Commercial Realities of Transmedia on Broadcast TV

The Commercial Realities of Transmedia on the Traditional Model of Broadcast Television
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Image Source: Deanashour wordpress.com
The Commercial Realities of Transmedia on the Traditional
Model of Broadcast Television
Author: Natalie F Carsey (12501019)
This dissertation is submitted in partial fulfilment of the requirements for the award of
Master of Strategic Business Management
by the Manchester Metropolitan University Business School.
September 2013

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Abstract
Transmedia (across media) is a concept that has been liberated by the convergence of media
and evolving technologies. As audiences fragment and competition intensifies, content
creators need to rise above the vast choice and continue to attract viewers. This is
particularly important to the traditional model of broadcast television, which as a preferred
advertising medium, is primarily ratings driven.
Using a pragmatist approach to research this study examines the practical consequences of
transmedia. Both objective and subjective methods were used to explore how transmedia is
being used to engage and target audiences. The research explores whether transmedia is
inevitable as society responds to technology or if the economics make it too costly to create.
Data was collected from a small sample of organisations selected from across the broadcast
television model. Interviews were carried out with a broadcaster, independent producers,
advertising agencies and experts until saturation was reached. Findings were corroborated by
secondary data and synthesised with past literature to reach new conclusions and insights.
Audience theory considers the target audience for media and how that audience will respond
to text. This study used four conceptual frameworks of audience behaviour to underpin the
findings. Social media has profoundly changed the way people consume content and has
shifted the concept of transmedia.
The commercial reality of transmedia contrasts with the idealistic conceptual view.
Transmedia techniques are incorporated into business models where they are relatively low
cost and easy to develop. Social media and second screening are the most recent iterations of
transmedia with brands and content blending together.
Big data referred to as the ‘new oil’ or ‘black gold’ emerged as a theme. Through these
connected strategies large amounts of consumer data on demographics and behaviour can be
mined. This data enables content to be pushed at targeted audiences and allows real time
advertising decisions to be made.
The silo culture of the industries is a barrier to transmedia itself and leads to a lack of multi-
disciplinary skills. ‘The future of transmedia entertainment is both extremely complicated

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and incredibly rich – the creative and commercial opportunities are huge’ (Long, 2007:162).
Media organisations will need to collaborate to overcome the production challenges and
balance the financial risk of experimenting and innovating.

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Table of Contents Page
Chapter 1: Introduction 6
Chapter 2: Literature Review 9
Convergence 9
Television Broadcasters and Advertisers 10
Audience Behaviour 14
Social Media 17
Chapter 3: Research Design 20
Objectivism Ontology 20
Subjectivism Ontology 21
Interpretivist Epistemology 21
Inductive Research Approach 22
Qualitative Data 23
Multiple Case Study Strategy 23
Time Horizon 24
Ethics 24
Data Collection Techniques 24
Chapter 4: Data Analysis 27
Participant Biographies 27
Primary Data Analysis 31
Chapter 5: Findings 43

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Definition 43
Evolving Technology and Commercial Impact 44
Audience Behaviour and Social Media 48
Big Data 51
Barriers to Transmedia 53
Chapter 6: Conclusion 55
Social Media 56
Second Screens 56
A Good Story 56
Commercial Reality, Business Models and Funding 57
Future Research 58
References 60
Image Sources 63

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Chapter 1: Introduction
The UK’s creative industries generate £36bn to our economy and make a significant
contribution to our society. Nonetheless, Donaton (2004) observed that the business models
of the entertainment and advertising industries were showing severe cracks. He predicted
that to survive they would need to converge, create new business models and form mutually
beneficial alliances.
Jenkins (2006) also suggested that there was an economic logic of a horizontally integrated
entertainment industry. However, business models did not collapse overnight and change
has been slower than anticipated. All the same, traditional models are discovering the value
of additional content across different platforms and media industries are in a period of
transition.
Transmedia, used by itself, simply means ‘across media’ (Jenkins, 2011). Media comes in a
variety of forms such as television, film, video games, print, music and the web. Transmedia
strategies not only benefit from, but actively encourage collaboration and co-creation from
different types of media companies.
As a concept transmedia has been liberated by the convergence of media and evolving
technologies. Baran and Davis (2009) defined media convergence as being ‘the erasure of
distinctions between media’. This study focuses on the impact of transmedia on the
traditional model of broadcast television and the significance of this impact for advertisers.
Many theorists believe that television has lost its power to engage the masses and serve as an
effective advertising medium. On the other hand, according to Broadcasters’ Audience
Research Board (BARB), the average UK viewer continues to watch over 4 hours of
television a day (2012, cited by Thinkbox, 2013). Additional research from Edelman (2010,
cited by eMarketer, 2013) firmly positions television as the UK’s most popular entertainment
source; 58% of UK web users aged 18 to 54 cited television as their leading source of
entertainment.
Rose (2011) describes the fundamental premise of broadcast television as its ability to control
viewers; to deliver eyeballs to advertisers by the tens of millions. First with video recording
technology, and more recently digital based PVR (Personal Video Recorders), control began

