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Switch the Channel: A TV Business Model for the Millennial Generation
KTH, School of Computer Science and Communication (CSC).
2013 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

The Millennial Generation, born between 1982 and 2000, are used to the ubiquity

of modern devices and are always ‘on’. Therefore, they use and consume media

differently than preceding generations. Now that they are ageing and becoming

part of the advertising relevant target group, TV executives need to think about

how and especially where to reach this target demographic. Therefore, the aim of

this thesis is to develop a better understanding of how the Millennial Generation

is consuming the traditional medium of television and how a business model

geared towards their needs and demands should look like.

Through conducting an empirical study among over 750 Millennials, the author

identified the TV consumption behaviour of this generation and subsequently

defined three subgroups within the field of participants. According to the research

most of the Millennials still own and use traditional TV sets; however, they watch

an increasing amount of TV content online and especially on demand. Their

preferred payment model is subscription based, even though just a small

percentage of them actually have a subscription. Moreover, they use mostly illegal

streaming websites to watch TV content they want; especially if it is foreign

content that is not available on other platforms yet.

The final result of this thesis is a business model that was built upon the needs

and consumption behaviour of one of the subgroups of Millennials who prefer

subscription services. This subgroup is used to consuming TV content online and

they watch the highest amount of TV series among the Millennials. The business

model addresses these factors and describes a subscription video on demand

service addressing the needs of the Millennials such as an early release of new

episodes. Furthermore, new sources of revenue are introduced that can provide

sufficient funding for content acquisition and production. This business model

could serve as a starting point for TV executives to further think about the specific

needs of this attractive target demographic and how to address them.

Place, publisher, year, edition, pages
2013. , 100 p.
National Category
Media and Communication Technology
URN: urn:nbn:se:kth:diva-170448OAI: diva2:836441
Available from: 2015-06-30 Created: 2015-06-30 Last updated: 2015-06-30Bibliographically approved

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