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Will broadcasters stick to a new 52-week model?

There's a great article over at The New York Times. It's about all the changes happening at the broadcast networks concerning the traditional upfront model -- the practice of presenting to advertisers around the month of May a new portfolio of programming to be commenced in the fall season and the subsequent booking of ad dollars for said programming. That's how the process has worked -- CBS (NYSE: CBS), General Electric's (NYSE: GE) NBC, Disney's (NYSE: DIS) ABC, News Corp.'s (NYSE: NWS) Fox, and Time Warner's (NYSE: TWX) and Viacom's (NYSE: VIA) CW show their wares now so that they can sell commercial inventory well ahead of the season premieres.

Well, according to the article, you can thank -- or blame -- the writer's strike for the dismantling of this quaint mechanism. I chose to thank the strike, because I think change is good in this case. You see, the broadcasters want to move to a 52-week season -- i.e., they want to debut new shows on a year-round basis instead of all at once, thus neutralizing the need for big upfront promotions. Actually, I should point out that there were probably other factors that helped this decision along -- most of them centering around costs and expenses. The expensive pilot-development process just isn't where it's at anymore. In fact, I wrote about this new paradigm back in April when NBC's co-chairman Ben Silverman was embracing it -- he's actually going for a 65-week season!

Continue reading Will broadcasters stick to a new 52-week model?

NBC has some ideas -- are they the right ones?

General Electric's (NYSE: GE) NBC is getting edgy, I'll give the network that. Of course, it's not because execs there are feeling particularly brave -- no, they're just feeling the pressure of rising programming costs and ratings challenges. The networks owned by News Corp. (NYSE: NWS), Disney (NYSE: DIS), and CBS (NYSE: CBS) are stiff competitors, so NBC is looking for a new paradigm.

According to AdAge.com, NBC wants to test out some interesting theories during the next television season. NBC would like to ensure that viewers are exposed to only a minimal amount of repeat programming; to do this, it will rest shows and program them during specific time periods. NBC also wants to resist the temptation to be traditional by having all of its series premiere in the beginning of the season -- why not spread that event throughout the entire season? Then there's the "family hour", the "blockbuster hour", and the "adult themes and high-end drama" hour -- otherwise known as 8 p.m. to 9 p.m., 9 p.m. to 10 p.m., and 10 p.m. to 11 p.m, respectively. As you can imagine, programming during these time slots will fit the theme. NBC wants to work more closely with its advertisers and encourage them to generate campaigns that are more organically integral to the shows as a way of keeping the attention of the eyeballs. And NBC seems to be wary of debuting a bunch of new shows -- only four new series were announced.

Continue reading NBC has some ideas -- are they the right ones?

Following 'quarterlife' debacle, should networks ignore web-incubated ideas?

I read an interesting article at The Hollywood Reporter about General Electric (NYSE: GE)`s NBC network and its experiment with a series that originated from the web called "quarterlife." I didn't see the show, but it apparently didn't work out for NBC -- it received absolutely terrible ratings, and one of the show's creators, Marshall Herskovitz, was quoted as saying that "it never should have been a network show."

I dearly hope that NBC, as well as Disney (NYSE: DIS)'s ABC, News Corp. (NYSE: NWS)'s Fox, and CBS (NYSE: CBS) don't take this setback too seriously. We're in a new media world, one that's changing rapidly, and with the introduction of new forms of interactive communication comes an evolution in not only the way that ideas are distributed but in the way in which they form and are presented. Herskovitz was disappointed that the show wasn't put on cable, believing it was "too specific" for such an audience -- I haven't seen "quarterlife" as I've said, but I know what he means by that. Still, I believe it is incumbent for networks to think like cable nets and try to emulate their creative edge. This "quarterlife" may have indeed been full of quirks that made it an odd choice for NBC, but so what? As NBC co-chairman Ben Silverman indicated, this test didn't cost the network a ton of money and it was "so worth the try."

