CES 2014 – Duh, it’s the Internet!
Ahead of the CES debrief next week, Newsline hears from Videology’s head of global TV strategies, Rhys McLachlan, as he shares his thoughts on the biggest themes from this year’s gadget-fest. Prepare to pay homage at the feet of the TV gods…
And so to Las Vegas for the annual nerd-a-thon that is the Consumer Electronics Show. For those harbouring any doubt that ‘geeks shall inherit the earth’, CES is a stark reminder that we now operate in a world where the rules of communication, entertainment, and domesticity – and practically every corner of our personal and professional lives – are now written and implemented by the engineers, coders, and mathematicians of this world.
Stepping out onto the 29-football-pitches’ worth of exhibition space, you are instantly dumbstruck by the sheer investment that continues to flow into the world of consumer electronics. There is no economic crisis here.
The show is characterised by both what is officially said (or not said, in the case of Michael Bay) and the buzz of conversation on the exhibition floor – the latter of which is a far better indicator of consumer behaviour (and of marketing and communication imperatives) than the finely-scripted keynotes delivered by various Grands Fromages on ‘what they are going to do in 2014’.
Setting aside my preoccupation with ad-tech, the lens through which I view CES, I’ll confess I was stunned by the 3D printing capabilities on display this year. In a very short space of time this technology has been turbo-charged, with a number of companies displaying products that printed everything from working clocks, to medical-standard bone replacements, and even confectionery.
What’s more, the models on display had a recommended retail price-point of $500, down from circa $25,000 some three years ago. At this competitive price point, these devices will be in your home in a matter of years, if they’re not already at the top of your Christmas list for 2014.
But back to ad-tech! Four very clear themes emerged at CES 2014:
Internetification has been completed
CES 2014 was the internet of things made real. It highlighted that we’ll inhabit a world of Internet Saturation, facilitated by Universal Connectivity.
The challenge for CES attendees is to create a list of the most seemingly unlikely, daft examples of embedding internet connectivity into a product, then to play ‘CES Bingo’, ticking-off the items you’ll inevitably find during your travels around the exhibition.
It seems every manufacturer, in every category, has found a rationale to embed internet technology in their products. From the prevalence of wearable technology, through to the complete connectivity of every single kitchen device, the internet is everywhere – helping us to organise our lives, from exercise and basic domestic routines (even brushing our teeth), to our commute modes.
TV is king
If the internet ‘won’ CES, then the TV set has been anointed the ‘king’. For all the talk of ‘second-screening’, it’s as clear-cut as a sharp smack around the chops that TV remains the pre-eminent entertainment device.
The TV sets on display at CES are staggering in both their resolution and utility. This is TV like you’ve never seen it – an experience that elevates the humble device to the pinnacle of entertainment.
What are now gimmicks – the likes of Ultra-HD and curved screens – will move into the mainstream, much as Smart TVs, first showcased in 2009, were the highest-selling TV sets, by volume, in the UK in H2 2013.
What’s more, these TV sets have an entirely new set of operational standards. These are not rudimentary models tethered to antiquated set-top-boxes but highly developed, dynamic TV sets that indicate that the very means of TV distribution and consumption is changing to a platform-agnostic delivery method, and a viewer-centric consumption model which will continue to disrupt the status quo.
The biggest challenge for CES is attempting to make sense of it all. The sheer scale and volume of products on display can be overwhelming, but you can draw a line between my two themes and some very practical outtakes around which we can start to coalesce.
Greater connectivity means data abundance
Connectivity means digital footprints, and digital footprints means there are patterns, rhythms, and behaviours that can be assessed, analysed, and calibrated. Ultimately it paves the way for targeting and powering a world of addressability.
Smart data analytics will be of paramount importance, as there will be sufficient data for us to effectively track individual (and household) movements between devices, and to directly understand the connectivity and patterns on a direct device-to-device basis (such as how a tablet is interacting with a Smart-TV).
In this world there will also be increased calls for standards around the guardianship of data. The data driven by universal connectivity is not a gift for the ad-tech community; it is a grave responsibility, and one which we should approach with sensitivity and caution.
Pay homage at the feet of the TV gods
But we should be putting in place the means by which we better take advantage of the TV technologies currently in the world’s living rooms. The means of measurement, assessment, and trading should be adjusted to reflect a world where TV consumption has been put through the lens of digital democratisation.
We should better plan for the increasing viewer emancipation from established platforms (cable/satellite etc.) and the convention that TV is a linear-push medium to a single screen.
I’ve been fortunate to attend CES for nearly a decade now – and attendance for media, advertising, and marketing folks is as essential as it ever has been. It’s an opportunity to see first-hand how our world is changing and the direction in which it’s headed.
For those of us who work at the nexus of technology and advertising, CES 2014 is a thrilling insight into the world that awaits us.
Rhys McLachlan is head of global TV strategies, Videology.
MediaTel is hosting a CES debrief at the end of this month. For more information, see our events page.