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eroding. The internet and new platforms of delivery have confounded the issue even further
with increasing online viewing of television content. Recent Thinkbox (2013) research
indicated that 66% of people polled have watched television or film online, citing the top
reasons being catch-up and control.
Competition for audience attention is more intense than ever, as television shows compete not
only with each other, but also with video games, DVDs [and the internet] (Askwith, 2007). A
host of services are competing to deliver video content via satellites, games consoles and
broadband boxes. For example, Netflix has recently released the entire 13-episode US
remake of House of Cards to 30 million-plus subscribers in 40 countries simultaneously.
Google is seeking to disrupt the industry further, investing a reported $300m in creating new
channels on YouTube.
A proliferation of extra screens in the UK home is leading to an even more fragmented user
experience. Television is no longer gaining people’s undivided attention and viewers are no
longer consuming entertainment content solely in front of the television (eMarketer, 2013).
Jenkins (2006) observes that as advertisers grow anxious whether television can reach
audiences, they are diversifying their advertising budgets and looking to extend their brands
across multiple distribution outlets.
This fragmentation of audiences is also a big issue for broadcast television. The availability
of more channels and more choice means more diluted audiences and a breakdown of viewer
loyalty. Less viewers (fewer eyeballs) to deliver to advertisers means lower advertising
spend, as rates are typically set in line with audience ratings. When BARB (2012, cited by
eMarketer, 2013) started tracking audience figures in 1981, the largest TV audience in the
UK for a single programme was ‘Jaws’, registering 23.3 million viewers. The top viewing
figure for 2012 was 13.4 million for ‘Strictly Come Dancing’, despite a larger population.
Buzzard (1992) identifies audience measures as crucial to the buying and selling of television
time. Critically, Russell & Puto (1999) observe that viewers differ in the way they watch
television. These differences may alter a programme’s influence on its audience in ways that
are important to advertisers. Understanding these differences is crucial in assessing the
impact and economic value of transmedia strategies.

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Media companies are re-appraising the economic value of the audience and engagement.
Television broadcasters are already creating websites, mobile applications and online games
to reach a larger fan-base. Transmedia strategies offer an opportunity to rise above the clutter
and engage audiences in new business models.
Advertisers can use transmedia branded entertainment to better target and engage profitable
consumer segments. Importantly, Thinkbox (2013) research also indicates that television and
online advertising are more effective when used together creating familiarity and increased
purchases.
The key aim of this study is to explore the changes to business models in television and
advertising impacted by transmedia, to separate the conceptual idealistic view from the
commercial reality.
The specific objectives of this study are to examine:
 How television broadcasters are using transmedia to engage audiences in new
business models.
 How advertisers are using transmedia branded entertainment to better target and
engage profitable consumer segments.
 The uses of converging technology to mainstream fan-like behaviour.
 What the economic value of transmedia is.

