ABC’s VOD Gambit Spurs ‘Lots of Interest’: Preschlack
Affiliate Exec Says Distributors Have Reacted Favorably To Ad-Supported On-Demand Platform Plan
By Mike Reynolds -- Multichannel News, 2/29/2008 10:32:00 AM
David Preschlack says the demand is there for Disney-ABC Television Group’s expanded video-on-demand gambit among distributors.
According to Preschlack, executive vice president of Disney and ESPN Media Networks Affiliate Sales and Marketing, Monday’s announcement that Disney-ABC plans to make ad-supported offerings of its series and sports fare available to cable, satellite and telco distributors’ on-demand platforms has “spurred a lot of interest. We received a lot of phone calls and have had many conversations that have been very positive.”
The gambit follows a test that began in Cox Communications’ Orange County, Calif., cluster last fall, which included ad-supported presentations of Grey’s Anatomy, Desperate Housewives and Ugly Betty, plus ESPN on ABC college football games. Viewers can not fast-forward through the commercials.
Studies conducted by Knowledge Networks/Statistical Research during that trial period found that 93% of viewers were okay with ad-supported VOD fare, because they gained free access to top shows.
Disney executives said the VOD levels in the Cox cluster were in tune with the shows' popularity levels on ABC, meaning Grey’s Anatomy and Desperate Housewives attracted more people than the number of users that opted to watch Ugly Betty on-demand. They declined to make specific figures available.
Officials at Cox said the operator plans to roll the on-demand program, which was accessible via the MyNetwork On Demand banner on Cox’s Free Zone platform in Orange County, to other markets.
Cox spokesman David Grabert said the operator “felt the trial was a success,” but he declined to specify what system might be next or set a time frame for when the launches would occur.
Preschlack said that “Cox should be commended for its part in the experiment, which is representative of the opportunities that exist for programmers and operators.”
While Preschlack would not handicap when deals would be consummated with other distributors, he noted that conversations had occurred with Time Warner Cable, whose Start Over application also includes a mechanism that prohibits viewers from zapping through commercials.
Preschlack said Disney-ABC would be working toward adjusting its programming availabilities, which now include new episodes of Lost and October Road, as well as college hoops. When new episodes of Christina Applegate-starrer Samantha Who? return to ABC in April, they wiill be available to Cox digital customers in Orange County, according to a Disney spokeswoman.
“There will be various cycles of shows, including new series in the summer,” he said. “This is an ongoing opportunity.”
He noted that in addition to presenting high-quality programming, carriers benefit from a promo spot within the on-demand fare. For their part, ABC affiliates, whose participation in the on-demand play has been recommended by the ABC Television Affiliates Association, also will receive some commercial time, with the bulk of the inventory managed by the alphabet network.
Although the final number of spots has yet to be determined, the on-demand offerings are expected to include between five to ten 30-second spots an hour, well below the linear load.
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