Vietnam is rising to the challenges presented by a fast-moving video ecosystemSeptember 17, 2018 5:28 pm
The industry recognises that it needs to focus on ways to better manage market potential through business models and content strategies.
Hong Kong, 17 September 2018 – The latest in the “In View” series of country-specific events by the Asia Video Industry Association (AVIA) – “Vietnam in View” – was held in Ho Chi Minh City on Wednesday, 5 September. The “In View” events are designed to bring together key in-country government officials, business heads (both international and local), and experts, to discuss crucial issues relevant to the industry.
The theme of how best to unlock this market’s potential was discussed throughout the day, initially by Vu Tu Thanh, Vietnam Consultant for AVIA and Deputy Regional Managing Director & Vietnam Senior Representative, US-ASEAN Business Council, in his market overview, who said that “The Vietnam market has high growth and a rising demand for premium content coupled with low ARPU. With a pay TV penetration rate of just under 50%, there are still untapped households, especially in non-urban areas”.
Speaking on the vision for the next three years, Alexandre Muller, Managing Director, APAC for TV5MONDE noted that there is “still a lot of growth here to shift to digital and this is the way forward for the cable industry. OTT should not be seen as standalone business model”. Ngo Thi Bich Hanh, Senior Vice President of BHD agreed, saying that “the need to understand users’ consumption behaviour through data and analytic tools and new technologies is important in order to provide and deliver the right content for their consumers”.
The pay video industry in Vietnam has undergone rapid development and panellist Do Viet Hung, OTT Senior Expert of VTVcab agreed that partnerships are key to help grow the pay TV business in Vietnam. Nguyen Quoc Huy, Director of HTV-TMS pointed out the importance of knowing your consumer’s needs so as to produce the right sell price strategy for the different content packages. Myleeta Aga, SVP and GM South & South East Asia for BBC Studios, also remarked that “There are great monetisation opportunities for content providers in the Vietnam market if they understand the different types of content and format that consumers in the rural and urban areas demand”.
Tran Thu Trang, Digital Service Director of FPT Play, highlighted that OTT services in Vietnam are proliferating with the growth of the internet, smartphones and smart TVs. Esther Nguyen, Founder & CEO of POPS Worldwide, noted that short form – or bite-sized – content is very popular now in Vietnam and she is seeing branded content playing a key role in the coming years. Subscription revenue for OTT services was very low today but there was confidence that this would grow.
The other prominent discussion of the day centred around piracy and how it is limiting investment and economic growth in Vietnam’s creative industry. Nguyen Thanh Lam, Director General, Authority of Broadcasting and Electronic Information deemed it the most important issue industry and government needs to deal with and was determined to work with the industry to clamp down on egregious piracy website operators.
In conjunction with the Vietnam in View event, a report on the state of the industry was released. The findings of the report show that growth in Vietnam’s pay TV industry has levelled off, as the industry is buffeted by commercial and technological change. The Executive Summary is available for download on the AVIA website.
In conclusion, AVIA CEO, Louis Boswell said “Our 2018 “Vietnam in View” event was an excellent forum for the regional and local industry to meet and discuss the issues at hand. Piracy is the single largest issue holding the industry back but if the industry really came together to tackle the problem then significant progress could be made”.
Vietnam in View was supported by Presenting Sponsor TV5MONDE, alongside sponsorship from HansenCX, SES, Viaccess-Orca and Vindicia. The event was produced in association with local partner HTV-TMS.
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About the Asia Video Industry Association
The Asia Video Industry Association (AVIA) is the trade association for the video industry and ecosystem in Asia Pacific. It serves to make the video industry stronger and healthier through promoting the common interests of its members. AVIA is the interlocutor for the industry with governments across the region, leads the fight against video piracy and provides insight into the video industry through reports and conferences aimed to support a vibrant video industry. AVIA evolved from Casbaa in 2018.
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This post was written by AVIA Marketing