Commentary

The Evolution Of Distribution

Once upon a time, television studio executives negotiated with one network to air the first run of their programming. If the show was a success, then the studios would eventually sit down with other distributors for syndication deals. Rinse, repeat, and everyone lived happily ever after.

Oh, how times have changed.

Today, content production houses must take into account streaming deals, VOD deals and other marketing and logistical considerations when looking to launch any form of original programming. And it is just the beginning. All signs point to the explosive growth of the online video world reaching even greater heights. Research released by Singapore-based ABI Research suggests that by 2016 worldwide online viewership will reach over 1.3 billion people.

In a post over at his Forbes blog, Energy Intelligence, Mark P. Mills argues that we're at a point where content and the means by which it is distributed will change forever. "We've just started the biggest physical expansion of the content delivery system in the history of the human race," he says. But how will it change? Say goodbye to an old friend - the couch potato.

Content creators today sit on the verge of an era in which the couch potato no longer just sits on his or her La-Z-Boy and takes in an episode of their favorite program - they'll start watching at home and continue viewing while in transit, while waiting at the doctor's office or during one of the hundreds of other scenarios in which your eyeballs may turn to a tablet or mobile device. You need to be able to provide your users with content that they consume in a manner that appeals to them the most and sometimes that means letting them start and finish viewing content in two different places.

Going forward, viewers will need to be provided compelling content wherever their eyeballs may take them. By having a delivery system in place that satiates a viewer's appetite, you're taking significant steps towards guaranteeing that they'll receive far more value from the original programming. In doing so, you create what we like to refer to as the satellite effect: your ancillary content hubs will drive traffic back to your main venue for distribution. This serves two purposes: it drives traffic to and from your primary viewing hub; and from a monetization standpoint, provides potential advertisers with additional opportunities to attach themselves to your brand.

I've said it before, and I'll say it again. In today's emerging content production and distribution market, it's critical to be everywhere your consumers find themselves -remaining top of mind with potential viewers is more important than ever before.

3 comments about "The Evolution Of Distribution ".
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  1. Scott Pannier from DistroScale, June 2, 2011 at 5:03 p.m.

    It's a nice article Chris, but there will always be a market for couches and La-Z-Boy chairs. Maybe you don't have kids, but I look forward to relaxing on my couch and finding a program in my DVR queue. Ask me what :30 commercials are on Modern Family, Parenthood, or Friday Night Lights and I don't have a clue. I do know that the laptops I see on Parenthood and Modern Family are Mac's...so once again product placement in the shows far trumps any TV ad. With your premise, people will start watching CSI on their iPad while driving/commuting, and I think we'd all agree how much of a good idea that is.

  2. Jeff Bach from Quietwater Media, June 2, 2011 at 5:21 p.m.

    Clearly authors on this blog are quite zealous about the future and or the tech that they are evangelizing. This establishes one end of the spectrum. Guys like Scott come along and very correctly (to me anyway) remind us of the real world, which goes toward establishing the other end of the spectrum.

    In my opinion, the author and Scott are BOTH right. The myriad of points on the spectrum occupied by media consumers is both wide AND deep. The change is happening towards the author's side of the spectrum. But ignoring the tremendous number of consumers that are still skewed towards Scott's side of the spectrum is to be done at your own peril.

    Iger remains largely correct in my mind with his quote about digital dollars and pennies. The pennies in that quote are towards the author's side and the dollars are towards Scott's side.

  3. Macy Koch from Syncbak, Inc., June 2, 2011 at 6:05 p.m.

    I don't think the two concepts are competing-they should be complementary. You will still have the lean-back atmosphere of being at home, the ability to then get video content on the go-or just to the best screen available. In some household situations, this could be your phone or tablet if another program is being watched on your major TV/s.

    We've reached a point where consumers are accessing content on the go-whether waiting in the grocery line, at the doctor's office, or on public transportation. Instead of playing Angry Birds (not that there is anything wrong with that) a person could then watch the local TV news cast, a live sporting event or the new episode that is airing while they are nowhere near a TV set or the comforts of their La-Z Boy chair.

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