Intelsat and Caretta Research conducted a survey to better understand the most effective strategies for content distribution and have jointly released a white paper titled Channel Hopping which shows that linear broadcast TV is a crucial point of differentiation for super-aggregators, and a way to reach new audiences in the region.

According to the the findings, expanding economies and a still-growing number of TV households in Central and Eastern Europe creates opportunities for channel owners to expand their reach and tap additional revenues via linear offers. Namely, lower-cost cloud-based broadcast playout is making it easier and cheaper for channel owners to originate more channel brands, and more localized versions of those channels targeting specific markets with advertising.

Also, Pay TV operators and telcos in CEE shift to a super-aggregation model, offering popular linear TV channels is a key differentiator. It helps them compete against standalone streaming competitors and the aggregated offers from Smart TV manufacturers. Caretta Research says that a hybrid approach that harnesses satellite, fiber and Internet models will maximize reach and improve time-to-market for linear channel owners. “They can use each distribution mode flexibly to respond to the needs of each market and every individual satellite DTH, cable and IPTV operator,” the executive summary advises.

“Linear TV channels are still an essential component of the media distribution mix, generating more revenue for most content owners than ad-funded streaming. They are a key pillar of content brands alongside co-branded FAST channels and streaming services,” the study says.

“Satellite maximizes reach across Pay TV platforms, fiber enables robust delivery of localized channel versions, and Internet feeds enable rapid coverage of hard-to-reach operators (…) Telcos and Pay TV operators have varying preferences for which delivery mechanism they prefer to use to receive channel feeds, with trade-offs between upfront cost, signal quality, operational complexity, security, and time-to-market.”

The researchers say the CEE region offers an unparalleled opportunity for channel owners to tap into a rapidly expanding consumer base, pointing to some of the highest average Pay TV penetration in the world. “An impressive 30 million households already enjoy satellite DTH, cable, and IPTV services across the seven key markets in this region,” the authors point out.