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New ad deals are expected to arrive in the fall for ABC.com broadcast affiliates and, unlike affiliate deals at other networks such as CBS or NBC, they will not be based on a revenue-sharing model.
Last May and June while conducting its streaming video trial, Disney-ABC agreed with stations that their deal would be non-revenue-sharing. Conversely, Fox and CBS both made broad revenue-sharing deals with TV affiliates which included digital, internet, mobile and VOD programs, MediaPost reports.
If a show runs on digital screens after its network play, Fox receives 12.5 percent of all advertising and user fee revenues in their specific market. If the show runs digitally before the market, the percentage increases to 25 percent.
CBS financials were not disclosed by executives, but it was noted in the article that CBS received the same revenue-sharing arrangement as FOX. It was also noted that NBC has an agreement with NBC Weather Plus to received a 50-50 revenue-sharing deal.
In May and June for the ABC.com streaming video test, viewers could not turn off messages on ABC.com’s broadband player, yet they could interact with a commercial. This led to surprising results for ABC regarding viewer attention and ad messages. It was reported that 87 percent of users could remember the advertiser that sponsored the episode they saw. “This is substantially higher than on network television,” says Albert Cheng, executive vice president of digital media of Disney-ABC.
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