There was an article in the NY Times recently about the rise of cable TV. According to the author:
"Channels like TNT, AMC, FX and others came up with their own versions of “Trading Places” and carved out niches, sometimes huge ones, by letting viewers know that narrative, quality and drama have not gone off the grid. Those characteristics have just switched coordinates. Sure, “House” and “Grey’s Anatomy” still rule the water cooler, but shows like “Mad Men,” “The Closer” and “Saving Grace” are bubbling up as well."
To provide some perspective, when I started at Davie Brown eight years ago, there were only two scripted cable series of any merit: “Sex and the City” and “The Sopranos,” along with a handful of original cable series of any genre (Howard Stern’s “Son of the Beach” anyone?).
The cable net ramp up has been considerable with stars from shows like USA’s “Monk” and TNT’s “The Closer” winning Emmys in recent years as their broadcast counterparts looked on.
The shift from broadcast to cable has been something we’ve been watching closely for the past few years. Even as the shift is supported by numbers (viewers), integration and promotional opportunities on cable vs broadcast can be a hard sell to brands.
Several advertisers are still comforted by the scale of broadcast regardless of whether it offers a deep level of engagement with their target audience. The broadcast networks are attempting to capitalize on this thinking as they continue to sell the “bigger is better” tagline even as they see viewership in shows like “The Closer” inching closer to broadcast scripted fare such as FOX’s “Prison Break” or NBC’s “30 Rock.”
The strike certainly contributed to cable sampling resulting in double digit declines in several broadcast shows, even crowd-pleasers like “Grey’s Anatomy” and “Ugly Betty.” However, in my opinion, the strike only exacerbated what was already happening. Viewers have become increasingly fickle with more choices and the instant gratification of the web (news, for example). Networks are scrambling to retain audiences, but are challenged by their own financial and development models.
A broadcast network has to develop several expensive scripted shows to find a handful that appeal to a mass audience and have staying power. At the same time the broad nets don’t have the luxury of allowing an audience to grow.
If "Seinfeld" and "Everybody Loves Raymond" premiered today, it is quite possible they would not have made it past the first season. "The Office" almost met a similar fate after season one, but the interest NBC had in the production company, plus some other factors, allowed for the return.
The success of the cable nets has a lot to do with the fact that they are able to mimic the intimate experience viewers receive online through targeted programming. The cable nets know their viewers very well and program to them. The broadcast nets have to develop shows that appeal to all ages, genders, beliefs, etc.
What does this mean for advertisers looking for reach?
It means the customization of messaging to complement viewer fragmentation. Save for the Super Bowl and "American Idol" finale, the days of one message, 40 MM viewers is long gone, but a new opportunity has emerged -- possibility to increase purchase intent through customized communication resulting in intimacy producing affinity. -- MF