Analyst Report: Opportunities for the second screen


There is no clear moment when it first happened, but we are now firmly in the age of second screen. With the rise in smartphones and tablet use, consumers have been increasingly multitasking while they watch TV—checking email or social media or looking up information on what they’re watching.

While nearly 40 percent of tablet and smartphone owners use another device while watching TV, the business models for second-screen programming and advertising are still in their infancy. But there are already benefits for key industry stakeholders, including TV operators, content owners, and advertisers.

  • For advertisers, second-screen advertising can help to increase engagement and reach of their brands by bringing consumers more personalized and targeted ads. As consumers watch more on-demand TV, advertisers are finding innovative and engaging ad opportunities by incorporating ads into the second screen, synchronizing content into smartphones or tablets, or creating interactive experiences for consumers.
  • Content owners can take advantage of increased engagement with their TV shows from their core fans. Many TV shows are already heavily incorporating social media and other second-screen activities into their programming by inviting viewers to vote or tweet about what’s happening on the screen. In addition, social media also can help increase tune-in to programming, which can lead to increased ratings as well as increased ad revenue.
  • TV operators worldwide also are embracing second screen but doing so by helping their subscribers to control and discover new programming. Cable, satellite, and IPTV operators have released apps that allow smartphones and tablets to act as remote controls or control and record shows on DVRs, for example.

(Feature image courtesy Flickr user Sean MacEntee)

Table of Contents

  1. Summary
  2. Second-screen usage patterns
    1. Prevalence of second-screen use
    2. Activities using second-screen devices and apps
    3. Second-screen devices being used
  3. The second-screen landscape
    1. Features of second-screen apps
  4. Second-screen marketing and advertising
    1. Sponsorship
    2. Display advertising
    3. Tune-in
    4. Mobile or TV commerce
    5. Video ads
    6. Synchronized content
  5. Outlook and untapped opportunities for second-screen apps
  6. Conclusion and Key Takeaways
  7. About Jose Alvear
  8. About GigaOM Research

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