that a website was the requirement for proving you had a business. Now, it's about both the website (many times as a repository for longer form content) and Twitter. Both B2C and B2B companies tweet to share information, invite engagement, encourage participation and measure customer experience. 

Twitter has become the norm. It is as institutionalized as email when it comes to a form of communication. The difference is that the data in Twitter is extractable and has value. Thus Twitter's acquisitions of Blue Fin Labs and Gnip among many others. Twitter's revenue potential is dependent on monetizing data for advertising, for customer intelligence, for market trends, for consumer insight.

While Twitter subscriber growth is slowing and usage is down (likely due to user inability easily sift through the "noise" to find the "right" content), what other platform has insinuated its way into our daily lives in so many ways? 

What's your perspective?

CMO vs CIO = Blurred Lines

Peggy Dau - Tuesday, May 27, 2014

2013 was the beginning of a discussion regarding the use of technology by the Chief Marketing Officer. As marketing teams utilize social media, digital marketing, CRM  and big data to create campaigns to engage customers, the CMO requires more technology than ever, blurring the lines between CTO and CMO.  Whereas in the past, these leaders and their teams may have been able to ignore each other, that is no longer possible. Who owns the technology budget, IT or Marketing? The blurred lines extend beyond this discussion.

Consider the following points and think about who might own the budget, benefit from an investment in the technology and the impact of the technology on the organization.

     - Social media monitoring platforms. They are the source of real-time data about your brand. This data can help tune existing marketing campaigns and provide the foundation for new real-time campaigns.  in addition, they can provide the insight to guide effective online marketing investment. 

  •      - Digital Marketing platforms.  These solutions must not only support content & campaign management, they must also produce data and relevant analysis , AND be accessible anywhere, anytime.  Increasingly, these platforms must integrate with services and solutions 
  •      - Content Management platforms. While Digital Marketing solutions are on the rise, there are still many Content Management, Digital Asset Management and Media Asset Management solutions that continue to expand their capabilities. These platforms have evolved to address social content, user generated content and audio/video assets. In addition, they must (and this is no longer an option) address multichannel distribution and consumption.  

         - Mobile content development. Mobile is increasingly the platform of choice for accessing information while also adding a layer of data relevant to where they are when they engage online or request content. the challenge is whether to create an app or to develop a mobile friendly web site, or both.

The challenge facing organizations is that Marketing and IT have different goals. Marketing teams own the responsibility for attracting and engaging customers.  Their goal is often to create demand for a company's products and services.  IT is responsible for the hardware, software or services that enable access to critical information about the company's finances, supply chain, products, services, resources and customers. Marketers have been known to create campaigns and solutions that don't take into account the impact on finance or IT. In today's word, adoption of marketing driven solutions must address integration with existing systems and alignment with network security, at bare minimum. In reality there are also concerns as to who will manage and use these systems. Which budget is used to procure and maintain the platform? Who determines the ROI? What are the key factors to calculate ROI? 

Remember when technology was once considered the domain of engineers and the foundation for operational aspects of business that were rarely visible to customers? Now, technology streamlines and informs customer facing teams in both sales and marketing. It updates, educates, streamlines and enhances the ability to intelligently interact with customers. Why wouldn't the CMO want to own the responsibly for selecting and leading the use of such customer data-centric platforms.  Responsibilities will be redefined. New titles will emerge. Marketers will become more technology savvy. Technologists will become more customer savvy. All players recognize the power in the data and that will continue to blur organizational lines.

What's your perspective?

Net Neutrality Soon to be a Distant Memory?

Peggy Dau - Monday, May 19, 2014

If the cable industry has its way, the internet will soon feel like my former local cable plan. I'll keep paying more without receiving any incremental value or having any say in the matter. The current debate over net neutrality boils down to concern by internet service providers (ISP) that services like Skype and Netflix consume large amounts of bandwidth, causing network congestion that can only be addressed by infrastructure investment by the ISP. The ISPs claim that the FCC Open Internet Order 2010 goes too far in its restrictions requiring ISP transparency in how they manage network congestion and prohibits ISPs from blocking traffic or creating "slow" lanes for any content.

This issue has worked its way through the courts and has escalated in terms of visibility thanks to the success of OTT services like Netflix and Amazon Instant Video as well as voice/video-over-IP services such as Skype. Netflix's website indicates bandwidth requirements of 3 Mbps for standard definition content, 5 Mbps for high definition content and 25 Mbps for 4K content. It is obvious why ISPs are concerned. While 4K content is not yet widely available, nor have consumers invested heavily in 4K TVs, it is clear that 4K content is the future. As the volume of Netflix subscribers increases, so do the concerns of Comcast (easily the nation's largest cable operator and soon to be larger and more powerful with its acquisition of Time Warner Cable), Verizon and other providers of fiber optic based networks.

