The Web is Branded Entertainment

Aside from a tiny number of paid or subscription services it seems to me that the vast majority of the web is ad-supported in one way or another. There has been plenty of discussion, pro and con (here’s a good example), as to whether or not this model can support the growth in web video but we’re definitely gonna find out.

Beet.tv has a good interview with Fred Seibert, the creative director of NextNewNetworks about the current  role of product placement in web video.  Fred’s a pretty smart guy and worth a listen.

There does seem to be a role for sponsored programming on the web but not at anywhere close to the budgets most producers have grown accustomed to. The truth is that nothing on the web consistently draws the number of viewers that currently watch TV and without focused consumption by a broad range of consumers advertisers are not going to pour their money all into one or two efforts.

This means smaller budgets for creators and producers in-line with their audience size.

NNN Gets Mo’ Money

Tilzy has a nice post on NextNewNetworks influx of cash ($15M from Goldman Sachs and Velocity Interactive Group).  ”The risk that so scares Hollywood executives is amortized: new media studios like NNN will thrive by finding and serving modest sized audiences, not by pandering to the lowest common denominator (aka creating hits), but by creating and experimenting. “Tilzy also has links to other relevant coverage.  I’ve yet to find an NNN site that really thrills me but they’ve done a nice job showing how niche content can be a sustainable business model. 

Mass Syndication

Some commentary from Mashable about NextNewNetworks deciding to syndicate to MySpaceTV.  More and more content distributors are realizing the need to actually use the internet for what it is designed for – mass distribution and copying – instead of trying to force it into old models of media behavior.

The big question is, if all the current distributors begin to cross-pollinate and I can find the same things everywhere I look, what is the fate of sites designed around the idea of drawing traffic directly to them.

As tools for “curating” (see my earlier post) expand and I can self-design a “site” that collects everything I want to see and consume, thus saving me the trouble of surfing completely, i think there will be a major shift in the relationship between content creators and those in the role of distributor.