2waytraffic - Competitors

2waytraffic Competition

Now Viewing 2waytraffic's competition in: TV Program Production and Distribution (primary)

Recent Developments

Strike Affects TV Production Business Model - The three-month Writers Guild strike that ended February 2008 contributed to changes in TV program production that analysts predict could have long-term effects. Only half the typical number of pilot shows had received commissions as of May, according to Variety, leading networks to find alternatives for getting material ready to air. Some networks have reduced their total number of pilots, taken scripts straight to series, and increased reality and sponsor-branded entertainment shows. These approaches bypass the costly commission process and reduce production costs.

Summer Series Extend Viewing Season - Broadcast TV networks are following the lead of cable TV by extending the conventional autumn-through-spring season for original scripted shows. For summer 2008, CBS has two new scripted series, "Swingtown" and "Flashpoint," during months that typically feature reruns and reality shows. NBC is launching an original series in summers 2008 and 2009. Fox continues to either extend scripted programs beyond the season or start them early.

Consumer Prices Rise for Pay TV - Viewers are paying higher prices for pay TV. US consumer prices for cable and satellite TV and radio increased 3.6 percent in March 2008 from year-earlier levels. Average annual prices increased 19 percent in five years. Price changes reflect the market's willingness to pay for TV services.

Competitive Landscape

Consumer leisure activity and the general economy drive demand. The profitability of individual companies depends on the marketability of products, mainly their potential to attract advertising revenue for TV networks. Large companies have advantages in financing, distribution, on-staff creative and technical talent, and multiple-year contracts with key performers and directors of popular programs. Small companies can compete successfully by focusing on special topics, niche audiences, or non-mainstream TV channels. Production work is labor-intensive: average annual industry revenue is about $200,000 per employee, although a typical small company earns about $70,000 per worker.

Full Industry Overview For TV Program Production and Distribution

TV Program Production and Distribution Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US TV and radio broadcasting is forecast to increase at an annual compounded rate of 4.2 percent between 2007 and 2012.

TV and Radio Broadcasting Growth Steadies

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.