r. DOCUMENT RESUME ED 254 206 IR 011 518 1 AUTHOR Carey, John; And Others TITLE Modularization and Packaging of Public Television Programs. 'INSTITUTION . Corporation for Public Broadcasting, Washington, D.C. PpB DATE 3] NOTE 11p. - 0 PUB TYPE , nformation Analyses (070) -- Reports Valuative/Feasibikity (142) EDRS PRICE Mr01/PC05 Plus Postage, DESCRIPTORS Cable Television; Instructional Materials; *Marketing; Planning; Policy Formation; *Production Techniques; *Programing (Broadcast); *Public -Television; *Technological Advancement; Videodisc4 ..- ", Recordings; Videotape Recordings IDENTIFIERS *Modularization . .--- 1 ABSTRACT This report examines, the changing relationship betwegn ublic television programming snd°program distribution method and considers whether there is a need to change the design and pad aging of some public television prOgraeming to respond to changes ih the way the audience receives its programming"as interactive cable systems, videocassettes, videodisc, and microcomputers proliferate. Background information covers developments in program packaging and distribution and explores .4design concepts that permit the adaptation of programming for Multiple markets, such as modularization in which a project is -, initially planned with the intent of producing two or more products in varying formats. Legal, econdmic, and policy issues that may Alive an impact ujon program packaqipg for the new distribution environment . are nls outlined. Emphasis is on the use of public tflevision matetia s both to serve educational and cultural needs and to extend the iea of public broadcasting. Appended materials includestory outlines and treatments for a ,hypothetical package including t television programs, microcomputer software, prerecorded i videocassettes, and videodisc, alX created from a single core production; a plai* for station organization for modular projects; and a discussion of negotiation for multi-market televisionproduction. (no) I ***********4*******ii****************************i******************** * Reproductions' supplied by EDRS are the best that can be made * * * ,, from the original document. *********************************************************************** a4 11% uS. DEPARTMENTOFEDUCATION IPAATIONAL INSTITUTEOf EDUCATION EDUCATIONAL RESOURCESINFPRMATION . CENTERiftitC1 iNT/Iti document has, beenreproduced as ht.!,the person of orgenuation C:, ungMarwig.11 4 I MAUI changes hive beenmade to omptove CN.) reproductson weal' °.tt. Points of we* or°pawns stated rn the doCu. ment do not necessartsvrepresent Acta! NfE LIN poseon or poky CV ,t ti w 4 rt. Modularization And packaging Of Public Television Programs a) S ' I. a A Report Prepared For 1 Office of )Policy Development and Plariniog Corpoiftition for Public Broadcasting I 44 Prepared by a I a John Carey ir. With Additional Cdntributions 43y Thomas Gherardi ; HalAold Kappes I 'Mitchell Moss "PERMISSION TO REPRODUCETHIS MATERIAL HAS BEEN GRANTEDBY Corporation for Public Broadcasting 4 TO THE EDUCATIONAL RESOURCES 1-4 INFORMATION CENTER (Etta" 3. TABLE OF CONTENTS' 4 PREFACE , I. INTRODUCTION......'.: mf , 1 ... II. THE CHANGING DISTRIBUTION ENVIRONMENT 3 . 111 . i . _ Figure II-1: Household Video Viewing: Aggregate For All US Households, 5 Figlwe 11-2: An Illustrative Diagram Of . s A Public TelevisionDistribution. 7 Figure 11-3: )An I1lustrative Diagram Of Theatrical Motion Picture'Distri. ion 7 4 III. CONTENT PACKAGING AND THE MARKETPLA . OOOOOOOO 11 , . Technology Development And Audien 4 Preference cik . ft 1. Pay Per View Cable A:2 2., Video Cassette RecordersAnd Video Gaines 14 3. Videodisc' 17 "4: Theatrical Motion Pictures 19 5. Television Networks And Independent Stations. 0 -nr.- DISTRIBUIPIONCLESSONSFROM COMMERCIAL GROUPS 3_2'. A. Film Distribution And Packaging_ 22 !Amble 1V-1: Revenue Streams For KraMer Vs. Krtio)er 23 1. Sequels.,, 24 B. Cable Distribution And Packaging 26 C. Network Television, Independent Stations And Syndicatifon -29 V. ,PUBLIC TELEVISION PRODUCTION AND DISTRIBUTION A PATTERNS.. 3! Cable N.7-1: Sources Of Public Television Programming 32 Table V-2: Public Television Programs By Content Category 34 Table V-3: i}udio Visual Equipment In pplace 35 Table V-,4: Audio Visual Delivery 4ystems Used 35 A Table Vr5: Ten Subject Areas :lost Ftequently Planned For Inclusion In Next Year's Audio Vistal Progrm.e 36 I A $ VI.. MAKING DECISIONS.ABOUT MODULARIZATION AND PACKAGING 39 - X: Desgn.... e r 40 1. Extended Use Of Resoles 41- IP 2." Cataloguing ...I. , 41 ilL 3. Reworking Old `1.iiterials For New Products / 42 ,. 4. Length Of Programming . 4U00. 5. Pilokpisodes i" 1."41!. B. Economic d Organizational,Issues.. 43 1. Extern 1 Project .Funding And Relationships With Dijtributors, Licensees and Coproducers... 