The comparisons between traditional TV and online video never stop. Some common comparisons are:
Online will disrupt and eventually kill TV.
TV will never die because of viewer habits, the user experience and their entrenched business model.
Blah blah blah…on it goes. Who cares? Not the point of this post.
What is syndication? In a nutshell, it is where the real money is in TV. As a general rule, when a half-hour show produces 100 episodes, roughly 5 seasons, it can then be sold into syndication and shown off-network.
For example, Seinfeld aired as a first run show on NBC. Now it airs off network on hundreds of local stations around the country. That’s an example of syndication. But Seinfeld was always popular and made a lot of people associated with it extremely rich. A better example of the money-making power of syndication success might be a show like Star Trek, which only aired for 3 seasons in the mid-1960s and was not all that popular at the time. Nearly 50 years later, however, we’re still following the same bold voyages of the starship Enterprise.
Star Trek might be the original example of the “long tail.”
All this occurred to me when I read about the demise of “Diggnation.” Online video is often about immediacy and is often unscripted. (I am generalizing to make a larger point.) Online video shows also seldom adhere to a strict 30-minute length. Yet at its peak in around 2006, Diggnation was arguably the most popular show online and as of this writing, they have produced over 300 episodes. (They will cease production in December 2011.)
So, what happens to all that inventory? Who is going to go back and watch an episode from 2007 speculating on the launch of this new device called an iPhone? From a business standpoint, these episodes have no more value than a CNN half hour about a snowstorm in Tennessee in 1987. Archival? Sure. Revenue generating? Nope.
When I think about the long term viability and the business model for online video, this strikes me as a major issue that needs to be sorted out. If the “real” money in television is in syndication, where will it come from in online video? I don’t have the answer, but I also don’t really hear the question being asked.
What do you think? Is this an insurmountable block for online video producers and other content creators?