In my opinion, these ISPs are simply trying to figure out a way to underwrite their future network investments. They can pontificate about the FCC overreaching its authority or freedom of speech or regulatory ability, but the bottom line is always about money. Netflix has already started creating direct relationships with ISPs to guarantee that they will have the necessary last mile bandwidth to deliver content to their subscribers. And, what is the result? An increase in the monthly subscription cost for new subscribers (and without a doubt existing subscribers at some point in the future).  Of course, the ISPs (cable or telco) already have tiered plans based on download speeds.  Presumably pricing reflects current costs and will be adjusted as needed. This was certainly the practice of my former cable provider.

The new proposed ruling from the FCC introduces paid prioritization. This means that content owners can pay the ISP and incremental fee (which is what Netflix has negotiated with Comcast and others) to guarantee access to necessary bandwidth. So, the ISPs get paid, AGAIN, for use of their "pipes".  Let's summarize what this means:the ISPs would generate income from consumer subscriptions AND from content providers.  Consumers would pay subscriptions to the ISP and to OTT content providers (aka Netfllix).  Who wins? The ISP.  Will my service any better?  Impossible to say.

This is a hot potato topic. There are strong opinions on all sides. I don't claim to be an expert.  Check out the for a good summary of different perspectives. For me, this feels like the ISPs will be able to discriminate in favor of their own content. In the case of Comcast this is a very real concern given their ownership of NBCUniversal. For me, the open internet is a basic right, symbolic of the democracy that we live in.

What's your perspective?

Cloudy Days Becoming the Norm in Media

Peggy Dau - Monday, April 28, 2014

When I arrived in Vegas two and half weeks ago, to attend NAB 2014, I anticipated a greater focus on cloud. I was not disappointed. The cloud was a dominant part of the conversation, with companies at all points along the media value chain providing cloud enabled solutions. Transcoding and storage have long been the poster children for cloud services.  Why? Because, transcoding is an infrastructure heavy process, challenging ROI goals due to the high cost in building the required server farms and the inconsistent use of the servers.  

As for storage, the cloud addresses a variety of concerns. The adoption of cloud storage, across all industries, was initially focused around disaster recovery. Companies opted for cost effective solutions to store and protect key assets. However, other valid uses quickly became apparent. Centralized access to media assets for either professional or consumer purposes addresses concerns for ease of access, effective collaboration and workflow efficiency. While concerns for content security have diminished, they have not complete disappeared. 

The business drivers remain consistent: increased collaboration, quicker time to market, enabling new business models, cost flexibility and  infrastructure scalability. At NAB, companies across the media industry announced and promoted their solutions in and for the cloud. From the Level 3 Communications bus, parked outside the South Hall, decorated in clouds, to the Avid Everywhere announcement. The cloud was front and center. 

     - Grass Valley introduced its cloud-based GV Stratus Playout solution, which positions playout cards at the edge of any network to provide fame accurate playback, displays still and animated logos and high quality pre-rendered graphics.  

    - Forbidden Technologies, a leader is cloud based workflow,  announced its rebranding to better reflect is primary solution, Forscene, which is a cloud-based video post-production platform.  

     - RGB Networks presented its CloudXStream capabilities, a cloud enabled platform to manage ad insertion for multiscreen and nDVR solutions

     - Vizrt now provides a cloud based media repository, on-demand media processing, management and storage services in the cloud leveraging their VIzOne Media Asset Management Services in combination with Aspera's FASP high speed transfer.

     - Chyron's Axis World Graphics allow broadcasters to create graphics such as high resolution maps, 3D charts or financial quotes for broadcast, online and second screens (aka mobile) - all in the cloud.

     - Imagine Communications (formerly Harris Broadcast) offers SelinioNext adaptive bit rate transcoding leveraging its IP based framework, MediaCentral, for migrating and optimizing media and playout functionality in virtualized cloud environments.

These are just a sampling of the announcements that exemplify the industry focus on cloud. All of this attention to cloud is good news for IT companies. The evolution of digital workflows and IP networks have set the stage for this transition. Companies like Microsoft and its Microsoft Azure Media Services partners with Forscene, Imagine Communicaitons, Wowza Media, Digital Rapids and NBC to enable live and on-demand cloud-based media workflows. IBM SoftLayer, a global cloud infrastructure, sits behind solutions from Vizrt and Imagine Communications. While Amazon Web Services is the enabler for Telestream, Harmonic, Wowza, Adobe Creative Cloud and others.

Sometimes a cloud day is good news. It looks like clouds are here to stay in the media industry.

What's your perspective?


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