Will
You Pay toNo, you say? Well, what about CBS' CSI? Would you pay just 99 cents to watch a repeat of one of the top-rated shows in primetime television?
Still no? How come?!
Oh, I see. You would be sure to record the show on your VCR or DVR rather than have to pay for 'free' broadcast TV.
That makes sense, doesn't it?
Then why did NBC and CBS announce last week that it would begin selling repeats of primetime episodes for 99 cents each on DIRECTV and Comcast, respectively?
More Revenue?
The networks will add the primetime shows to an on-demand menu just a few hours after they air. (Comcast and CBS will launch their service in January while owners of the new DIRECTV DVR can begin watching NBC shows on demand when the receiver becomes available this month.) Unlike the airing on the network, the on-demand program will contain no commercials.
The networks say they hope to increase revenue by tapping demand among viewers who forget to record their favorite shows or are simply curious about a show they have never watched.
However, considering that the programs are available for free -- and easily recordable with either a VCR or DVR -- it seems unlikely that many people will take advantage of the offer. In addition, many viewers are already feeling taxed by growing cable and satellite programming bills.
Some network executives have argued that the rising sales of TV shows on DVD proves that people will pay to watch what was once free. However, the DVD analogy is weak because, unlike the on-demand show, the DVD buyer gets to keep the disc. In addition, most TV-based DVDs store an entire season of episodes, which makes the product more valuable.
So is this yet another example of an industry launching a technology service that no one really wants?
Perhaps, but there may be more here than meets the eye -- the eye of the viewer, that is. Even if people don't plunk down their 99 cents, the networks stand to benefit from pushing a pay-to-watch service.
And here's why:
1. Getting Free Advertising
The networks' on-demand gambit is already generating massive media attention, which is great publicity for the shows included in the service. In addition, the actual on-demand menu will serve as a reminder for viewers to watch those shows, regardless of when they air. Even if no one pays 99 cents to watch, the shows' ratings should get a small boost from the extra promotion.
2. Higher DVR/VCR Viewing
Knowing that they will have to pay 99 cents to watch a missed episode, more viewers will be sure to record the show. With a price tag attached, a network primetime show will have a higher value in the minds of viewers and, therefore, be more desirable to watch.
3. Improved DVD Sales
The introduction of the pay-to-watch concept will encourage even more people to buy TV shows on DVDs. Despite the boom in TV DVDs, many consumers are still reluctant to pay for what was once free. The on-demand service should help to break that barrier down.
4. Preparing for Internet TV
In the coming years, the networks will be able to offer hundreds of current and past shows to owners of Broadband-enabled TVs. The viewer will be asked to pay a small fee to download a video from the Internet, which would then be streamed directly to his set. By introducing the pay-to-watch concept now, the networks will have an easier time offering a Internet-based pay service later.
So, to answer the question posed in this article's headline, no, few people will now pay to watch free TV. However, the very idea of free TV is evolving before our very eyes.
What was once free may no longer be.
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Phillip Swann is president and
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