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Chapter 2: Literature Review
Henry Jenkins is the most prominent theorist in convergence media. Jenkins (2011) defines
transmedia story-telling as representing a process where integral elements of a fiction are
dispersed systematically across multiple delivery channels for the purpose of creating a
unified and coordinated entertainment experience. Ideally, each medium makes its own
unique contribution to the unfolding of the story.
Davis (2012) covers a lot more territory in his definition of transmedia. He describes
transmedia as one among a related group of concepts that refer to the property of
intermediality (the myriad of ways that mediated content can make intertextual references),
through linking, allusion, recombination, extension, association, fusion, adaption, translation,
or synthesis, within and across media formats or platforms.
Understanding of transmedia is continually shifting which makes it hard to define. The
Producers Guild of America now recognises the ‘transmedia producer’ as a category. All the
same, Arrglington (2011, cited by Davis, 2012) observes a fair amount of controversy persists
within the practitioner community concerning the core principles and practices of transmedia.
This study examines what is meant and understood about the concept of transmedia by
broadcast television and the advertising industry, observing how this differs from parallel
concepts such as multi-media and cross-platform.
Convergence
According to BARB (2012, cited by eMarketer, 2013), 26.2 million households in the UK
owned a television in 2012, approximately 97% of homes, and recent estimates suggest that
85% of viewers are still watching scheduled television programmes. In addition,
Entertainment Media Research et al (2012) indicated that 60% of UK internet users still
watched live scheduled TV regularly. Nonetheless, there has been, and continues to be, an
encroachment from a lot of different media platforms.
Toschi (2009) built on Jenkins’ (2006) discussion of media convergence to emphasise the
importance of understanding how evolving technologies are used to reach consumers.
Convergence of technology has shifted control by allowing consumers different access to

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content and is changing audience expectations. However, a change in expectations is not the
same as a change in behaviour.
Technology is constantly changing. How society responds to such advancements is
fundamental to whether transmedia properties will be adopted. Deuze (2006, cited by Toschi,
2009) suggests that the way society uses media can be examined in comparison to the way
people live life; ‘they use what makes life flow easier and makes it a more natural experience
for them’. With transmedia strategies the audience need to gain more satisfaction for the
extra time they invest.
‘Convergence alters the relationship between existing technologies, industries, markets,
genres and audiences’ (Jenkins, 2006:15). These altered relationships are at the heart of
transmedia. While multi-platform story-telling is not a new development, it is a booming
trend that reflects tendencies in the use of digital in today’s convergence culture (Edwards,
2012).
An objective of this study is to identify the consequences of transmedia in terms of emerging
business models and the potential aggregation of the media industries.
Television Broadcasters and Advertisers
In the UK, public broadcasting co-exists with commercial broadcasting. Public broadcasting
is funded by government, either directly or indirectly through television licence fees.
Commercial broadcasting is ratings driven as it relies mainly on either the selling of
advertising or sponsorship and/or subscriptions models. Wilbur (2008) describes television
as a two sided model requiring viewer demand for programmes on one side and advertisers
demand for audiences on the other.
BARB provides official viewing figures for UK television audiences. The viewing data they
provide gives broadcasters and advertisers a minute by minute breakdown of viewing at
regional and national levels. This information is vital in assessing how programmes, channels
and advertising campaigns have performed and provides the basis for airtime advertising
trading (BARB, no date).

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Within each hour of broadcast time approximately 15 minutes is dedicated to advertising.
Advertisers buy this time and usually pay a price based on the programme ratings.
Mainstream audiences can be targeted for maximum reach or more segmented audiences for
specific campaigns to specific demographics.
To attract viewers broadcasters need quality content. Traditionally, independent producers
would pitch ideas and some would receive funding to develop their ideas in detail. A
proportion of these ideas would be green lit, or lead to pilots, and some eventually turned into
series (Figure 1).
Funding from broadcasters prior to being green lit is being diminished which leaves a funding
gap for the production companies at the idea and development stages (Figure 2).
The financial challenges of pre-production are amplified with transmedia strategies. The
concept focuses primarily on the expansion of the story itself at development stage; this
means the funding gap is likely to be far greater for transmedia properties.
Figure 1: Traditional TV funding model

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Figure 2: Changing funding practices
Image sources: Ravensbourne/firsthandexperience.net
A traditional strategy of media companies is to develop the same story in different media
(Alberto, 2009). If a television show is successful then franchises can be developed with the
goal of monetisation through the re-purposing of content to other platforms. From a business
perspective, re-purposing intellectual property, ‘franchising’, is cheaper than producing new
content.
In order to stand out from the vast supply of media content, consumers need to be offered
several different touch points to engage with the content on different platforms. To set
themselves apart from the competition, intellectual properties need to engage the audience
again and again. (Weitbrecht, 2011). Reality shows were one of the first to experiment with
transmedia. For example, the UK 2001 edition of Big Brother was disseminated over nine
different platforms; terrestrial broadcast, E4 digital interactive, the internet, mobile phone,
land-line phones, audio, video, book retail, and tabloid press (Alberto, 2009).
Davis (2012) observes that after deciding which products to acquire, firms need to effectively
attract the attention of viewers and improve the rate of conversion into habitual or engaged
audiences. Revenue must be coaxed from each property over its entire life-cycle. Firms
such as BoomGen studios aim for a 5 year project life-cycle to enable the story to be
commercially viable.
Alberto (2009) explains the centrality of television (the television series as a macrostory) as
where the fictional world is born in television and expanded in a second phase to other media.
Alberto (2009) identifies at least four strategies for expanding the narrative world:

