Going on with the issue of new media distribution channels and strategies of a previous post, yesterday NBC presented the first quantitative data about the Apple partnership effects on NBC shows distributed via iTunes.
The results are quite surprising, at least for those who, after Job’s Keynote of October 2006, thought that this partnership was the declaration of death of the “old” way these shows were enjoyed.
Actually, on the basis of what executive producer of NBC TV show “The Office”, Ben Silverman declares, the presence of its production on iTunes gave it another chance of success. Since its ratings had not quite matched the critical acclaim, Silverman praised NBC for its willingness to “dive into the iTunes relationship quickly.” He credited the download capability with boosting broadcast viewership.
And the numbers say he was right! iTunes downloads have not stolen audience from the network show but they created even more than before! The same for DVD sales, that have not decreased critically after the diffusion of the episodes over iTunes while the incomes from iTunes channel are more valuable since the distribution costs are almost null.
The catalogue of iTunes downloadable shows is growing and growing, and by now more than 12 millions video have been downloaded. It seems that the new “on the road” way of consumption of TV shows has been well received by the public and it is giving virtuous results also to media providers.
So, sometimes risks is well paid-back, isn’t it? Let’s wait for Charlie’s Angel on iTunes!
As usual, I totally agree with you, for example there´s still typewritters, even when we have the most complex PC´s! Because new ways and new products cover new, different needs of consumers. It is great to re invent the inventions over and over! It´s about sharing the market and increasing the market shares for everybody.
Thx Renata! I think that the ability to innovate is a precious one. If you wanna read something beautiful about Steve Jobs, the guy who made possible what I was talking about see http://www.lepenseur.com/2006/02/04/some-inspiration/. This is by Cherif, one of our blog (and not only) friends.
Hi from Cuzco, Peru! I am big Apple fan and I admire Steve Jobs immensly but I think we need to be careful when we “allocate” credit. I don’t feel that Apple took a risk when they started selling videos on iTunes (or music, for that matter). Their costs were minimal and the potential payoff was big. On the other hand, the networks (or the content owners) took a sizeable risk when they made their content available in the right format to Apple and they finally acknowledged the legitimacy of this new distribution channel. A thumb up to Apple but two thumbs up to any copyright owner who break away from the pack and distributes through online channels.
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