What does the TV station rely on to make a profit?

With the development of mobile Internet technology, new forms of communication appear, in the context of media convergence of the radio and television media industry mainly has the following profit model:

I. Content selling profit model

In the traditional development process, the broadcast media follow the content selling profit model, the broadcast media with high-quality content resources to attract the audience's attention, and then the The audience's attention resource advantage into economic benefits. This model mainly focuses on the production and broadcasting of high-quality programs to attract the attention of the audience, and then sell the audience's attention to advertisers, placing advertisements at the moment when the audience's attention is most concentrated, so as to obtain a high amount of advertising revenue. Advertising fees become its main source of income.

Taking Hunan TV of Hunan Radio and Television Media as an example, Hunan TV's advertising revenue in 2016 was 11 billion yuan, and other revenues were 9.5 billion yuan, and advertising revenue is still the most important source of income.

Second, economy of scale: verticalized industry chain profit model

Verticalized industry chain profit model is mainly to extend the value space and life cycle of the product in a linear and deep way, and on the brand image of the existing upstream products, it constantly digs deep to develop the middle and downstream industry chain. The main performance is the opening up and excavation of the IP industry chain. Radio and television media mainly focuses on the IP industry chain, and develops upstream and downstream respectively, in order to obtain greater added value of the products.

The upstream is mainly the development and production of programs, at this stage, content is king, taking into account both UGC and PGC, the broadcasting media to produce popular cultural products and at the same time need to shoulder the responsibility of the media of public **** service. At this stage, the main modes of operation are self-production and self-sale, purchase of program copyrights and separation of production and broadcasting;

The midstream of the industry chain is mainly the production, marketing and broadcasting of programs, which is the core link of the industry chain. In addition to the quality factor of program production, the marketing strategy and broadcasting platform of the program are also crucial to the program.

The downstream of the industrial chain is mainly the development of derivatives. This stage mainly involves the influence of the program after the link of production, marketing and broadcasting, which leads to the extension of the subsequent products, which can not only improve the influence and topic degree of the program itself, but also extend the program's brand space and advertising space, bring more economic income with the program brand and stretch the program's industrial chain.

Taking Hunan TV's parent-child reality show "Where's Dad" as an example, in addition to the advertising revenue from the program's broadcasting hours, Hunan Radio and Television's Sky Entertainment Media, which produces the movie of the same name, has gained notable box office revenues, and the "Where's Dad 1" movie, with the good foundation laid by the popularity of the variety show of the same name, has gained 700 million yuan of box office revenues in 2014, which is called the "return on investment of all time". "the movie with the highest return on investment ever".

Three, scope economy: horizontal integration industry chain profit model

Scope economy is an important way for broadcast media to realize profitability. Because of the different geographic regions to which the broadcast media belongs, its own brand resource advantage is not the same. The broadcasting media can carry out the brand resource advantage of interaction **** enjoy, reduce costs, create horizontal integration industry chain, realize the scope of the economy.

The horizontal integration industry chain profit mode is mainly horizontal resource integration of the media industry chain, through the integration of large radio and television media enterprises merge and integrate smaller radio and television media, so that the advantageous resources of the radio and television industry to focus on the expansion of market share and occupancy, to obtain the corresponding range of economic and synergistic effects.

In this mode, the broadcast media's main focus on improving core competitiveness, and other non-core business outsourcing to the cooperative enterprises to complete, the use of external resources to quickly respond to market needs. Under the horizontal integration profit model of broadcast media industry, from content producer to broadcaster, and even the sale of copyrights, the horizontal development through the industry chain. In addition, in terms of cost, horizontal integration of related resources can effectively save R & D costs, marketing costs, management costs and so on.

Four, broaden the industrial value chain: integration of cross-border profit model

The traditional media industry value chain consists of production, distribution, sales and many other aspects of the cross-border integration of the industry, the radio and television media industry can optimize the allocation of resources, expanding the scale of operations, the formation of a new industrial value chain, giving rise to more profitable space.

The radio and television media break through the traditional business scope, the use of capital advantages, different nature of the industry industry chain integration, expansion of the radio and television media industry boundaries, supply and demand, etc., to create a media capital and other industry capital with the same life **** survival of the profit space.

The radio and television media industry cross-border investment in e-commerce, real estate, tourism and other industries, to take advantage of their strengths and weaknesses, the integration of these industries industry chain resources, information, channels and other resources, effectively reducing the fixed cost of investment in the media industry, cross-chain integration, complement each other's strengths, and to achieve the cross-border fusion of the media industry and the profitability of the new development.

Take the cross-border integration of Archimedes FM internet radio and Meituan Dianping as an example. Archimedes FM is a new media project of the Oriental Broadcasting Center of Shanghai Oriental Media Group, and Meituan Dianping focuses on "Internet + local life services", and the two are focused on the integration of their respective industrial ecosystems and strategic cross-border synergies, with the goal of establishing an innovative "Internet + life" new scene. The goal is to establish an innovative "Internet + life" new scene.

Meituan Dianping leverages the scene attributes of Archimedes FM, and with its localized, service-oriented, and accompanying characteristics, it has the advantage of grafting its own relevant resource advantages to realize diversified business models and cash modes. At the same time, Archimedes FM Internet radio and Meituan Dianping can also leverage each other's customer relationships and resources to expand market share, complement each other's strengths, **** with the promotion of both sides of the business development and product extension, to maximize economic benefits.

People's Daily Online - Analyzing the profit model of radio and television media industry in the context of media convergence