Local Market Broadcasting and TV

Programming

RTV 151

Traditional TV service

210 Local TV markets In a local market

Independent (KDFI, 27 ‘My Network TV’) (68, KPXD, ION)

Network affiliate (WFAA, Gannett-owned) O&O (4, 5, 11) Difference for LPTV

Sources of programming Local, network, syndicated, paid

TV Dayparts

overnight 1-6 am; early morning 6-9 am  daytime 9-3; early fringe / late afternoon 3-5 early evening 5-6; access 6-7 note

time zone variations  prime time 7-10  late fringe 10 - 1030  late night 1030 - 100

Types of scheduling

Stripping Checkerboarding

Daypart differences / prime-time vs. not Stacking, blocking Lead off, hammocking, lead-in, tent-poling Stunting (sweeps)

Basics of network operation Original benefit vs. today High cost programming / national audience Network compensation Value of station / network-affiliate relations O&O ‘Hybrid networks’ Univision, PAX / ION ‘Hybrid IPTV' services – Operators use either

digital or satellite for linear TV and broadband for on-demand content

Basics of network operation

ABC, NBC, CBS, Fox, CW – how much do they need their local stations?

How can local TV survive? Distinction of ABC, NBC, CBS, Fox vs.

ESPN, CNN, MTV, HBO A ‘cable network’ is not a network Mobile media – national or local?

TV syndication ‘Off Network’

Big Bang Theory, Raymond, How I Met… Seinfeld, Frasier, Friends Classic TV shows

First Run Minimum number of markets Group owner impact Specific genres

Cash / Barter

TV salesTV sales

National buys: upfront vs. scatter marketLocal market buys: national spot market,

rep firms, media buyer, local direct clientLocal Cable System: Premium channels,

Basic cable vs. local broadcast stations, insertion advertising, must carry, MSO

National ‘basic’ and ‘premium’ cable channels

National buys: upfront vs. scatter marketLocal market buys: national spot market,

rep firms, media buyer, local direct clientLocal Cable System: Premium channels,

Basic cable vs. local broadcast stations, insertion advertising, must carry, MSO

National ‘basic’ and ‘premium’ cable channels

TV salesTV sales

Local cable system or IPTVDTV multicastingDBS (DirecTV / DISH) limitationAll ‘linear’ servicesDevelopment of ‘on demand networks’Owners of TV shows / distribution

Local cable system or IPTVDTV multicastingDBS (DirecTV / DISH) limitationAll ‘linear’ servicesDevelopment of ‘on demand networks’Owners of TV shows / distribution

National TVNational TV

genres of TV programs--sit-coms, dramas, mini-series, made for TV movies, theatricals, variety shows, game shows, reality shows

Production costsReality hour: $300K - $1 millionSit-com half hour: $750K - $2MDrama hour: $1.5M - $2M

Co-production & deficit financing

genres of TV programs--sit-coms, dramas, mini-series, made for TV movies, theatricals, variety shows, game shows, reality shows

Production costsReality hour: $300K - $1 millionSit-com half hour: $750K - $2MDrama hour: $1.5M - $2M

Co-production & deficit financing

Buying SyndicationBuying SyndicationSelling local TV inventory:What will we pay for The Dr. Phil Show?Budget for their show: $500,000 per week52 weeks of the year – how many re-runs? 26

weeks of production26 x $500,000 = $13 million per year cost210 TV markets ---- sell to 150150 x 50,000 per station per week = $7.5 million150 x $20,000 per episode national clients / $100k

/ week = $15 million

Selling local TV inventory:What will we pay for The Dr. Phil Show?Budget for their show: $500,000 per week52 weeks of the year – how many re-runs? 26

weeks of production26 x $500,000 = $13 million per year cost210 TV markets ---- sell to 150150 x 50,000 per station per week = $7.5 million150 x $20,000 per episode national clients / $100k

/ week = $15 million

Selling the showSelling the showInventory:They take none = we pay $20k per episode; They

take 8 minutes = we pay $10k (x5)We pay $10k. Our avails are 10 minutes (20 :30

spots)Our audience rating number is 5 = 75,000 peopleCPM is $8 = 75 x 8 = $600 per spot600 x 20 = $12,000SELLOUT rate 80$12,000 x .80 = $9600

Inventory:They take none = we pay $20k per episode; They

take 8 minutes = we pay $10k (x5)We pay $10k. Our avails are 10 minutes (20 :30

spots)Our audience rating number is 5 = 75,000 peopleCPM is $8 = 75 x 8 = $600 per spot600 x 20 = $12,000SELLOUT rate 80$12,000 x .80 = $9600