Ariel Napchi, CEO and founder of Hiro Media, recently explained the benefits of OTT content delivery and why so many big programmers have started the process of using services of content known as over-the-top (OTT) delivery. They are now in fierce competition with the traditional television delivery model, as customers weigh up the convenience and cost of each of these modes of delivery.

Established Media Companies Eye OTT Delivery

Nickelodeon, owned by Viacom, revealed its new plan to run an over-the-top service. The company is now the most recent contender in a movement that is distorting traditional media routes. Hiro Media’s Ariel Napchi says that many players in the industry are however developing an effect known as the “rear view mirror effect.”  This process involves essentially rebuilding the work that has been done thus far in the traditional delivery model and hoping it translates to OTT. There is a fear that giving away too much of the control of the system to the end-user could wrench the profits away from the hands of the content provider. This is harmful in that it stops the progress of the industry and is not good for innovation.

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A New Paradigm

The default model of distribution on TV requires people viewing it to choose their stations to see the content that they prefer to see. The internet allows for much better personalization. This is nothing new; it has been used in ads where the viewers are targeted for specific content. Some online providers like YouTube are embracing the change, offering users channels that are personalized to their interests and allowing them to mix and match content as they see fit. This is highly appealing to the end user.

Content Creators Must Innovate

“When something entirely new, like a situation comes to face us, we are likely to adhere ourselves right to the objects,” Marshall McLuhan wrote in his book, “The Medium is the Message.” Many of us view what is going on now through a rearview mirror and try to recreate successes from the past using an old model. It is instead a smarter move to embrace the change and understand that the traditional moves of media delivery are on their last legs. The biggest piece of the pie for content creators and distributors is in adapting and changing to the new market and the consumer that expects to be able to get their media a and when they see fit using OTT content delivery.