TV Program Production & Distribution

TV Program Production & Distribution

Brief Excerpt from Industry Overview Chapter:

Companies in this industry primarily produce, or produce and distribute, television programs, television commercials, or videos. Major US-based companies include the television production and distribution operations of Disney, NBCUniversal, Paramount, Sony Pictures, and WarnerMedia. Newer, but increasingly significant, entrants in the field include streaming services Amazon MGM Studios and Netflix. Leading companies based outside the US include Fremantle UK and ITV (both based in the UK).

COMPETITIVE LANDSCAPE

Consumer viewing patterns and spending by advertisers drive demand. The profitability of individual companies depends on effective marketing. 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 or niche audiences. TV program production and distribution is part of the motion picture production and distribution industry, which is concentrated: the 50 largest US companies account for about 75% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products and services are the production and distribution of TV programs, commercials, and related products, like DVDs. Licensing of rights to distribute audiovisual works account for about 55% of the industry revenue, followed by broadcast television licensing rights (about 40%). Other revenue sources include audiovisual performances under contract and rental of audiovisual works. Program production types (genres) include TV movies; dramas; situational comedies (sitcoms); reality, game, and talk shows; documentaries; and children's, art, sports, and news programs. Most programs are scripted, though...