Tuesday 22 February 2011

Video on the web

Traditional Television is a consolidated business that exists since lots of years (¾ of a century). It is a complex environment, but it can be roughly divided in two blocks. The upstream block, made up of content producers, syndicators, distributors, and the downstream block: TV channels who distribute content to end users. The two blocks are well connected, and content produced by the upstream is licensed piece-by-piece to the downstream part of the environment.
In commercial TV, advertisers and ad agencies help feeding the chain that brings content from producers to end users by footing their bill.

Similarly, “video on the web” can be summarised as follows: an upstream block, typically made up of individual videomakers, provides content to the downstream block, who serves end users.
Unlike traditional TV, here there is a lot more content, more and more people watching it, but it looks like just a few players are making business to an extent that is largely unknown. A new web TV appears online, with 500 videos. End users start watching it, but after some time they want new content, and the web TV itself is not able to renew its catalogue so quickly. Some videos are self-produced, but not enough... How to find the right content providers for its audience? The up and downstream block are weakly connected, content producers are many but it is difficult to establish a relationship with them.
On top of that, web TVs that have a little audience are not appealing for advertisers, and for web TVs it is not easy to find other sources of revenue.

wim.tv is creating an alternative environment. In wim.tv there are content producers, syndicators, web TVs, advertisers, ad agencies and end users: both the upstream and downstream blocks exist.
Creators can upload their videos and license them to syndicators and web TVs, at their own conditions. Web TVs can easily find videos for their catalogues from creators and syndicators, thus reducing the cost of settling business relationships with content producers.
Advertisers can create their own video ad campaigns, define a target and find the right web TVs to reach it.
Every time a certain video ad is served by a web tv to an end user, the corresponding advertiser pays an amount, and remunerates all those who took part to the presentation of the ad to the end user (web tv, video creator, and intermediaries).
Riccardo Chiariglione

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