Gaming, Metaverse Key Pathways to Younger Demographics, Media Event Told
Leaning into gaming is key for media companies to reach Generation Z users, said Shobana Radhakrishnan, Google TV senior director-engineering, reviewing streaming media industry trends on a virtual Streaming Media Connect keynote Monday. Some 68% of Gen Z consumers consider themselves gamers, 61% of millennials; that compares with 34% of Gen Xers and 8% of baby boomers, said a slide. Playing games with others and groups is becoming a “natural habit” for the two generations, she said, highlighting Netflix’ nascent move into gaming [see (Ref:2201210003)].
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All four generations are becoming more comfortable doing activities online, said Radhakrishnan, accelerated by stay-at-home trends during the COVID-19 pandemic. Social gaming became more popular, allowing “geographically distributed” people to “hang out together” without having to worry about traveling or being in the same place, or even the same region, she said.
Music labels are adapting to changing needs of consumers, investing in new experiences and the metaverse, Radhakrishnan said. She cited Warner Music’s stake in concert platform Wave, Universal Music’s partnership with Genies to make digital avatars and wearables, and Roblox and Sony Music’s work to bring Sony’s artists into the metaverse.
Radhakrishnan cited new devices gaining traction among consumers in AR, VR, fitness and sports equipment, and virtual try-on technologies and said, “How will they disrupt the industry, and how can we capitalize on it?”
Devices have to make optimum use of available bandwidth and processing, she said, adding: "How do we make sure that the content, with all of these kinds of interactions, doesn’t overwhelm the user?” With “millions of pieces of content across thousands and thousands of content providers” -- and hundreds of different types of content -- finding and interacting with content has to be simple for consumers, she said. It’s important for developers and hardware engineers to “keep it simple” and get the user experience closer to what consumers want, she said.
In a global industry, one strategy doesn’t fit all markets worldwide, Radhakrishnan said. Gaming controllers are used more in mature markets, including the U.S. and Western Europe, for instance, and not in emerging markets due to cost. Content that’s culturally relevant varies, too, and has to be considered to be inclusive: “How do we bring diverse content to the forefront and not assume that one strategy fits all?" she asked.
Online communities are becoming more important, comfortable and natural spaces for users' daily interactions, especially for the younger generations who are spending a “ton” of time in online communities for gaming, shopping and online learning, Radhakrishnan said. To capitalize on these trends, many media companies have started looking beyond their core verticals. That will "only get more complex and will merge over time,” she said. The metaverse is “coming rapidly,” she said, presenting a unique challenge for TV makers: "Can and how will the TV as itself play a role there?”