Yes, "quarterlife" failed on a network -- so what? NBC should continue to look to the web for concepts that it might not get anywhere else. It can be a cheaper way for finding and developing off-the-map ideas, as well as new talent with the potential to hit it big. In the era of MySpace and Google (NASDAQ: GOOG)'s YouTube, the networks need to be flexible enough to adopt new methods for generating content; cyberspace is full of cool stuff -- don't be afraid to port things over, guys, you just might hit upon something...

Disclosure: Steven Mallas owns shares in Disney and General Electric.

NBC boss insults Writers Guild

Writers Guild of America picketing signsEarlier today, Jonathan Berr noted that the Golden Globes broadcast on General Electric Company (NYSE: GE)'s NBC Network had been canceled. Yes, it's a shame we at home won't be able to comment on the fashions and root for our favorites. Yes, it's a shame for the struggling Peacock network (still often in fourth place) to miss out on the ratings and ad revenue easily procured from a red-carpet event. NBC shells out $5-6 million a year for the broadcast rights and can count on $15-20 million in ad revenue as a result. But yes, it's a testament to the power held by the Writers Guild of America.

Unfortunately, not everyone is giving the Guild its due respect. NBC Entertainment co-chief Ben Silverman aired his grievances about the Golden Globes debacle in a very public forum, speaking with EI Entertainment News anchor Ryan Seacrest. According to the cable network's website, Silverman said "It feels unfair" that United Artists and David Letterman's Worldwide Pants have brokered deals with writers, but Dick Clark Productions (the Globes' producer) is not being given the same option.

SIlverman opined that: "Sadly, it feels like the nerdiest, ugliest, meanest kids in the high school are trying to cancel the prom. But NBC wants to try to keep that prom alive."

Wow. Is it me, or did a top-ranking NBC executive call the Writers Guild ugly, mean nerds? The man's company is out a cool 10 or so million, but the decision has now been made and should be dealt with. Be careful, Ben, or you're going to get a prom like the one Carrie White attended.

Beth Gaston Moon is an analyst at Schaeffer's Investment Research.

Silverman's first step to rescue NBC: Story of hooker's pursuit of implants

Ben Silverman has been handed a Herculean task, to drag General Electric Co's (NYSE: GE) NBC network out of the ratings basement. The entertainment co-chairman has begun his reign by buying the rights to the Colombian television hit, "Without Breasts There is No Paradise" ("Sin Tetas No Hay Parasio").

The series, based on a Latin America hit novel of the same name by Gustavo Bolívar Morenao, follows the adventures of a young hooker involved with a drug dealer, and her pursuit of implants as her ticket out of her seamy world. Silverman was also the producer that anglicized the world hit Ugly Betty for the American screen.

Silverman has been quoted as bragging that his reality shows are uplifting, a sobriquet that might also be applied to this show. As Slate magazine reminds us, Silverman also vowed that NBC would be about quality programming. It seems appropriate here to note that quality is an ambiguous word – for example, a lemon/liver shake-up is a quality beverage, and that quality is nauseating.

GE should replace NBC's Zucker

General Electric Co. (NYSE: GE) Chief Executive Jeff Immelt's has given Jeff Zucker plenty of chances to improve NBC Universal. Now, it's time for someone else to run the media conglomerate.

Though NBC's performance is showing signs of improvement, it continues to be one of the laggards in the GE portfolio. Investors are clamoring for the Fairfield, Conn.-based company to spin-off or sell the media conglomerate. NBC prime time ratings are stagnant and still overly dependent on the "Law and Order" franchise. While I am a huge fan of "Scrubs" and "My Name is Earl," I realize that the quirky humor of those sitcoms may not appeal to everyone.

Yesterday, Zucker reshuffled the top management at NBC, ousting programming head Kevin Reilly and replacing him with with Ben Silverman and Mark Graboff. Maybe Zucker thought Reilly, whose contract was recently extended, was working too hard. I'm surprised that Zucker didn't escape the axe himself.

Indeed, anytime a company fills a job that one person did with two or more people, that's a bad sign. It's a recipe for instability and will guarantee turf battles between high-powered executives. However, this does allow Zucker the chance to spread blame around to more people when things go wrong or don't go right fast enough.

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Last updated: December 02, 2008: 11:20 AM

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