[opendtv] Re: Content Distribution Getting Cloudy (DECE UltraViolet)
- From: dan.grimes@xxxxxxxx
- To: opendtv@xxxxxxxxxxxxx
- Date: Wed, 22 Sep 2010 09:42:15 -0700
Bert wrote:
"Point the second. As to "the notion of TV channels is quickly becoming
antiquated," I keep hearing that phrase being repeated, even as "the notion
of TV channels" has been changing for quite some time. At least 30+ years,
since the advent of cable.
"What started with cable and is just progressing along the same line, are
TV distribution media. Channels are now either over the top Internet
services like Netflix, Hulu, or Apple TV, or cable/DBS, or OTA multiplexes.
In each case, the "TV channel" can carry content from multiple sources. The
days when the ABC frequency channel only carried ABC shows are very long
gone."
Craig Wrote:
"These are not channels Bert, they are pipes, or distribution platforms if
you like. They are agnostic with respect to the companies from which they
obtain content....
"Channels offer linear programming;...
"Perhaps a slightly different analogy may be helpful here. Most publishing
companies have multiple "programs;" ...
"And this is exactly what is happening to television programming. Viewers
are still interested, maybe even committed, to following certain
programs;..."
Clearly the producers, the distributors and even the programs are all
changing. The distribution platforms are evolving. The arena of producers
is expanding and ever-broadening from multi-million dollar productions to a
few hundred from a young student.
Perhaps the difference between how Bert and Craig are using the word
"channel" relates to the concept of a "brand".
While historically we had RF channels and a dedicated "brand" within that
channel, as we get new distribution types, the brand is now taking
different distribution platforms and some distribution platforms are
forming new brands. Both are delivering programming.
What is not changing is a person's gravity towards a "brand". While there
might be much upheaval in the distribution platform, I believe people will
still tend to follow brands.
I would use the fast food industry as an example. McDonalds and Burger
King were recently put at the bottom of the list of a recent survey done by
a well known consumer advocacy organization
(http://www.consumerreports.org/cro/magazine-archive/2010/october/food/best-burgers/overview/index.htm).
At the top were two smaller chains, In-N-Out and Five Guys. Yet, McDonalds
and Burger King still has the top sales
http://www.qsrmagazine.com/reports/qsr50/2010/burgers.phtml).
Much could be debated as to why, yet they are.
I liken a channel to a brand. I think people will gravitate towards a
"brand" or a "channel" even if it goes to a "cloud" delivery method.
People will go to a "brand's" site to consume programming whether a
favorite or seeking something new.
So as Craig says, Hulu, Apple-TV, etc. are not yet channels or brands, yet
they are the store that sells or delivers the programs. And with the new
delivery methods, channels or brands will not be linear but become
non-linear and on-demand, yet they still will exist.
I still think people will gravitate towards a "channel" and not simply a
"program". Even so, the consumer will be able to more easily pick and
choose the burger of their choice from the fast-food chain of their choice.
People still go to fast-food chains without knowing what they are going to
order, staring at the list and having trouble deciding.
But in the media world, that store they go to to stare at the menu might be
Hulu or Apple-Tv. So they might start becoming a "channel" or the "brand",
especially if they have different menus. But if the menu were to go to a
single site and the cloud delivery, could we get rid of the "brand"?
I don't think so. I point to YouTube as an example. There is a lot of
good things to consume on YouTube but how do you find them? I've spent
hours looking for good programming and never found it. However, people
have often pointed to a particular "program" and sometimes I have enjoyed
it. So where will people go to get a pointer in the right direction? I
think they will look to a "brand". So while Hulu or Apple TV might be a
new "brand", it is not a channel and I think people will look to a
particular site or "channel" or "brand" to get there. Conclusion to me is
that a "brand" or "channel" like ABC, CBS, NBS, etc. is not done yet.
Clearly, there is still much to evolve and settle in the media world.
Dan
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