1. © 2009, The McGraw-Hill Companies, Inc. All rights reserved.
Broadcast Television
Chapter 10
© 2009, The McGraw-Hill Companies, Inc. All rights reserved.

2. CHAPTER OUTLINE History Contemporary Broadcast Television
Television in the Digital Age
Defining Features of Broadcast Television
Organization of the Broadcast Television Industry
Ownership in the Television Industry
Producing Television Programs
Economics
Public Broadcasting
Home Video
Feedback

3. HISTORY 1920s-1930s WWII: FCC halted development of TV
Philo Farnsworth
Vladimir Zworykin
WWII: FCC halted development of TV
1948: TV’s growth so rapid the FCC imposed freeze on new station licenses
1952: FCC established rules to minimize interference – 12 VHF and 70 UHF channels

4. The 1950s: Networks, Tape, UHF, and Color
TV modeled after radio
Local stations affiliated with networks
1956, Ampex developed videotape
By 1960, most programs were taped
UHF channels didn’t compete well
Network color broadcasts began, up to about 3 hours per day by 1960

5. The Golden Age of Television
1950s growth and experimentation
Pioneering programs:
Ed Sullivan’s Toast of the Town; Milton Berle’s Texaco Star Theater
High quality dramas: Studio One
Adult westerns: Gunsmoke

6. Coming of Age: Television in the 1960s
1960: TVs in more than 95% of US homes
1965: TV news expands from 15 to 30 minutes
TV journalism earns praise (Kennedy, Civil Rights; moon walk)
1967: Public Broadcasting Act establishes PBS
Cable grows during the 1960s
Escapist/fantasy fare dominates

7. The 1970s: Growing Public Concern
Surgeon General’s report on violent TV
Modest connection between heavy viewing and violence among some children
Citizen groups (Action for Children’s Television; minority group coalitions) influenced broadcast policy
Cable industry began competing with TV
Programming trends included crime drama, then adult sitcoms, then prime time soap operas

8. The 1980s and 1990s: Increased Competition
Continuing erosion of the big 3 networks’ audiences
Increased competition from new networks and cable channels

9. Cable’s Continued Growth
By 2000, cable reached more than 68% of the population
Channel capacity increased and new programming services emerged
Cable full-fledged competitor to broadcast TV

10. Zipping, Zapping, Grazing, and DBS
VCR in 90% of US households by 2000
VCR impact on broadcast and cable TV
Time shifting, zapping, zipping, grazing
Low-power television (LPTV)
Direct broadcast by satellite (DBS)
Telecommunications Act of 1996
TV program ratings and V-chip
Programming trends: 1980s family-oriented sitcoms; 1990s newsmagazines; 2000s reality programs and cable dramas

11. CONTEMPORARY BROADCAST TELEVISION
Audiences are shrinking
Advertising dollars going to web
Big Four networks using new distribution channels
Digital Video Recorders (DVRs)
Increasing in number; replacing VCRs
Greater reliance on reality shows than scripted shows
TV is on an average of 8 hours per day.
Broadcast networks still best way for advertisers to reach audiences

12. TELEVISION IN THE DIGITAL AGE
February 17, 2009: Official transition from analog to digital TV broadcasting
Advantages of digital television (DTV)
Clearer pictures and sound
More rectangular format
Allows high definition TV (HDTV)
Channel can be subdivided and multiple programs can be sent at the same time

13. Broadcasters Discover the Web
More programs available on the Internet
Broadcasters’ web sites offering more
Full-screen, high-resolution streaming video
Original online content
Social networking options
MySpace pages
Advertising on sites and in streaming video
Podcasts
Local stations still need to do more

14. Broadcasters and Broadband
Broadband: High-speed internet connections
Cable modem; DSL
Supports sending video over web
Networks offer special-interest (non-broadcast) content via broadband
Not yet profitable, but not too risky
Reach younger audiences

15. Mobile TV Broadcasters supplying content to cell phones
MobiTV
Mobile pedestrian handheld technology

16. User-Generated Content
Broadcasters were first to realize potential of user-generated content
America’s Funniest Home Videos
How to relate to video sharing giants such as YouTube?

