Today you can watch television on your mobile, through your PlayStation or on your iPad. TV comes on your PC, on–demand or beamed in from all four corners of the globe. The traditional model of television has been shattered and choice, choice and more choice is what audiences now crave. Never before have TV broadcasters been under so much pressure to deliver good content across many different platforms to technologically empowered viewers. But, while the pressure is on, the changing media landscape means that content owners in Asia Pacific also have a tremendous opportunity to forge into new worlds and make their connection with the audience even stronger. The advent of new technologies means that viewers now have more selection than ever before, and they are demanding quality. According to Ganesh Rajaram, senior vice president of international distribution and home entertainment in Asia for Fremantlemedia Enterprises, in the past few years Asian TV audiences have been exposed to the best international programming which has influenced their tastes. “Over time it has affected their viewing habits,” Rajaram says. “The Asian viewer is very, very savvy these days.” Loving Local Localism is a rising tide across the region, as broadcasters seek to put their own footprint and national spin on international formats. Rajaram points to the success of MasterChef in Australia, which is the Australian version of an overseas cooking show. “A lot of Asian broadcasters are becoming more parochial in their primetime,” he says. “Like in Indonesia. A lot of formats work there which are localized.” Network Ten’s Masterchef has been the highest rating TV show in Australia for the past two years, a juggernaut that has revitalized the local TV sector and spawned numerous spin–off programs. Mike Rich, Asia Pacific CEO of GroupM agency Entertainment Sports & Partnership (ESP), believes home–grown dramas continue to be a hit, while musical shows may be the next big thing in Asia. “Since the overwhelming success of Glee we anticipate that the ‘musical’ theme will see a rise in popularity,” Rich says. “We have launched Don’t Stop Believing in the UK and Australia now, and are working with a partner to bring back the 1980’s hit series Fame.” Markets like Singapore are also experiencing healthy returns with local programming. MediaCorp’s The Little Nyonya was a hit with Singaporeans but has also found a niche overseas with distribution to China, Malaysia, Vietnam, Indonesia, Thailand, Cambodia and Myanmar. Channel 8 is focused on creating local programs that appeal to mass audiences. “We are also on the lookout for successful gameshow formats similar to Who Wants To Be A Millionaire and Don’t Forget The Lyrics which we can produce locally,” Jomay Wan, vice president of programming at Channel 8, says. “We also proactively build online extension to our TV shows to extend its reach, interactivity and engagement level.” Food, feel–good and education–related programming continue to strike a cord with Singaporeans. “Some examples of edutainment include Food Source which traced the origin of food ingredients and 3 Plus 1 which educated viewers on home–cooked meals through a competition,” Wan says. “A very successful emotainment series was Life Transformers which follows a group of celebrity and non–celebrity volunteers to help transform the life of under– privileged families.” Reality TV is a format that still holds a strong sway over Asian audiences. Ho Soo Fung, vice president of programming and operations, for both Channel 8 and U, says social reality programmes such as local travelogue Stars For a Cause have done well. “Perfect Cut, an edgy drama series with plastic surgery as a backdrop was a breakthrough for local TV,” Ho says. “Another breakthrough was Illusionist, which was the first Asian drama to use illusion as the series’ theme/backdrop.” You only need to look at the ratings success of shows such as The Amazing Race Asia or the Idol format to see the strong connection they have with viewers. Another is Islamic reality TV show Young Leader, which was a surprise hit in Malaysia this year. “Reality TV has taken Asia by storm,” Fremantle’s Rajaram says, whose company is bringing The X Factor to the region. “Shows like that are big, solid formats.” ESP’s Mike Rich agrees. “The future of reality TV seems secure and lucrative; it grabs consistently high ratings and seems able to perpetually re–invent itself in evolving forms,” he says. “It remains popular in Asia and we believe will remain so.” However Peter Read, senior vice president in Asia for Global Intelligence Alliance (GIA), believes the high point for reality programming may have come. “It is still there, and certain shows, particularly those that have been extended into local versions such as The Biggest Loser Asia, are popular,” Read says. “But overall the age of reality TV may have passed its zenith.” The Digital Direction According to CSM Media Research, the top rating programs in Hong Kong in the first half of 2010 have been the likes of TVB Jade dramas The Mysteries of Love and A Fistful of Stances and as well as ATV Home’s 6pm News. Similar trends are occurring in China, where the most popular programs are dramas followed by news programs. Vincent Lam, managing director of CSM, says overall TV viewing in the territory was virtually the same this year as the corresponding period in 2009, although viewers had more choice. “Operators are making use of online TV to attract more viewers for promotion purposes, for example, programmes on TVB. com,” Lam says. “Besides, with the popularity of smartphones, we are aware that the mobile TV is becoming another popular media in the market. More free–to–air TV licenses will be granted next year in the territory, [which] will definitely provide more choices for the viewers or even draw viewers from other mediums back to TV. With the promotion from the government as well as the cost for DTT decoders, both set–top–boxes and iDTV, going down rapidly, digital TV is more popular amongst households.” The widespread move from analog to digital television is reaping dividends across the region. The uptake in Asia Pacific differs from country to country, with markets like Korea, Japan and Australia making rapid digital advancements. In Australia all five free–to–air networks have launched extra digital channels, with networks Seven and Ten soon to debut their third digital offerings called 7mate and Eleven. Each are pitched at a specific audience, with 7mate aimed at men and Eleven targeted at