Marketing 3D for the Home Market Part 1

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The 3D home market appears to be stuck in the early adopter stage and is going to take the most work of any of 3D market segments to gain acceptance. The success of 3D depends on the public, content providers, the display providers, the transport media for the content, and improvement of the public’s perception as more than just another fad. All must come together precisely for the acceptance of 3D as the de facto standard in home viewing.

This paper covers the current state of the market, a definition of the right marketing techniques, positioning 3D in the right light, overcoming public perceptions, and overcoming negative press. Each 3D product area has different challenges and opportunities for success. This paper discusses the development of a marketing strategy for a successful acceptance of 3D in the home market. The most success can be gained if a group of professionals representing hardware, broadcast, other media transport, and content providers come together under a single group to fine tune and implement an overall marketing campaign.

 

Home Market Defined

The 3D home market is stuck in a vicious cycle. People are not buying 3D televisions (or at least not buying for the 3D capabilities) because they either don’t know about the technology or they have little to no access to 3D content.  They do not have access to 3D content because broadcasters and other transport media are not willing to put the money into such a small market. This brings us back to the end users.

Stubbornly pushing 3D into the market will prove to be extremely difficult if not impossible. The best method develops an interest in 3D that would result in a market pull as opposed to a market push.  Our job is to convince the public to accept 3D as a new technology that provides a better user experience than the older 2D or flat technology.  The market pull technique will provide the proof necessary to convince broadcasters and other media transport suppliers that there is a market available and money to be made. This will avoid the halfhearted attempts of the past which failed miserably. Additionally, the market pull technique will also provide the incentive for manufacturers and developers to invest in the right hardware and content to maintain the target market interest.

3D Displays Available
When it comes to choosing a 3D television set, the public has many choices from glasses (passive or active) to autostereoscopic sets. Today most 3D capable televisions require glasses. Autostereoscopic (better known as glasses-free) televisions provide an alternative for those who are adverse to wearing glasses while watching their favorite shows.

While many of the autostereoscopic displays of the past have lacked clarity and brightness, the introduction of 4k televisions and eye tracking technology provides a viable glasses-free solution for the home. Both Vizio and Sharp have announced autostereoscopic versions for Q4 2014. Additionally, Sharp showcased their 85 inch 8k autostereoscopic TV and Sony has also announced an 8K autostereoscopic television.

In the end, glasses or no glasses will always have a different set of advantages and disadvantages and will not be a barrier to public acceptance of 3D in the home market. The end user can choose the right technology that fits their desired viewing experience.

For the home viewing of television shows, sports, and movies, the main driver for content will continue to be the availability and functionality of television sets. However, for convenience, more and more viewers will also depend on other means of watching their favorite events such as tablets and smart phones.

The figure on the right shows the expected growth in 3D television sales in comparison to the actual 3D television sales. Starting in 2011, 3D television sales started to slide. However, on a positive note, higher end 4k televisions contain 3D capability. According to a 2011 TVBEurope article, almost half of all UK households will have 3D capable television within 3 years. A more recent article in IPTV News dated September 2013, states that by 2017 3D TVs will reach 58% of all TVs sold around the world. In 2012 18% of televisions sold were 3D capable. In Europe, the number of 3D capable televisions was far higher with the US trailing behind.

On a negative note, 3D is not the main selling point for these televisions. The TVBEurope article says that the surge in 3D capable televisions is attributed to the “unwitting customer.” The key here is to market the 3D feature, educate the consumer as to the 3D experience in the home, and make 3D one of the key sellable features by increasing demand for 3D. This is not a mistake for the television manufacturers to future proof their high end televisions with 3D capability. However, it would be a mistake for 3D content providers to not take advantage of this teachable moment and to not take advantage of a ready-made installed base to drive the right types of quality content for an increased home market demand.

On the plus side, a 2012 study from Parks Associates showed that approximately 70% of 3D TV owners were either satisfied or very satisfied with the 3D capabilities of their televisions. Although this is a small study, this study can be used to plan future and larger studies as to the interests of the current 3D television buying public.

Lack of Content Access a Problem
According to Digital Trends November 2011 article, the 3D home market lacks content. According to an article in 3Dvision-blog dated February 27, 2010, there were a variety of television channels expected including Sky Channel 3D in the UK, DirectTV, ESPN 3D, Canal+ 3D in France, 3D Pictures in France, and Discovery 3D. I also saw announcements for 3D channels for BBC. In 2013 with ESPN and BBC dropping their 3D channels, consumers have fewer choices in 3D television.

According to an Associated Press article in USA Today dated September 2012, Byran Burns of ESPN stated “that we were ahead of the curve further than we thought we were.” As reported by Al Caudullo of 3DGuy.tv after returning from China 3D Expo 2013, China has already committed…

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