17. DEFINING FEATURES OF BROADCAST TELEVISION
Universal medium, in about 99% of US homes
TV on for about 8 hours per day
Dominant US medium for news and entertainment
Expensive
Audience continues to fragment

18. ORGANIZATION OF THE BROADCAST TELEVISION INDUSTRY
Commercial or noncommercial stations
Licensed by FCC to serve community
210 such “markets” in US
6 commercial networks plus PBS
Network affiliates
Independents

19. Production Local production Network programs Syndicated programs
Off-net series

20. Distribution Distribution outlets Network-affiliate contract
Broadcast networks, cable networks, syndication companies
Network-affiliate contract
Local station carries network programs
Network pays station (compensation)
Compensation is decreasing and may be eliminated
Syndication companies lease content to individual stations in local markets
Profitable aftermarket for prime time TV series

21. Exhibition About 1300 commercial stations & 380 noncommercial stations
VHF (very high frequency, 2-13) or UHF (ultra high frequency, 14-69)
With cable, differences between VHF and UHF are less important; will be still less important with digital TV
Most local stations are network affiliates

22. OWNERSHIP IN THE TELEVISION INDUSTRY
All major networks are owned by conglomerates
NBC - General Electric
ABC - Walt Disney
CBS - CBS Corp, spun off from Viacom
Fox - News Corporation
CW - Joint venture CBS & Time Warner
MyNetwork TV - News Corporation
Telecommunications Act of 1996
No ownership limit unless combined reach exceeds 39% of US population
Big groups control most TV stations in top 100 markets

23. PRODUCING TELEVISION PROGRAMS
Many people are involved in getting programs on the air

24. Departments and Staff Station Network
Station manager, sales, engineering, production/programming, news, administration
Network
Sales, entertainment, owned and operated stations, affiliate relation, news, sports, standards, operations

25. Getting TV Programs on the Air
Local station: Local newscast is key
Also interviews, sports shows
Network: Prime time programming is key
8:00-11:00 p.m., Eastern
Prime time programs
Program ideas, sample scripts, pilots
About 25 pilots per network per year

26. ECOMONICS TV industry has been profitable since 1950
Ad revenue increased every year since 1971
Changes in the industry are affecting the bottom line of networks and stations

27. Commercial Time Three types of advertisers
National advertisers
National spot advertisers
Local advertisers
Bigger ratings=higher costs for airtime
TV shows also generate revenue from
Product placement
Text messaging fees

28. Where Did the Money Go? Network programming is expensive
30:00 sitcom: $1 million per episode
60:00 show: about $3 million per episode
Quiz and reality shows are a lot cheaper

29. PUBLIC BROADCASTING
Public broadcasting has existed in the US for more than 40 years

30. A Short History 1967 Public Broadcasting Act
Corporation for Public Broadcasting (CPB)
Public Broadcasting System (PBS)
Internal disputes regarding programming
Competition from cable channels
Reduced funding – political issue
Stations looking for other funding sources

31. Programming and Financing
Tension between local stations and centralized PBS organization
1990: moved toward more centralized programming. Ratings remain low
Sesame Street; Nova
354 PBS stations; licensed by FCC
Licensed to 169 community organizations, universities, states/cities
Funding from government, viewer contributions, businesses, grants, etc.
PBS moving slowly into digital age

32. HOME VIDEO DVDs & VCRs common in US households
DVRs (Digital Video Recorders) gaining ground
VCRs and DVRs can time-shift
Home video industry functions:
Production (motion picture studios dominate)
Distribution (record-like rack jobbers dominate)
Retail (retail and department stores)
DVD opened new aftermarket for TV
Retailers concerned about video on demand and premium channels

33. FEEDBACK
The television industry seeks feedback in a variety of ways

34. Measuring TV Viewing Demographic data and viewing behavior
Nielsen Media Research Network ratings:
Nielsen Television Index
People Meter, national sample = 5000
Testing Portable People Meter (PPM)
Nielsen Local-Market TV Ratings
200 markets, 4 times per year (sweeps)
Diary/electronic metering
Nielsen hopes to phase out paper diaries

35. Ratings Reporting
Rating: Number of households watching a program, divided by the total number of TV households
Share: Number of households watching a program, divided by number of households actually watching TV at that time
Sweeps (Feb, May, July, Nov)
Local market people meters will decrease importance of traditional sweeps periods
Determining accuracy of ratings
Media Ratings Council (previously Electronic Media Ratings Council; EMRC) set up to monitor, audit, accredit broadcast ratings services
Sample size: statistically, 5000 is acceptable
Other criticisms may deserve closer attention

36. Questionnaires, Concept Testing, and Pilot Testing
Questionnaires: Networks ask people about their tastes, opinions, beliefs
Concept testing: Networks ask people for reactions to paragraphs describing possible new programs
Pilot testing: Networks show people sample programs and ask for evaluations.

37. Television Audiences TV is entrenched in American life
TV set in 99% of homes; 75% have more than one set
TV is on for eight hours per day; average person watches more than three hours
Viewing is heaviest:
During prime time
In winter (lightest in July/August)
In low-income households
Among people with lower educations
Among females