The television industry is currently witnessing a notable transformation as it adjusts to the aftermath of what has been termed “Peak TV.” With countless streaming services flooding the market, the dynamics are shifting, and a new narrative is emerging—one that emphasizes adaptation and strategic pivoting in response to market saturation. At a recent event in Berlin, Guy Bisson, a prominent analyst from Ampere, articulated thoughts on this topic during his presentation titled “The Open Plains After Peak TV.” This article delves into the emerging trends, challenges, and opportunities within the new landscape of the television industry.
Bisson’s remarks encapsulate the essence of the current state of television. He underscored that while the industry may have peaked, shifting toward an open plain does not suggest stagnation. Instead, it represents a phase where the industry must recalibrate its operations following a rapid expansion period that defined the last decade. The notion of a “flat” trajectory since the end of 2022 signifies the urgency for companies to rethink their approaches and adapt their business models to align with the realities of fewer subscribers and intensified competition.
As the industry moves from a landscape designed for a proliferation of content to one that must now operate at reduced engagement levels, it appears clear that profitability will become a central theme. By recognizing that subscriber acquisition may no longer be the primary objective, companies are now turning towards alternative revenue streams, one being advertising—which has historically been a mainstay for traditional broadcasters.
One of the most compelling points raised by Bisson was the term “broadcastification,” a concept that describes how streaming platforms are increasingly adopting practices akin to traditional television broadcasting. This evolution stems from creeping market saturation, pushing various streaming entities to pivot towards ad-generated income, thereby fostering a growing dependence on formats like reality television and unscripted programming.
This move towards unscripted content is further reinforced by changing audience preferences. Bisson highlighted that during the transition from the end of 2019 into 2020, the balance shifted dramatically, with unscripted shows now comprising a significant portion—half—of all series orders across streaming platforms. For instance, Nicole Morganti from Amazon MGM studios remarked on a strategic embrace of unscripted content tailored towards demographics such as women and young adults, marking a significant shift in her company’s content approach.
While streaming services undergo this metamorphosis, traditional broadcasters are not merely passive observers; they are making their own adaptations in the face of the streaming onslaught. Hauke Bartel, EVP of Fiction at RTL Germany, noted that broadcasters are attempting to infuse bolder, edgier content into their lineups, emulating the successful formulas of their streaming counterparts. However, this approach poses risks—it has not always yielded positive results and could alienate existing audiences that favor familiar programming.
The need for cooperation between broadcasters and streaming services is clear, particularly concerning the strategic use of windowing to bolster audience engagement. According to José Pastor from RTVE, a Spanish public broadcaster, establishing a cooperative framework wherein broadcasters receive the first exhibition window can significantly enhance promotional efforts for shows transitioning to streaming platforms. The idea is that broadcasters can serve as robust marketing vehicles, catalyzing viewer interest before series hit streaming services.
As the television industry grapples with the shift away from the peak phase, it finds itself in a period defined by adaptation and creativity. Companies must navigate the realities of a market less forgiving than before, necessitating a fresh approach that blends elements of traditional broadcasting with the innovations that streaming has brought to the forefront.
In this evolving landscape, it becomes imperative for the television ecosystem to embrace change rather than resist it. The pathways to profitability will not only rely on broadening the content portfolio to accommodate unscripted shows but also on fostering meaningful collaborations between existing broadcasters and emerging streaming services, allowing them to leverage audience marketing abilities. Whether the industry can successfully chart this new course remains to be seen, but one thing is clear: the open plain offers opportunities that, if seized thoughtfully, could redefine television for audiences worldwide in the years to come.