[opendtv] Re: TV Ratings Have Hurt Creative Side of Television, Says Netflix Content Boss Sarandos | Variety

  • From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 17 Dec 2014 10:13:52 -0500

On Dec 16, 2014, at 9:59 PM, Manfredi, Albert E <albert.e.manfredi@xxxxxxxxxx> 
wrote:
> We've been there already. Through cutting or shaving, ESPN lost 4.5 percent 
> viewers since 2010. And these are sports addicts. So, while these are the 
> most addicted, if the rate continues, another five years perhaps, for Skipper 
> to do something more drastic.

The percentage drop since 2010 is your guesstimate. You have NO WAY of knowing 
whether these cord cutters were/are sports addicts; logic suggests just the 
opposite
Is the case.

> Wait, did you already forget the thread about AMC's The Walking Dead, 
> available in real time (VOD of each current episode right after it airs) 
> available without subscribing to the bundle, through Amazon.

Stop blowing smoke Bert. Entire seasons of episodic shows have been sold for 
decades. Individual episodes have been sold since 2005. This is just another 
PAID middleman. AMC makes these episodes available to authenticated subscribers 
for free; access for non-subscribers is delayed for months.

> Or are you subtly rewording this to read, "without a subscription," as 
> opposed to "outside the bundle"? In other words, any pay model, even if 
> independent of MVPDs? Is that what you just did?

MVPDs are one of mANY paid models for content that have existed since it became 
possible to deliver content via packaged media (and more recently as VOD 
streams).

The value of the bundle is based in the relatively low cost for a mountain of 
content that contains enough exclusive content to attract subscribers. The 
option to pay for individual shows is complementary, not competitive.
> 
> It sounds like selective forgetfulness so you can keep repeating the mantra. 
> The fact is, these guys are finding new ways, as AMC did, when their content 
> is popular and when they figure their audience is not quite addicted enough 
> as sports fans are.

These are not new ways Bert. It is the nature of the content business to sell 
to many middlemen. The only thing that has changed is that newer content is now 
made more available via multiple middlemen - and the driving force is the 
collapsing ratings for most of the broadcast network shows and the growing 
ratings of original content created for MVPD networks and SVOD services.
> 
> Doesn't matter how rich you are, Craig. If you see lost clients, you will 
> want to get them back.

Those rich networks have lost 2/3's of their audience. How did they react?

They created new networks for the MVPD systems (and bought up most of the 
channels that others developed for cable). And they developed a second revenue 
stream for this content. 

The result: they got richer and maintained control of most high value 
entertainment content. Now they are moving this oligopoly to the Internet.

Regards
Craig
 
 
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