young people. Simon Twiston Davies, CEO of the Cable & Satellite Broadcasting Association of Asia (CASBAA), believes the swing to digital is not only creating more channels for viewers but it is also “paving the way for HD”. “We’re going to see HD as the new standard,” Davies says. 3D television is another brave new world the industry is heading towards. Davies believes it’s starting to gain traction and viewers will want to watch sport and movies in 3D, as well as some other programming, but will not sit and watch hours and hours of 3D television. “3D TV is beginning to get audiences excited,” he says. “Content owners are beginning to invest in 3D. [But] it will take a while, three to four years until it becomes pervasive.” Recession Reaction With Asia Pacific faring better during the global financial crisis than any other region, you may think its impact on the TV industry would have disappeared by now. But in the eyes of Fremantle’s Rajaram, the recession has meant TV channels are now more risk– adverse and sticking with what they know, like successful programs such as American Idol that are a hit with both audiences and advertisers. “Broadcasters are continuing with the brands that work for them,” he says. “There’s more programming by committee. People are more careful with their budgets.” But a counter to this has been the rise and rise of pay television. A growing force across Asia, Rajaram believes pay TV is “a bit of a boon” as new genre–focused channels are launched which are in desperate need of new content. This means more opportunities for content creators and more choice for viewers. CASBAA’s Davies confirms that the pay TV industry is experiencing increased growth, for example it now reaches 100 million people in India. “We’ve gotten almost one billion viewers in Asia Pacific,” he says. “We’re estimated 5–10 percent growth in next the five years in the region.” However, pay TV faces its own set of unique challenges. Piracy is one main issue it must overcome, while pricing in some markets is another. Sunil Yadav, regional investment managing director at Aegis, points out as an example that the current pay TV penetration for Indonesia currently sits at about one to two percent of the population. “Most of the Asian countries have a very young population and are early adaptors of technology”, Yadav says. “So, once the pricing of pay TV becomes more affordable for the masses, it will grow rapidly.” Like pay television, digital video recorders (DVR), also know as personal video recorders (PVR), are on the march across Asia. These game–changing devices allow viewers to pause and record live TV so they can watch programs at their convenience. Catch–up and time–shifting TV technology is a powerful new force. Yadav says the penetration rate of DVRs is growing but overall penetration in Asia is low. “With more countries moving towards digital broadcasting and DTH, this will increase in the next two–three years,” he says. The likes of Australia with Fetch TV, Foxtel iQ and TiVo, and countries such as Korea and Japan are leading the way when it comes to DVR acceptance, according to CASBAA’s Davies. But some developed markets like Hong Kong have remained resistant. “We’re not sure why,” Davies says. Overall DVR growth is not where the pay TV industry wants it to be, according to Davies, but the devices are “becoming the norm”. “We hope to see it growing in the Philippines, Indonesia and Thailand.” What Audiences Really Want So what do viewers really want? And how can broadcasters meet their varying needs? Apart from variety of choice and platform–neutrality, audiences want high–quality programming. Broadcasters must adapt to this reality and their business models must change. Davies believes the TV industry is evolving and while the outcome is uncertain, the appetite for television has actually grown. “If you are a content owner you want to be on every platform,” he says. “We are seeing an evolution at the moment, business models are morphing into different shapes. We don’t know what will happen. [But] the consumer is actually watching more TV than ever before. It’s a very good sign.” GIA’s Read feels that audiences in Asia Pacific are still demanding movies, while lifestyle and ‘edutainment’ content is becoming more popular. “Asian pay TV operators say a mix of informative programming such as that from Discovery is generating wide appeal among audiences,” he says. The fragmentation of audiences means that attracting mass viewership is harder than ever before, but not necessarily impossible. Sport is one genre that continues to pull large numbers, like the FIFA World Cup, English Premier League and the Olympic Games, as well as other international events and must–have content. “Sport is the ultimate ‘prepackaged’ content, managing to consistently deliver mass audiences across multiple territories and media/ distribution devices,” ESP’s Rich says. “This continues to be reflected both in terms of audience numbers and revenue generated by sales of rights.” Asian Audiences want the best international shows, but they also want strong local programming. GIA’s Read says broadcasters in the region are looking for anchor shows which “drive up audience numbers and revenues, and at the same time appeals to Asian audiences”. “For example the cultural gap between Desperate Housewives and the majority of viewers in China has been said to be too wide for it to catch on, whereas American Idol appeals more broadly,” he says. “Secondly localized, or at least Asian, content or content that has been dubbed or subtitled for the local audience. Thirdly, [they want] increasingly niche content that appeals to emerging target segments such as women or youth.” With the growth of broadband looming large in many Asian countries, the advancement of mobile TV and IPTV will continue. But for now they remain small players in the television sector. Many industry experts feel that technology like mobile TV and online TV are merely complimentary services that traditional broadcasters should embrace, just as audiences are embracing them. The television might sector might be under stress but that doesn’t mean it isn’t in a good state. “I see television as being very, very healthy in Asia,” Fremantle’s Rajaram says. CASBAA’s Davies feels the key is giving audiences accessibility and quality at the same time. “The consumer is becoming more disconcerting and more demanding,” Davies says. “The consumer doesn’t really care where it comes from, he just wants engagement. It’s TV anywhere anytime.”