Aggressive push to develop local content will protect Seven’s revenue
Worner
Channel Seven is taking an aggressive push to increase the amount of local content to protect its most lucrative revenue stream, as online access to international content has driven down the value of third party deals.
Tim Worner, CEO of the Seven West Media group, said the number of hours Seven showed its own content increased by 15 per cent this year and more than half of its primetime shows are the network’s own productions.
At yesterday’s half-yearly results presentation he claimed this sets Seven apart from its free to air competitors at Nine and Ten, and will support the launch of Hybrid Broadband Broadcast Television (HBBTV) in May.
So more ripping off ideas from third party producers is on the cards.
Except Seven’s INXS drama was high budget and required Screen Australia finance as well. The difficulty with third party production is that if it doesn’t work you have to sit in the corner for a while. With in-house all is forgiven and another show soon goes into production. But putting that aside the internet has forced the broadcasters to put more original content to air as it is the only material which can’t be pirated. It is a refreshing change from 20 years ago where they could just rely on a constant flow of cheap US shows. It really will sort out the sheep from the goats. Just ask the Ten Network.
After just finished S2 of HOC watching 4/5 at a time (which I paid for as always) when Tim says ““That US content is increasingly available in multiple sources so therefore the value of it is going to decrease”, is of course a no brainer but cinching the flow of the cheap US off casts facilitated by digital will help local content production. It’s the only way our FTA channels will stay relevant. I’m skeptical but can only hope this is the first shovel of dirt that builds the foundation that has the FTA’s thinking like content providers primarily and media companies secondarily – not the other way round.