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Features: Kellner - Without Advertising, We Will Damage This Country
Posted by Ernest Miller on Friday, October 18 @ 10:32:27 EDT Consumers
The last time LawMeme discussed Jamie Kellner, chairman-CEO of Turner Broadcasting System, we ridiculed his claim that skipping television commercials was theft (Top Ten New Copyright Crimes). Well, he's back saying foolish things, this time in in AdAge.com (Turner CEO Lambasts Ad-Avoiding Technologies). For your enjoyment, LawMeme provides a full diagnosis of Mr. Kellner's recent bout of foot-in-mouth disease:

"I've been a fragmentor. I'm starting to get nervous we're too fragmented."
Translation: "I've created a monster and I'm not in control anymore."
Frankly, it is odd hearing these words against fragmentation coming from the man who runs, among other networks: TBS Superstation, Turner Network Television (TNT), Cartoon Network, Turner Classic Movies (TCM), Turner South, Boomerang, TNT Europe, Cartoon Network Europe, TNT Latin America, Cartoon Network Latin America, TNT & Cartoon Network/Asia Pacific, Atlanta Braves, Atlanta Hawks, Atlanta Thrashers, Goodwill Games, Cartoon Network Japan, Cable News Network (CNN), CNN Headline News, CNN International, CNNfn, CNN/Sports Illustrated, CNN en Espanol, CNN Airport Network, CNNRadio Noticias, CNN Interactive, CNN Newsource, CNN+, and CNN Turk.
Actually, though, that is not the fragmentation to which Kellner is referring. Kellner has been a fragmentor indeed, one of the foremost practitioners of "multiplexing" - in which a single, new television show is shown multiple times during the week and/or on multiple channels. So, for example, Charmed is shown on the WB and then TNT. As recently as June of this year (Update Magazine Online Jamie Kellner: The Economics of Success), Mr. Kellner was saying, "How can we afford to keep paying for these expensive programs? We can either try to cut everybody's salary, which nobody wants, or we can find other ways for our programming to generate more revenue, and multiplexing is the best idea I've seen so far." By multiplexing, he adds, "you create fragmentation - a new model."
In the Update Magazine article, he continued, "Advertisers right now are not interested in paying very much for anything. It's a buyer's market, and they're not going to give you much of a break. I think we are going to see more of this in the future. It's good for the viewers, and it's good for the advertisers. And I don't think it will damage the networks, broadcast or cable."
He seems to have changed his tune, unfortunately:
"All things good for consumers are not necessarily good for the economy."
By "the economy" he means his industry.
Whenever times are tough CEO's want to blame the consumer. If the consumer didn't have so much choice, if only they could be forced to buy (or watch) our brand. Smart businessmen figure out ways to entice the consumer. Soon-to-be failures blame them.
Back in April of this year, however, he was saying (LA Time's CalendarLive The New Instant Replay) "We have to find a way to make television more convenient and more consumer-friendly." He continued, "New viewers are getting to see these programs. That has to be good for the business." Apparently not. And when consumer benefit hurts his business, consumer benefit is suddenly not good for the economy as a whole.
"I'm not against PVRs. I've used it [sic] myself." But, he warned, "the business cannot exist as its current model is today unless consumers are willing to give time for you [marketers]."
Bingo! Maybe we need a new business model. Rather than innovate in response to progress, however, Kellner prefers to block innovation.
"I believe advertising has driven this country. Without advertising, we will damage this country."
No comment.
Mr. Kellner also urged marketers to support "multiplexing," the growing trend of sharing content across more than one network. Others have called it "repurposing." He contends that programs played multiple times in one week, either on the same network or on another, can deliver two to four times more viewers with little duplication. "Try to expand your reach and be an innovator," he said.
Oh, wait. Fragmentation isn't bad, we should support more of it. Nevermind.
[ via The Shifted Librarian]
 
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Related Links
· Turner Broadcasting System
· Top Ten New Copyright Crimes
· AdAge.com
· Turner CEO Lambasts Ad-Avoiding Technologies
· Charmed
· the WB
· TNT
· Update Magazine Online
· Jamie Kellner: The Economics of Success
· LA Time's CalendarLive
· The New Instant Replay
· The Shifted Librarian
· More about Consumers
· News by Ernest Miller


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