Showing posts with label Rebecca Dana. Show all posts
Showing posts with label Rebecca Dana. Show all posts

Friday, February 13, 2009

WSJ Article Validates Another of Our Media Predictions for 2009: rocky time for local broadcast

The Wall St. Journal ran a fascinating look at the impact of the current media environment -- declining ad dollars and users (formerly known as viewers) fleeing to the Internet.

Check out "Local TV Stations Face a Fuzzy Future as Revenue Declines" by Sam Schechner and Rebecca Dana.

The TV/broadcast environment is changing, just as mainstream media everywhere is. One difference is that the business model for TV is the same as news on the web: it's been free, supported by advertising. So for users stuck in front of the laptops, why not just access TV shows online?

But that move is having a big impact local broadcasters. If you can get network shows online, why tune in with your TV?

The article suggests that some on-air networks will switch to cable because they can get a piece of the subscriber fees even during a drop in advertising. Since most of use already use cable boxes and since the rest will have to get digital converters, users may not feel much impact -- except to see their cable bills increase. Which is not a surprise.

Still, the impact on local market TV is that there won't be much local programing.

Check out the article; it's worth reading.