ABSTRACT
The business model of broadcast TV channels is challenged by both the rise of digital advertising, with its targeting advantage, and the growth of the streamers. In publicly owned channels, the financial model remains the same, but the distribution is evolving. On commercial channels, the advertising model is changing, as distribution migrates to mix of broadcast and advertising video-on-demand services (AVOD). The broadcast business is examined across four phases: business development, production, distribution and monetisation. Business development is about design of the content proposition, derived from programming that is a market fit. The Production phase is about how, and how well, the programming content is made and marketed for the audience. Distribution is about how the channel transmits its content to the viewers – on which platforms, from broadcast TV to cable, satellite and AVOD. Monetisation is where the broadcaster collects revenue, via six principle dimensions: TV advertising, AVOD advertising, subscription, carriage fees, programme sales, public funding and e-commerce/merchandising. The UK commercial broadcaster ITV is examined through the chapter to illustrate key points around commercial broadcasting. The pan-African entertainment broadcaster and producer TRACE TV is discussed. There is analysis of AI technologies used at UK public broadcaster, the BBC.
