New Delhi: IT services and consulting company Accenture on Tuesday announced the launch of its new “Media Thrive Index,” aimed at assessing the ability of media and entertainment companies’ ability to succeed in and industry that is getting increasingly challenging.
“While the media industry is growing, the industry players are not. This essentially means that the value is shifting elsewhere. It is amply clear that incremental actions taken with a survivalist mentality will not help media companies thrive in the future. For media companies, the need of the hour is to place big bets, go where consumers want to be while exploring new avenues of growth, redefining new roles in the entertainment value chain, and tapping new sources of revenue,” said Neeraj Sharma, MD and Lead for Accenture’s Media industry in Growth Markets, in a press statement issued by the company.
The index looks at 50 different options that media organisations can use for reinvention, and the company identified these from its own analysis of initiatives launched by companies. Accenture’s assessment found that most options only made for modest adjustments that did not significantly alter a company’s economics. Accenture claims that radical moves are the only way for legacy media companies to reach sound financial footing and to thrive and sustain success.
The index was made in response to Accenture’s third annual “Reinvent for Growth” global entertainment study that surveyed 6,000 users across 10 countries, including India, about their media consumption habits. It identified the following as key challenges faced by media organisations.
More than 35 per cent of consumers in India said they struggled to navigate between different entertainment services, apps and devices while 72 per cent said that recommended content does not match their interests. Another issue is that of serial churning with nearly 65 per cent of Indian customers cancelling and resubscribing to services based on what content they want to watch at the time. 63 per cent of Indian consumers said they cancelled more subscriptions in 2023 than in the previous year.
On top of that, two-thirds of consumers in India said they consider user-generated content to be as entertaining as traditional forms of media. Social media and social video platforms were consistently picked over streaming video services as the media of choice in multiple contexts.
Accenture also found some opportunities for media organisations to expand beyond what they usually offer. 89 per cent of the surveyed customers said they would prefer using a single app to access all digital services in both media and non-media categories. The company also predicts lifestyle bundles to reach $3.5 trillion in consumer spending by 2030 and says that technology brands are better positioned to take advantage of this over traditional media brands to create these bundles.
Agencies

Agencies