Discovery Networks Looking for an ‘Economic Goodie’ From Distributors if It’s Going to Embrace TV Everywhere; Separately, Discovery Has Strategy to Get Higher Ad Rates for Investigation Discovery

Dec 7, 2010  •  Post A Comment

Discovery Communications CEO David Zaslav says the company needs an incentive if it is to embrace the TV everywhere concept, writes our friend David Goetzl in MediaDailyNews.

According to the article, "It may be a while and take some serious money before Discovery Communications makes its networks available via a TV Everywhere-type model. All agreements with distributors for Discovery’s 13 networks call for TV-only distribution and don’t allow for multiplatform extensions."

The story goes on to quote Zaslav speaking on Monday, Dec. 6, 2010, at a UBS investor’s conference saying that the reason distributors do a TV Everywhere type deal is to attract and keep customers by allowing them to watch programming on the Internnet as well as on TV. "’That’s a goodie for them, and that means there should be some economic goodie for us,’ Zaslav said."

Discovery Communications CEO David Zaslav says the company needs an incentive if it is to embrace the TV everywhere concept, writes our friend David Goetzl in MediaDailyNews.

According to the article, "It may be a while and take some serious money before Discovery Communications makes its networks available via a TV Everywhere-type model. All agreements with distributors for Discovery’s 13 networks call for TV-only distribution and don’t allow for multiplatform extensions."

The story goes on to quote Zaslav speaking on Monday, Dec. 6, 2010 at a UBS investor’s conference saying that the reason distributors do a TV Everywhere type-deal is to attract and keep customers by allowing them to watch programming on the Internnet as well as on TV. " ‘That’s a goodie for them, and that means there should be some economic goodie for us,’ Zaslav said."

Turning his attention to Investigation Discovery (ID, Zaslav said the network needs to increase its ad rates.

Says the story, "Under the leadership of Henry Schleiff, ID is currently in 72 million homes and will add the additional 8 million by the end of the first quarter. Discovery’s sales staff will begin selling ID in January as a stand-alone network, rather than part of a broader package with other channels. The main goal: to make the ad prices more commensurate with viewership levels.According to Zaslav, the challenge is ‘how do you get the CPM up? The prices have been ‘quite low,’ partly because it has been ‘characterized as an emerging network.’ "

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5 Comments

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