On this week's episode of the MadTech Podcast, Emily Hart, digital director at AKA UK, joins ExchangeWire's Lindsay Rowntree and Ciarán O'Kane to discuss Ofcom mulling longer TV ad breaks, Amazon's investment in influencers to breach livestream shopping, and McKinsey valuing the metaverse economy at USD $5tn by 2030.

Ofcom consider extending TV ad breaks

What would extended advertising breaks on linear TV mean for broadcasters in the UK? 

Regulator Ofcom have said they are considering allowing advertising breaks to take place more frequently and for longer on UK television.

The watchdog, who are undertaking a review of broadcasting rules in the UK, said they were contemplating altering advertising regulation due to developments in the market, including the surge in online streaming services, such as Netflix, Amazon Prime, and Disney+.

In a report concerning the relicensing of ITV and Channel 5, Ofcom stated that audiences’ ability to access entertainment from various services was “generally positive” for audiences but “put pressure on broadcasters, squeezing revenues, and made it harder for them to maintain their current offer”.

Amazon turn influencers to make their mark in livestream shopping 

Will this move from Amazon change the industry’s view on influencer marketing and, if so, how?

Ecommerce behemoth Amazon have renewed efforts to break into the QVC-style livestream shopping market by turning to social media influencers.

The USD$1tn (£838bn) company have been gradually increasing their funding of Amazon Live, which was launched back in 2019. Amazon now hope the platform will establish them as a power player in the growing livestream shopping market.

To attract influencers to the platform, the Seattle headquartered-company have rolled out a number of incentives, including a luxurious retreat to a Mexican beach resort and thousand-dollar bonuses for influential creators to livestream on Amazon instead of competitor platforms, such as Instagram and TikTok.

The metaverse economy expected to reach $5tn by 2030

How will the apparent surge in the metaverse affect digital strategy within the industry?

Global management consultancy McKinsey & Co. hasve released a report that predicts the that metaverse will become a USD$5tn (£4.1tn) economy by 2030.

The report, titled “Value Creation in the Metaverse”, is based on 3,400 consumers’ and executives’ thoughts about the metaverse and its adoption. The report also includes respondents’ thoughts on the metaverse’s potential, and how it could go on to reshape business practices and consumer behaviour.

McKinsey’s report predicts that the biggest economic contributor to the Metaverse’s burgeoning economy will be ecommerce, which is estimated to amass between USD$2tn and USD$2.6tn (£1.6tn - £2.1tn). “Virtual learning”, advertising, and gaming are also anticipated to significantly bolster the metaverse by an estimated total of USD$428bn to USD$601bn (£355bn to £499bn).