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i. Creation of interstitial microstories: These enrich the diegetic world by expanding the
period between the seasons and have a close relationship with the macrostory.
ii. Creation of parallel stories: The logic of this strategy is to create another story that
unfolds at the same time as the macrostory.
iii. Creation of peripheral stories that can be considered more or less distant satellites of
the macrostory.
iv. Creation of user-generated content platforms like blogs, wikis, etc. These
environments should be considered an open-source story-creation machine that allows
users to enrich the story world.
The process of users creating new content based on mass media fictional characters is a
phenomenon known as fan-fiction. It is usually outside the copyright owner’s control
(Jenkins, 2006). An example would be the novel Fifty Shades of Grey that was developed
from a Twighlight fan-fiction series.
Rose (2011) highlights that transmedia is transforming not just entertainment (the stories that
are offered) but also advertising (the stories marketers tell us about their products). Edwards
(2012) also argues that the corporate branding dynamic is still a central part of transmedia.
Transmedia strategies can be used as an enhanced marketing tool to ‘herd’ in large audiences
using social media sites to create a ‘buzz’. Lionsgate reported spending $20m less on
television adverts for the movie adaptation of Hunger Games because of their use of social
media.
Brand loyalty is considered the holy grail of effective economics for advertisers with around
20% of a brand’s consumer base responsible for 80% of all sales. One method brands use to
increase loyalty is to position the product inside a fictional narrative. This embedded
marketing technique is called product placement.
Edwards (2009) observes examples of corporate branding trends on social media such as
brand advocates. Stars such as Kim Kardashian are paid to hawk products on Twitter. This
technique is similar to opinion leaders described in the two-step flow of audience behaviour
model below.

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This study explores the key usages of the transmedia concept separating the commercial
reality for broadcast television and advertising from the theoretical hype.
Audience Behaviour
Audience theory considers the target audience for text and how that audience will respond to
text. In this case text being television content and the response to transmedia.
The Hypodermic Needle Model
The Hypodermic Needle Model dates back to the 1920s and was an early attempt to explain
how mass audiences might respond to mass media. The theory suggests that the audience
passively receives information and that mass media could influence the audience directly and
uniformly by ‘shooting’ or ‘injecting’ them with messages (Mediaknowall, no date).
This theory could be applied to television drama or ‘soaps’ where a large proportion of the
audience are passive and just want to ‘sit back’ and be told the story from beginning to end.
The so called soaps were named as such because of their power to advertise soap powder to
the general masses. Large passive audiences are still attracted by television, Emmerdale on
ITV for example. Danaher (1995) observes that soap operas are the lowest losers of audience
during commercial breaks and are therefore still valuable to advertisers.
The Two-Step Flow Theory
The Two-Step Flow Theory emerged following a study by Lazarsfeld, Berelson and Gaudet
(1944, cited by Mediaknowall, no date) which focused on the process of decision-making
during a Presidential election campaign in 1940. Their research suggested that media effects
were minimal while social influences had a major impact on audience opinion. The theory
asserts that information does not flow directly from the media to the audiences but that it is
interpreted and filtered through opinion leaders who are influential to audience attitudes and
behaviours.
In an overcrowded media marketplace, Jenkins (2006) observes the media industry is
increasingly dependent on active and committed consumers to spread the word about valued

