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Execs Decry Lack of Interactivity, Targeting in Video Ads
Despite new technology that can provide more engaging and better targeted ads for online video, most publishers have been stuck repurposing 15- and 30-second TV spots online, a problem that execs say leads to lower CPMs and a poor user experience. But with advertisers and agencies struggling, there may not be an easy fix to this problem.
On a panel last night at Will Richmond’s VideoSchmooze event in New York, executives from Comcast, NBC Sports, Hearst and blip.tv talked about how publishers were still struggling to monetize video assets online, despite an increase in ad budgets slated for online video.
While much of the discussion centered around determining the appropriate ad loads for online video as opposed to traditional TV channels, George Kliavkoff, EVP of Hearst Entertainment & Syndication, suggested that the industry should be less concerned about how many ads are being delivered, and more concerned about what types of ads are being delivered.
“I hope that the market is not going to be deciding how many 15- or 30-second ads [we're showing],” Kliavkoff said. “If that’s the conversation, then we’ve failed as an industry. I think the conversation should be about what new and engaging ads take advantage of the technology that you can deliver online with video that are not 15- or 30-second re-purposed ads.”
Report: Disney Could Join Hulu
“Serious” discussions are occurring between Disney and Hulu about distributing ABC and possibly ESPN content through the fast-growing video site, according to paidContent. A possible deal would have Disney offering up programming in exchange for 10 percent of Hulu (currently, Fox and NBC each own 45 percent, and investor Providence Equity owns 10 percent, for which it paid $100 million).
Complications include NBC’s and Fox’s partially exclusive online distribution deals with Hulu that are only two years long. Would Disney force them to re-up? In a world where Hulu’s success is only inspiring more competition, and with distribution tiffs cropping up for sites like TV.com and services like Boxee, a show of strength would be fantastic for Hulu right now. While Hulu has added many content providers since the founding two, it still lacks CBS content after negotiations for a prospective deal similar to the Disney one fell through.
It all depends on how much loyalty NBC and Fox have for their spinoff, and how much they’re willing to give away to make it succeed. The original Hulu CEO, George Kliavkoff, has left NBC for Hearst, and a major Hulu advocate at News Corp., Peter Chernin, is on his way out as well. You’d think they wouldn’t want to leave a site that just grew traffic 33 percent in one month hanging, but you never know with these old media folk.
Hearst Assembles Digital Posse
Hearst today named George Kliavkoff executive VP and deputy group head of its entertainment and syndication division. A familiar NewTeeVee character, Kliavkoff was chief digital officer at NBC Universal (and for some of that the interim CEO of Hulu) until he left in November, saying his work there was done and he wanted to “start, run or invest” in an online business.
Kliavkoff told MediaMemo that he might be interested in some well-priced M&A of digital media properties in his new role.
Kliavkoff joins a newly formed team of digital veterans at Hearst, which is clearly reshuffling to better address online opportunities. Hearst CEO Frank A. Bennack, Jr. used “the critical importance of the digital transformation of all Hearst businesses” as explanation in this morning’s announcement. The entertainment and syndication division includes all of Hearst’s cable TV stakes at ESPN, Lifetime, A&E and History, as well as TV production and other departments.
Kliavkoff to Leave Top Digital Spot at NBCU
George Kliavkoff is done bringing digital gospel to old media. Now he wants to “start, run or invest” in an online business, he said in an internal email announcing he will leave his post as NBC Universal’s chief digital officer at the end of the year. The email, parts of which were published by CNET today, noted that NBCU’s digital revenues will top $1 billion in 2009 and that Kliavkoff feels his work at the media giant is done.
Kliavkoff had been with NBCU since August 2006, was the interim CEO for Hulu before it became fully formed, and most recently led NBCU’s widely viewed portal for online Olympics coverage. He had also been in charge of less successful efforts like NBC Direct, the network’s dysfunctional web video-on-demand service. Prior to NBCU, Kliavkoff had led the digital arm of Major League Baseball Advanced Media.
Kliavkoff will stay with NBCU through the end of the year and take time off before his next project, according to CNET. NBCU CEO Jeff Zucker said in a cordial statement that he appreciated Kliavkoff’s efforts to embed digital into each of the company’s divisions. We at NewTeeVee will miss Kliavkoff’s informative public remarks that gave specific details into NBC’s digital thinking. We only hope he will continue to be so clear-headed at his next venture.
For some of Kliavkoff’s new media wisdom, see our 2009 predictions series from the end of last year, where he was a featured pundit.
