Wednesday, December 2, 2009

Cable Networks Vying for Shelf Space

Search For the Amazon Headshrinkers? When Crocs Ate Dinosaurs?

The National Geographic Channel really worked it to get your attention with the Expedition Week line-up, which aired November 15-21, its answer to Discovery Channel’s annual hit, Shark Week. Now calling itself simply Nat Geo, the network underwent a major makeover. Last month, it debuted a new call-to-action tagline: “live curious.”

Targeting 25-to-54-year-olds, Nat Geo has been able to grow ratings for the past six years. With countless more tune-in choices to compete with every day, how does the network do it?

The answer can be found in the snack food aisle. Steve Schiffman, the National Geographic Channel’s General Manager and EVP, recently spoke at the Cable Mavericks Lecture Series at Northwestern. He drew parallels between consumer packaged goods marketing and entertainment marketing.

For instance, Nat Geo benefited from the cross-promotion of two seasoned labels – its #1 show The Dog Whisperer and PETCO, the retailer of show host Cesar Millan’s products.

In true brand-follower form, Nat Geo imitates Discovery, hence “reactivating” its image to keep up. But Nat Geo must be careful not to discard its historic pedigree, its true differentiator.

Today’s cable distribution model, much like a supermarket, allows a multitude of networks the chance to draw in consumers. The downside is both carry the threat of the private label. What’s the Safeway Select of cable? Look to the potential merger of Comcast and NBC Universal for a whole new type of station with a more efficient subscription-to-advertising revenue model.

What can Nat Geo learn from CPGs in this case to maintain its market share? Better, more nourishing ingredients. The Discovery Channel has infused its brand with its show hosts, characters who viewers can’t get enough of.

How will Nat Geo combat this threat?

--Susan Monahan

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