Innovation is currently THE buzz word across the broadband, media and IT industry. The need for service differentiation, new revenue opportunities and the importance of strengthening the customer relationship are driven by, and are driving a push to greater innovation in businesses across the industry – both new and old.

Rob Gallagher, Head of Broadband & TV Research for Informa Telecoms & Media said: “Many in the telecoms and media sectors fear that the onward march of the Internet will largely benefit the Googles and Apples of this world at the expense of traditional providers, according to a survey we recently conducted of over 470 industry executives. Respectfully, we at Informa Telecoms & Media disagree.

“It’s easy to see why types of companies built on existing business models might be threatened by new Internet players, but there’s no reason why any individual firm can’t use the same technology to its advantage. Innovation is about more than technology. Companies need to devote equal – if not, more – time to re-thinking their pricing, marketing, customer service and above all, their user experience,” Gallagher added. Gallagher’s views are consistent with the themes to be raised across the keynotes and conference programme at this year’s Broadband World Forum.

Innovative apps and services are causing a significant shift in customer ownership away from traditional operators to OTT players like Google and Facebook. Operators are now forced to re-think their business strategies and attitude toward innovation to maintain their hold on the customer relationship, and capture new revenue opportunities.

This industry transformation provides the backdrop for Broadband World Forum, which explores broadband as more than just data transfer and bandwidth; but rather an enabler for improved services and a tool to foster innovation. Key areas of focus will be placed on understanding the connected customer, exploring new market opportunities and the evolving digital ecosystem at the event’s inaugural Innovate! feature.

Innovate! comes at a time when pioneering new start-ups, market leading apps and telecom operators are looking to improve services, network capabilities, business models, and customer experience management to create long-term loyalty and manage the challenge of OTT. Operators are taking different strategies to pursue innovation and combat the strain on revenues and networks from OTT players.

Analyst firm, Ovum, recently published the latest versions of its fixed and mobile innovation radars which tracked a total of 638 service launches by fixed and mobile telcos in the second half of 2011. It shows that OTT and telcos are increasingly engaging with each other across multiple touch points within the industry; obvious examples are mobile apps, which accounted for approximately 15% of new telco service launches in 2H11.

Principal Analyst, Emeka Obiodu confirmed: “…when it comes to partnerships, an increasing number of telco service launches now involve an OTT player or use an OTT platform.”

Innovate!, which takes place in day three of the event, will also place a spotlight on the need for operators to deliver the services users want today and build the experience their customers are seeking. The new session will explore how operators can increase subscriber loyalty through innovation, their business models to better enable innovation and the importance of creating partnerships to drive innovation forward.

In particular, partnerships with companion apps such as Shazam, present a huge opportunity for broadband and mobile to work. “From using their mobiles to make impulse purchases, find out more about the content that interests them or watch videos, people are using their smartphones and tablets in new ways – including interacting with television. At Shazam, we have been working with producers and programmers of shows and major events like the Olympics to give viewers an engaging and innovative way to experience more of the content they love,” said Iain Dendle, Shazam’s Business Development Director for Europe.

Innovate! sits in one of the six tracks being delivered across three days at the 12th annual Broadband World Forum. Over 400 visionary speakers and panellists will take part in the programme with over 200 exhibitors showcasing revolutionary broadband technologies, applications, solutions and services.