CBS and NBC Give Digital Execs Promotions
Acknowledging the growing role of digital media within their organizations, both CBS and NBC announced promotions for some of their top digital execs today. But digital isn’t moving anything or anyone else out the door yet; in both instances, the moves created new, formerly unfilled titles.
Quincy Smith, president of CBS Interactive since November 2006, will now be CEO of that division. The announcement came alongside confirmation that CBS’ acquisition of CNET was completed. CNET CEO Neil Ashe will now fill Smith’s old role. The CBS Interactive unit is being expanded along five verticals: technology, entertainment, sports, news and business.
And over at NBC, Vivi Zigler is now President of NBC Universal Digital Entertainment. Previously she was “Executive Vice President, NBC Digital Entertainment and New Media,” and had been since August 2006. Zigler oversees the NBC Universal Digital Studio and NBC.com. Since NBC splits up its entertainment fare from the rest of its content, Zigler isn’t in charge of all digital initiatives; the company still has George Kliavkoff as its chief digital officer.
NBC Wants Anti-Piracy, Pricing From Apple
After an acrimonious and public split from Apple last year, NBC says it wants to put its TV content back on iTunes — but the peacock wants anti-piracy measures and flexibility over pricing first.
Speaking at the ad:tech conference in San Francisco, NBC Chief Digital Officer George Kliavkoff didn’t mention iTunes by name when discussing piracy, but according to CNET, it was clear who he meant. Kliavkoff insinuated that Apple could create some type of mechanism in its iTunes/iPod combo to sniff out pirated content.
Mobile Video News Streams Out of CTIA
Hey, you got your mobile phone in my TV! No, you got your TV in my mobile phone! You’re both right. The big wireless CTIA show is happening in Vegas right now, and there’s a ton of mobile video news coming out of it.
NBC’s Chief Digital Officer George Kliavkoff had a bunch of things to say: NBC will create live video in support of the upcoming Olympics; it has inked a multicarrier deal to give AT&T, Verizon Wireless and Research in Motion subscribers access to more than 60 WAP sites including NBC, USA and Bravo; and may be interested in creating a Hulu-like service for mobile.
NTV Predictions: Fate of UGC
Among the questions we’ve asked our panel of experts was this one: POINT: UGC will rule 2008. COUNTERPOINT: UGC will die in 2008. Your take?
Selections from their responses are below. We’d love to hear your take on the question or on our panelists’ predictions in the comments. For more information on the NewTeeVee 2008 outsourced predictions, see this post.
George Kliavkoff, chief digital officer, NBC Universal (former interim Hulu CEO and leader of other NBC tech projects):
“POINT: UGC is a viable long-term art form that has established itself in the culture and will continue to rock in 2008. COUNTERPOINT: The irrational belief that marketers want to associate their valuable brands with unpredictable and sometimes inappropriate UGC and will thereby create a sizable, long-term sustainable business will die in 2008.”
NTV Predictions: Video Fads
Among the questions we’ve asked our panel of experts was this one: Name a video trend that won’t live to see 2009 (hint: life-casting is an acceptable answer).
Selections from their responses are below. We’d love to hear your take on the question or on our panelists’ predictions in the comments. For more information on the NewTeeVee 2008 outsourced predictions, see this post.
Max Silvestri, Gabe and Max’s Internet Thing (web video comedian):
“I’d like to say product reviews read by strippers, but in fact I’m pretty sure this is what all videos will be by 2009.”
NTV Predictions: Online Video Stars
Among the questions we’ve asked our panel of experts was this one: Which online video star do you think will make it big in 2008?
Selections from their responses are below. We’d love to hear your take on the question or on our panelists’ predictions in the comments. For more information on the NewTeeVee 2008 outsourced predictions, see this post.
Henry Jenkins, director of the MIT Comparative Media Studies Program and Peter de Florez Professor of Humanities (media and popular culture academic):
“Thinking of online video in terms of a star system may be the wrong way to think about the ways that it will influence the larger cultural ecology. For one thing, people are turning to online video for things they are not and perhaps cannot see within the mass media. Fan researcher Catherine Tossenberger talks about fan-generated content as ‘unpublishable’ and for her, this is a very good thing. Fans, operating outside of the commercial mainstream, have the freedom to do things which would be prohibited [to] those working at the heart of a media franchise — explore new stories, adopt new aesthetics, offer alternative interpretations of characters, or just be bad in whatever sense of the word you want. And much of the online video content thrives because it is unpublishable in the mainstream but has strong appeal to particular niches and subcultures.
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