Mobile TV Needs Strong Broadcaster Backing

With growing consumer demand for video on smartphones and tablets, broadcasters need to take charge in making mobile TV a robust business, even if other players like manufacturers are hedging, industry leaders say.

“Mobile TV is really in the hands of the broadcast industry,” Salil Dalvi, an NBCUniversal Digital Distribution SVP, said during a panel discussion on mobile TV at the National Association of Broadcasters Show. “TV stations have a lot of power to both light up for mobile as well as create awareness and bring people to the table.”

Dalvi said that was proven during the 2013 holiday season when Dyle, a mobile TV product backed by broadcast groups including NBCU, tested its viability in 12 markets across the country. That test run showed that consumers like the idea of mobile TV, with 15% of Dyle mobile TV consumers watching at least two hours of TV a week on their smartphones or tablets, he said.

TV ads were instrumental in building demand for Dyle, he said. “We went from zero awareness to significant awareness,” he said. But mobile TV won’t thrive if broadcasters don’t push it rather than wait for other segments of the industry, such as electronics manufacturers, to take the lead, he said.

Meantime, indicators point to growing consumer interest in mobile TV, said Jamie Spencer, a Magid Associates VP. He said research shows that “smartphones and tablets are becoming full-blown TVs.” About 44% of Smartphone owners and 61% of table owners currently watch video on their devices -- and local broadcasters have opportunity to capitalize on that interest, Spencer said. Nearly 40% of consumers who don’t watch local TV news said they would be more likely to do so if it were available on mobile, he said.