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STRATEGY DOCUMENT
Fred/Alan Inc.
October 11th, 1990
GROWING VH1
Growing VH1 requires increasing VH1's ratings
VH1's current average 24hour rating is about a .2
Since average daily ratings are comprised of average rating throughout the daywhich begin
with average minute sampleswe know we can increase ratings by:
Increasing the number of viewers
Increasing the amount of time current viewers watch
or both
VH1's "product" consists of:
Programming: Music Videos
Packaging: Promos, IDs, VJ connects
GOAL:
Our goal is to make VH1's "product" entice people to stay with VH 1 longer and persuade
them to come back again soon.
Step 1: Programming
Until recently, VH1's programming could always be
described in relation to MTV.
Like MTV, but softer
Like MTV, but older
Focus group research and the success of VH1's "History of Music Video A to Z" special
showed that there is a potential loyal audience for a Greatest Hits music video channel.
VH1 now has the opportunity to be distinctive in relation to all other channels, including
MTV with a tangible, desirable programming format that we can own:
VH1: THE GREATEST HITS OF MUSIC VIDEO
Step 2: Packaging
The goal of packaging is
To make our product distinctive
To encourage consumers to spend more time with us
There are two components to packaging:
Content and Context.
Content is the Point of View or feel of each piece of packaging: Look, Sound, Tone
Context is how packaging relates to everything else on the channel.
When MTV launched, it distinguished itself from all other channels by reinventing the
content of TV packaging.
All other channels, Networks, and Independents, packaged with content that was
program driven.
MTV's package content was Trademark driven.
VH1 MUST DISTINGUISH ITSELF, NOT ONLY FROM MTV, BUT FROM EVERY
OTHER CHANNEL (+/ 27) VYING FOR VIEWERS' ATTENTION.
VH1's PACKAGING CONTEXT
One difference between MTV and VH1 is that, on average, MTV viewers spend more than
twice as much time watching as VH1 viewers do.
MTV: Average tunein 15 minutes
VH1: Average tunein 6 minutes
Yet, the context, or scheduling of packaging is virtually identical:
4 :30 promos per hour
2 :10 IDs per hour
Total number of package elements per hour: 6
Average frequency of exposure/hour: 1 every 10 minutes
BASED ON THIS SCHEDULE AND AVERAGE TUNEIN TIME, IT IS MUCH MORE
LIKELY FOR AN MTV VIEWER TO BE EXPOSED TO MTV'S MESSAGES, THAN FOR A
VH1 VIEWER TO BE EXPOSED TO VH1'S MESSAGES.
CHANGING THE SCHEDULE OF VH1 PACKAGING
VH1 can clearly benefit from more frequent exposures of our message.
If we schedule our packaging to run between every video, we will increase our
package frequency from once every ten minutes to once every 3.5 minutes.
But, simply adding more packaging is not viable or wise.
Many TV viewers regard the standard :30 promo as an opportunity to tune
outto see what else is on another channel now.
If our packaging goal is distinctiveness and increased viewing time our packaging should not
require a big commitment from our viewers.
We should not only increase their frequency, we should also decrease their length.
OUR PACKAGING SHOULD BE MOMENTARY EXPERIENCES OF OUR MESSAGE
THAT DRAW THE VIEWER INTO ANOTHER VIDEO COMMITMENT.
If our packaging can get every viewer to stay through just one more videoan extra 3.5
minutesVH11's ratings would theoretically increase by over 50%.
THE NEW VH1 PACKAGING MODEL
If VH1's packaging becomes short and frequent, we know frequent means between every
video. But how short is short?
More math:
In an average hour, VH1 runs:
11 videos
4 VJ connects
3 commercial pods
If we take our 140 seconds of available package time and schedule our packages
between every video
In and out of every commercial break
We need to fill 14 slots.
And in order for our packages to feel spontaneous and entertaining, we should allow
flexibility within our package lengths.
A package must be long enough to register a message
ABSOLUTE MINIMUM: 2 SECONDS
And short enough to fill 14 slots in 140 seconds
ABSOLUTE MAXIMUM: 10 SECONDS
NOW VH1 HAS A PACKAGING MODEL THAT IS
TOTALLY UNIQUE TO ALL OF TELEVISION.
(So, what the hell do we do with it?)
CONTENT OF THE NEW MODEL
The notion of short, frequent pieces may be a stranger to television, but happens to be the
norm in radio.
The Radio Model of Packaging:
Radio identifies itself with aural logos.
(so, in fact, has TV: NBC, Lifetime)
Radio sings their trademark.
(Networks do this too fall lineup time)
Radio uses jingles
(Aural logos taken to their logical extreme a totally unique and distinctive packaging
element for television today.)
If VH1 uses audiobased IDs as a regular format, we can maintain our valuable
Trademarkdriven content and still present it in a way that feels different from all other
channels...
INCLUDING OUR TRADEMARKDRIVEN SISTER NETWORKS.
Why should VH1 use Jingles:
Jingles provide an opportunity for VH1 to build trademark value with a format
that's distinctive from all the wiggly, flying, colorchanging logos of the '80s.
VH1 will sound different than any other channel
Jingles are "singing" and make sense with VH1's allmusic programming.
Jingles are fun and weird and will help VH1 feel like a special, notanythinglike
MTV place.
Jingles are resonant and memorable.
Jingles are short spurts of messages, disguised as entertainment that can
quickly let viewers know where they are and the next thing they know, they're into
another video.