Tuesday, March 3, 2009

TV Everywhere -- As Long As You Pay for It



This article is about Time Warner CEO,Jeff Bewkes idea to put more TV on internet, and make consumers pay for the service. We know that Time Warner is the largest owner of cable networks here in United States, so they need to keep up with costumer’s need nowadays. Bewkes’s plan is to put all cable programming on the web like Hulu, Myspace, Yahoo TV, and Youtube. His catch is you will have to prove you have to pay cable service, satellite, or telco to get it. According to Leichtman Research Group, “that online video usage continues to grow in the past year.” People spent most of their time in front of computer rather than on television. These issues that make Jeff Bewkes change his plan in presenting cable programming in different form.

This article caught my attention because I spent most of my time in front of computer and I always watched my favorite TV shows on Hulu. The idea that we have to subscribe to cable services to get it is really good because they don’t want to lose their customers.

This past Christmas break, I worked in TBG, incorporated and their client is AT&T. AT&T now provides cable, internet, and home phone service called U-Verse. One of my managers told us that there are two businesses that would not get affected with economy crisis, which are alcohol and cable services. I know its sounds terrible but sadly it’s true here in United States. People spent their money on alcohol because they get frustrated and stayed at home watching TV. Our generation is all about new technology and we want to watch our favorite TV shows on anytime and anywhere. Especially With smart phones that we have nowadays we will not depend on television anymore.


However, there are a lot of people that didn’t have time to watch TV because their job that required them to work all day long, so they have to watch TV is on their cell phone or computer. Time Warner made good decisions to work together with Hulu because Hulu has built four largest video services in the web for the past year and they also increased TV rating by 10% this past year.

Finally, good marketing strategy is the key to keep your business on top through economy crisis. Not only cable services that have to change their form from TV to internet but also other media like newspaper have to change their form to survive nowadays. For instance, USA Today has new application that you can download on your I Phone, so you can get news anytime and anywhere.

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