>
> As for citing the free nature of OTA television, the reason behind ABC
> making this move is because it is hemorrhaging OTA viewers and rather than
> try to cultivate the online audience they have, they want to force some of
> them back to broadcast.
>

I want to think about this particular claim, that ABC closed the free
online streaming window to build its live broadcast ratings, a little more.
In its press release ABC suggests that the move was made to help protect
its cable partners (“Pay TV service providers are a key part of the
television industry in delivering broadcast content through new technology
platforms"). I think this is likely to be the main reason.

However, TVBTN has reported that Live+7 ratings have not had any
significant contribution on a programs chances of being cancelled or
renewed (thus, it would follow, also no impact on ad rates). My first
thought was that this meant that there were not very many additional
viewers in the 7 days after broadcast, making it unlikely that ABC made
this change to turn delayed viewers into live viewers. But then I went back
and check the actual numbers. Scandal had 9.3 million total viewers for its
last fresh episode (it is the 2nd highest rated scripted program on
television, and the highest rated drama), but added 50% more viewers in the
7 days after initial broadcast. That is a pretty good size pie, and if ABC
could get, say, a million of those delayed viewers to watch live it would
significantly increase ratings in the period that does impact ad rates. So
maybe this is part of the motive.

Except - assuming here that the Live+7 numbers include online viewing at
abc.com and hulu, and DVR and cable-based On Demand viewing, it is not
clear how much of that is from the online viewing. I suspect the lion's
share of that is DVR and VOD. I am now interested in knowing how many
viewers watched Scandal in its mid-season finale at abc.com and hulu
combined. I will be very surprised if that number is 1 million or more, and
not at all surprised if it is less than 500,000 - I will make my guess
750,000. To increase Scandal's ratings by even 5%, the closing of the free
7 day streaming window would have to move about 450,000 delayed viewers to
live viewers. If there were 750,000 delayed online viewers, they would have
to get 60% of them to switch to live viewing (and if there are somewhat
less than 500,000, as I suspect, they would have to get just about all of
them to switch to live).

So, it seems unlikely to me that ABC made this move with any serious hope
of significantly (at least 5%) increasing broadcast ratings for its
programs. This is based on the assumption that authorized, free online
streaming makes up less than 25% of the time-shifted viewing during the 7
day window, and that less than 50% of those who do stream during the window
would switch to live viewing. I am interested in having these assumptions
checked against actual data if anyone has access to it (I could not find it
from a casual google search).

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