On October 13, 2016 a Skill Bill Start workshop “TV and Film Producer in New Reality. Strategic vision” took place. The workshop experts were Vladimir Lokotko, general manager of Novy TV channel, and Sergey Yevdokimov, general producer of Novy TV channel.
The amount of those wishing to attend the workshop exceeded the capacity of our study hall. Therefore, we prepared some brief points of this presentation.
First of all the experts reminded the audience that the notion of “producer” is commercial, so a producer’s final goal is to obtain profits. Good producing should be based on this axiom. The popularity of any idea implemented into a project is checked using TV rankings and box office results. Both rankings and sales mean profits, so it is about pure math as well as creativity. There may be iconic projects where profits are not the first priority. Still, a producer is to understand which revenues from other projects can be used to cover the expenses for such product.
There is a question to ask: do you need rankings at any cost? Vladimir Lokotko believes it is not so. Any program should match the TV channel concept and positioning. However, one should not forget about the price. For example, Novy TV channel does not commission projects with the cost above certain level.
All market participants have had to face a new reality. Ukrainian advertising market is very small, therefore each TV channel looks for a strategy to match its goals. Novy TV channel decided to make products only for evening prime time (the time with maximal profit concentration). Another item of anti-crisis program is the diversification of revenues, i.e. search for additional financing. For example, this may be selling rights to TV broadcasts of own content at other territories or getting revenues from online broadcasting. In 2015-2016, Novy TV channel landed content rights sales agreements to other countries for the total sum of 1 million USD. Such sum won’t fully finance the TV channel’s functioning but it has still become a good help for moving forward.
Except the Internet, TV channels are also looking for new forms of cooperation. A good example of this is the partnership of Novy TV channel and FILM.UA Group. The TV channel took part in working on The Stronghold, a theatrically released film made by FILM.UA. The latter stayed exclusively with production while Novy TV channel took up an obligation to promote the project. Being a national broadcaster, the TV channel has significant resources for promotion. Therefore, it will bear equal project risks with FILM.UA or obtain its share of box office profits.
When working with the idea, the producer must precisely define the target audience and the format of project implementation.
Sergey Yevdokimov dwelled in detail on the understanding of target audience. Novy TV channel positions itself as a TV channel for young people. The audience for measurement is 14-19 age category, living over the whole Ukraine. The audience nucleus is made up of those aged 14-30/35. Another TV channel’s definition of the target audience is “for everyone young at heart”. In this case the channel has a lot of competitors outside television – YouTube, other online leisure options and various realistic alternatives to the time spent in front of the TV. All this is to be taken into account.
The following parameter of target audience is gender. Traditionally women watch more television than men. As for perception type, they are more interested in emotional content while men prefer rational information even when they are resting. Women are also more loyal viewers; they will come back for their share of emotions every day.
What is even more important is the viewer should recognize him or herself in the images on the screen. This means that the programs are to broadcast values, ideals and goals of the target audience.
Using the example of Novy TV channel, we discussed the values of its audience:
What cannot make it to Novy TV channel? For sure it’s pain, sufferings and problems, i.e. depressive content.
It is essential not to try to cheat the audience. If the viewers feel hypocrisy, they leave immediately.
When creating a prime time project, Novy TV channel also tries to create a memorable event.
Then we moved to discussing the content itself and the ways to fill up programs.
A TV channel has two options: 1. Buying readymade content. 2. Creating own content.
Buying readymade content can help save up on costs but won’t probably bring anything new.
By creating its own content the TV channel opens up more opportunities. A good example is Love to Survive project. Based on the values of the channel’s target audience, the project obtained a share 40 to 50 per cent more than Novy’s average share. As for the format, the project can be classified as a reality show, but the authors’ basic idea was more like a psychological detective story; this brought additional perks to the project and allowed to go beyond the traditional format interpretation. The form of the show is to test a relationship in an exotic setting: the shooting was done in Thailand. However, we have to remember that from the first conversation till the broadcast of the project about two years passed. This time was needed to write out the format. During the first year, a pilot episode was shot, the team was changed, there were lots of trials and errors. But it was worth it. Now the format is sold to other countries by an international distribution company.
Even when Novy TV channel buys a readymade format, it often adapts the product for its target audience. This is what happened to Kyiv By Day and Night. Initially the format is German, and it has been broadcast in Germany for five or six years. But literally after one or two episodes shown in Ukraine it became clear that the show doesn’t work in its initial form. Therefore, the format was transformed from mere seriality into a series with a solid plot.
Another adaptation is Celebrities Hypnotized. The original French format, initially a bit tedious, was adapted into an easy and funny one, a better match for the audience’s values.
In general, Novy TV channel pursues the goal of creating original and dynamic content.
Moving to production issues, the experts reminded the audience about the eternal opposition of creativity and financial capacities. Each time this opposition is solved differently. There is no universal recipe.
In the opinion of Vladimir Lokotko, it is ideal when the channel produces 100% of its grid, but presently such production is not cost-effective in Ukraine.
When making a choice between in-house production and outsourcing, Novyi TV channel notes the benefits of bring a part of StarLightMedia, a big media holding. Production inside the holding ensures prices below the market and good understanding of the channel’s policy; still, this does not prevent Novy from commissioning a part of its content from external producers.
However, no matter who produces the content, the commercial terms and approved budget are to be as accurate as possible. It is important to clearly understand who works when and how much it costs.
In Vladimir’s career, there was Show Must Go On project. The decision about project launch was made in July 2012, and the project was on air in October of the same year. But this is an exception, not a rule. Normally, the project stays in the production stage for about 9 months.
When looking for financing, you should not forget about barters. If there is a possibility not to pay “real money”, do so, negotiate with brands and locations. They can be convinced in the profitability of your offer. Sponsoring is another source of financing. In this case the sponsor becomes a co-investor.
When filling up the grid, always think how many screenings this product can endure. Novy TV channel is directed at multibroadcasting.
The following stage of working on the product is its promotion.
Ukrainian television, just like television in most countries of the world, has a seasonal nature. Traditionally, autumn and spring seasons are singled out. In this connection, the TV channel prepares several promotional activities:
- Announces the celebrities
- Sets a special mood
- Provides visual anchors
There must be many promos. Only this will help the audience to remember. However, the number of forms should be moderate so that the consumer is not confused.
The channel’s interaction with Internet audience was shown using Kyiv By Day and Night as an example:
The experts also briefly talked about the achievements of Novy TV channel presentation on the Internet:
Coming back to the sales, the experts reminded yet again about four main opportunities for monetization:
In 2016, for the first time in many years the channel managed to have a profitable broadcast feed.
In the end of the workshop, there was a Q&A session during which the experts talked about their path towards producing, discussed possible new topics for series and sitcoms as well as possible new shows for Novy TV channel, among other topics.
We are looking forward to seeing you again at FILM.UA Faculty! On October 27-28, 2016 “Skill Bill Pro practical course on developing ideas for the series. Treatment and pitching” will take place. The course envisages participation with a project (selection from preliminarily sent treatments) and without it (anyone who wishes to observe); it will be useful for screenwriters and producers alike.
