Labor strikes in the USA will stop work on movies, and on shows for streaming and TV. Entertainment enterprises and labor members agree the strikes are about how content is watched. A large issue is the use of “AI” to create and produce shows. A risk for all is how advertisers will see impacts from less new content on their advertising campaigns. In the end the power will move further from the two sides in conflict to the audiences watching.
Consumers (and the advertisers) will have the ultimate say in the economics of content creation. The importance is the shift of power to advertisers demanding actual ad-exposures and verified metrics (click-thru’s) of interest. The data is important to all sides. The availability of checkout-scanner data shifted power back to high-volume shopping experiences (Walmart, Target, Kroger, etc) from manufacturers. The availability of audience/ad viewing data will shift power back to consumers (and advertisers).
Past labor actions and compensation demands changed the media content paid for by large scale distributors. Writers’ compensation changes brought about ‘reality TV’, content creation models from Amazon and Netflix, and ‘lifestyle content’ (think cooking shows and outdoor experiences). ‘Binge viewing’ on streaming content has shifted content creation and production to fully-completed series prior to first availability. Subscription numbers for podcasts and influencer content still vary as an audience votes with money on Patreon and other direct-to-creator schemes. Online views have shifted (as has Covid-19) movie theater experiences and closeness of online viewing. Early financial losses while growing subscriber numbers and securing content media rights have resulted from customer and content acquisition costs. These are likely to reduce in many global markets as consumer choices stabilize. Individuals’ consumption choices and habits continue to change – vexing traditional media outlets more than digital outlets with more agile responses.
"Live" was thought to be a consumer-winning strategy against cable-TV/sat 100-channel competition. “Daily Live” content (sports events, same-day talk shows, news/interview programs, etc) shifts with content creation costs. Losing same-day talk shows (due to the writers’ strike) reduced revenues (due to replays) for some of the most profitable traditional media (broadcast and cable TV) content. Viewership changes due to business model changes for sports (ESPN in USA, cricket in India, soccer) has resulted in staff reductions (including on-air talent). At the same time, large newspaper syndicates are reducing their sports coverage due to permanent losses of readers/viewers. News (and news/content business models) is also searching for less expensive content creation with social media reducing the value of journalist staff roles. Cumulative losses have lowered competition from “New Media” news outlets. Consumer individual choices are forcing business model economic changes on content creation in ways unforeseen by media producers – traditional and Internet media. Permanent changes in individual consumption habits could reduce the economic power of all sides if a long content creation pause results from labor conflicts.
Content producers and media distributors have seen "Aliens Invaders" on their turf. In the next segment EkaLore will look at the changes from people consuming content with online ads.
For more information and other releases about the Alien Invaders into media see our site at http://www.ekalore.com
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