Moyo.tv at OTT TV forum

Moyo.tv case studyHow to compete on growing and low-ARPU market

Andrey Kholodny, CEO Moyo.tv

What is Moyo.tv

Roku-like OTT video services aggregator from Russia

Launched in 2015

Covering 70% Russian OTT services

Own Live TV product with Timeshift

STB, iOS, Android

2

Russian OTT market. Brief overview

Russian TV&Video market

Pay TV dominates the market with 92% market share and 5 key operators

The Worlds lowest 2,2 Pay TV ARPU

80% of total video consumption is piracy*

4Source: Telecom Daily, www.tdaily.ruPay TV - 930M

OTT - 86M

*E&Y data

http://www.tdaily.ru/news/top-novosti/39666

Russian OTT market

Russian OTT market to reach 100M in 2016 compared to EU 6,4B in 2015

Paid services reaching 37% of total market volume (compared to 25% in 2012)

Market volume

0

25000000

50000000

75000000

100000000

2012 2013 2014 2015 2016 (F)

Advertisement Paid content5Source: Telecom Daily, www.tdaily.ru

http://www.tdaily.ru/news/top-novosti/39666

Russian OTT market players

Fragmented market, no dominant player

No Netflix visible, iTunes is just 7%, Google Play - no data available

Main TV channels rich with content are aggressively entering OTT space

No exclusive content except TV channels

6Source: Telecom Daily, www.tdaily.ru

YouTube ivi Rostelecom TvigleRutube iTunes Megogo CTC MediaOkko Tvzavr Channel 1 Other

http://www.tdaily.ru/news/top-novosti/39666

Russian video consumers

80% of video consumption is streaming pirate sites replaced torrent-based piracy

Free (AVoD) still occupies 63% of the market

Screen split: Desktop: 61% (-1% YoY) Smartphone: 50% (+18% YoY) Tablet: 24% (-2% YoY) Smart TV: 11% (+6% YoY)

Heavy economy recession brought back real income by 10% in 2 years

7

TNS WEB-Index. Russia 100k+, Monthly reach, % of population

Designing Moyo.tv service

Key market challenges

Customer still loves TV Largest national channels are major content generators. Even for Internet. However, Linear TV at big TV screen is loosing its viewer towards Internet

OTT services: dozen similar products with almost no exclusive content Rich with most wanted content: new movies and series releases More convenient since it is available everywhere on every customers screen Enrich Linear TV service with catchup content

Customer is flooded with content: thousands hours of new content available for the client

Low price levels for TV & VoD content

9

Moyo.tv beloved customer 1 click payment tool1 click watch content interface

Easy to use backendRecommendation engine

TV service with catch up

Major OTT services

UGC services

Free trial period

Analytics for the content and service providers

Crafting Moyo.tv MVP

10

1

Moyo.tv beloved customer 1 click payment tool1 click watch content interface

Easy to use backendRecommendation engine

TV service with catch up

Major OTT services

UGC services

Free trial period

Analytics for the content and service providers

Crafting Moyo.tv MVP

11

2

Moyo.tv beloved customer 1 click payment tool1 click watch content interface

Easy to use backendRecommendation engine

TV service with catch up

Major OTT services

UGC services

Free trial period

Analytics for the content and service providers

Crafting Moyo.tv MVP

12

3

Moyo.tv beloved customer 1 click payment tool1 click watch content interface

Easy to use backendRecommendation engine

TV service with catch up

Major OTT services

UGC services

Free trial period

Analytics for the content and service providers

Crafting Moyo.tv MVP

13

4

This is what weve done

14

Moyo.tv smart media player

TV vendor agnostic

Faster service development compared to fragmented Smart TV ecosystem

15

Instagram-style main screen

All type of content is mixed. Live, catchup, VoD. News, sports, movies, etc.

Only recommended content

One click to watch content

Personal recommendations:

Profiles for every family member

Single search through all services available on Moyo.tv platform

Recommendation engine

Personal recommendations

Collaborative analysis

Editorial selection

+ Moyo.tv content description, preparation and management team

20

What did work and what we missed

21

First year results

Small churn - 95% of STBs are active monthly

TV is most used service - 83% of the customers are watching TV channels. 98% is non-linear consumption

TV ARPU is 60% higher than in Pay TV market

30% of the customers perform at least 1 paid transaction per month (despite of free TV package, AVoD content and UGC services like YouTube or VKontakte)

Average NPS score

22

Lessons learnt

23

Product feature Measured perfomance Things to do

Recommendation engine

75% of the customers accepted recommended content at the main screen

Continue development

Instagram style main screen

66% of the experienced customers still skip main page and go directly to EPG at TV service menu

Introduce TV service icon on the main screen. Change main screen

1 click content access is not convenient for the customer 67% of the customers according for the field tests

Change screen element behaviour to lead to content description, not to playback

Separate profile for every family member

5% of customer generated more that 1 profile for Moyo.tv player

Make this feature optional

Single search through all services

83% of the customers are regular users of search feature

Enhance usability

New Moyo.tv UI introduced on October 31, 2016

24

Latest releases banner

Latest releases banner

Generic main menu

Latest releases banner

Generic main menu

TV icon is #1

Latest releases banner

Generic main menu

Recommendation engine

TV icon is #1

Latest releases banner

Generic main menu

Recommendation engine

Most used services

TV icon is #1

First week results

NPS growth +20% in 3 days

First week data shown 11% better results on transactions

Growth of Moyo.tv smart media player sales +3% week-by-week

26

Andrey Kholodnyyboss@moyo.tv

Thank you