44 2. Internal Financial And Managemitt issues....... g ., C. Contracts _And Legal Iisues , The. Nature Of The Program(s) To Be Produced L4t1 ended Markets For The Programs- 6. A9 3. S e Of Rights , . 49 . 4. Ducat Rights 1..f:I..4..t.. , 50 ..TablVI-a: SelegteeProgiam EleAnts, CAntributing Parties An4 Standard Pights Available -, '52 VII. CONCLUSION; MODULARIZATION' AND PUBLIC BROADCASTING POLICY 55 1' APPENDIX MATERIALS t VIII. A SAMPLE PROGPAM PACKAGE WITHtf:ODULES 60 . A. 'Core Production..,0 , &O ( . B. Spin-Off Modules a 44'." 416' 4 Exhibits: The Tiger And The Lady 63 ? Citl,scapes .. .69 Fire . 74 i . Chicanery And Fraud i 77 1 IX. STATION ORGANIZATION FOR MODULARIZATIOPPOJECTS 79 A A. Setting Objectives 80 'B. Oiganizational Structure And Podularization 81 C. Analyzing Modularization Oppottunlities gib . Capitalizing,'Budgeting And Cost Accounting...., 86 1. Capitalizing The Project 87 2. Raising Capital For A Modulariz ion s. Project a. 89 3. Budget Considerations 90 `CostCost Allocation And Accounting .. Considerations 93 E. Project Control Systems . 98 'NEWTIATING FOR MULTI-MARKET TELEVISION PROQUCTIONS / . 99 . x 11 rf- so I 4 / it f PREFACE. 0... P The mission of public brdadAsting-includes a primaiy goal of facilitating the development and produ6tion ofexcellent creative and innovative programs of a cglturalj iriform..pionalor educational nature, for `broadcast toa national audience. PubliC broadcasting also adheres to a goal of serving diverse. audiences' . for their distinct needd. This study addresses an opportunity for public broadcasting to respond to changes in theway the audience deceives its programming#,asthecnterprise faces the need foi innovative approaches.to reachabroaaer eadiencewith financial resources that ate growingmore slowly. The communications environment has changedas thd American public receives'an increasing share of its programmirig from "secondary. distribution, paths, suchas cable s fvices, videocassettes, interactive videoorsuppleqntarypersonal computer software. The use of technologies which allow theft new paths cfidistributionrepresents an opportunity for public broadcasting to reach .new audiencesor the same audiencei with 4ra targeted programming approach that meets the'diverseeneedsof that audience. .Futthermorerwithpriver planning, this modular- ration ofProgrammingslin bejaccamplished with efficientuse of limited resources, by planning, and designinga production from tde start with its secondarydistribution possibilities in mind. / 6 ft z This.study,1Dy Dr. John Carey, describes the modularization process as a way to create more programs at lower unit costs in the service of educational or cultural objeCtives. The report is a general overview of considerations which relate to programming V for _multiple uses. The inteqded audience for' this report consists of public television stations and licensees who are not currently involVed in the secondary maikets, yet who want to understand the Lm?lications .$4. those markets In order to design occasional productions around potential new uses. I q Richard .Grefe Director at Policy Dei/elopment and Plannizig Corporation for Publ'i'c Broadcasting A eno I 4 s. 7 1. INTRODUCTION :The purpose of this report is to examinethe changing relationship' between public televisionprogramming and the means to Aistribtte programming. As interactive cable systeds, video cassettes, videodisciand personal computers proliferate? is there a need 'to change theway some public television, programming is designed and packaged?Typically, those involved in the creation of programmIngfocus most of their attention upon 'content, audience needl'andfunding of the projecI. Qistr 'tbution or, morn. specifically,the implications which can be drawn froman analysis of the distribution chain for program design and packaginggenerally receives secondary attention, However the proliferatioft ofways in which programming can be distributed as well as complex issues ofaudience access, revenue streams and media characteristics ofnew telecommunica- . tions technologies have created ,a need to reexamine howpublic television content is designed, packagedand distributed. This report has three general A goals: (1) to -inform readers who have not followed closelydevelopments in,program packaging and distribution; (2) to exploredesign concepts that permit 1 the adaptation of programming for multiplemarkets; and, (3) to outline legal, economic andpolicy issues that may have an impact upon program packaging for thenew distribution environment.' The'treatmentofvrtechnologies and public television programming is couchedwithin the framework of 0 public broadcasting's unique mission. It emphasizes the use F of public television materials to serve educational and cultural needs