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properties. Fan-like audience members are used as ‘influencers’ to help develop mainstream
demand for media properties (Davis, 2012). The TV Licensing’s Telescope report (2012,
cited by eMarketer 2013) revealed a growing trend for ‘chatterboxing’, defined as watching
television whilst talking to others about the programme online. Almost half of 18 to 24 year
olds polled indicated they had commented via a second screen about a programme they were
watching.
There is a viral effect of social media to increase the appeal of a programme which in turn
impacts on advertising rates. Social media creates additional touch points for the audience
and content creators. As Talbot (2011) observes social media provides a continuous monitor
of discussion about a programme and changes the traditional one-way communication of
television into a two-way conversation. Producers of shows such as the BBC’s Waterloo
Road monitor fan-base reaction on social media to identify preferences, allowing the
audience to be ‘heard’ and to shape the story going forward.
Uses and Gratifications Theory
The Uses and Gratifications Theory originated when it became apparent that audiences were
made up of individuals who actively consumed text for gratification of social or
psychological needs. When a medium leads to more satisfaction of the existing motives then
the medium will be used more. This is a critical concept for transmedia. Blumer and Katz
(1974, cited by Mediaknowall, no date) expands this theory stating that individuals might
choose and use text for the following purposes; diversion, personal relationships (using the
media for emotional interaction), personal identity (finding you reflected in texts), learning
behaviour and values from texts and surveillance.
Research conducted by Russell and Puto (1999) establishes the virtue of television as an
‘escape’ a powerful motivation for watching certain shows. Thinkbox (2013) research
indicates a merging of mind-sets between both television and online consumption.
Significant factors of using both media were entertainment and relaxation.
Thinkbox (2013) research also indicates that over half of live viewing is shared, mostly with
one other person. These interactions mean processing is deeper and advertisers benefit from

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this greater engagement. Russell and Puto (1999) define audience ‘connectedness’ as an
intense relationship between the audience and a television programme that extends beyond
the television watching experience into an individual’s personal and social life. A show’s
relevance to the social self emerges through forms of socialisation and ritualisation around
the television programme itself creating the ‘must see’ aspect of shows.
As content is designed to be ever more coherent and rewarding creators need to be more
mindful of audience needs. A key issue has been that the content creator has traditionally
focused on delivering to the platform rather than the user. A better approach may be to put
user motivations first.
Reception Theory
The Reception Theory expands on the concept of an active audience. Research was carried
out on the way individuals received and interpreted the same text in different ways depending
on their individual circumstances, such as gender, class, age and ethnicity. The addressing of
different audiences with different content and different media environments is commonly
practised in children’s literature, where properties are designed to appeal to children and their
parents (Dena, 2009).
Texts can create two or more implicit readers by constructing a sedimentary multilayer text
that needs different cognitive skills to be interpreted. With the film Shrek, one level is for
children and the other for adults. Both viewer groups participate from different cognitive and
semiotic positions in the creation of Shrek’s fictional world. This strategy is defined as a
multilayer text (Alberto, 2006).
Another way of creating different implicit readers is to operate on the structure of the
narrative, for example, telling the same story from different points of view. In this case, the
different readers are not dealing with different levels of interpretative skills but with the serial
structure of the narrative. This second strategy is defined as a multipath text (Alberto, 2006).
In transmedia, the fundamental change in media consumption and audience expectation
enables the story architecture to be tiered so that the audience can engage at different levels
depending on the participation desired. For example, The Spiral, a trans-European project,

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combined traditional story-telling through television with innovative gaming, LARPing (Live
Action Role-Playing), online communities and audience involvement. The five one-hour
television episodes were simultaneously broadcast weekly in eight European countries, web
episodes were also produced for online consumption, alongside interactive games and
challenges. User generated content was then inserted into the television series which,
concluded with a live event in September 2012.
The audience could just watch the television series, just watch the web series, participate in
puzzles and interact with the characters on the web series, or, if they desired be completely
emerged in the entire experience (Toschi, 2009).
This study explores the impact of audience behaviour and social media on content.
Social Media
The launch of the web in 1993, now serving an estimated 2 billion people, was the beginning
of a creative revolution. The internet with social media at its heart is innately collaborative
and has been a catalyst for user generated content. ‘Under its influence a new type of
narrative is emerging – one that’s told through many media at once in a way that’s non-linear,
that’s participatory and often game-like, and that’s designed above all to be immersive’
(Rose, 2011:3).
The rapid growth of the internet and social media has led to ‘fannish’ behaviour on a large
scale with fan pages emerging on a daily basis. It is estimated that people spend 15 minutes
of every digital hour on social media. Extreme forms of connectedness are depicted in the
well-known phenomenon of ‘fandom’ (Russell & Puto, 1999).
The big emphasis on community building and the progression of this type of transmedia has
led to a new concept known as ‘social television’. Social television tells the story through
video and social networking combined. For example, Puppy Bowl shown on Animal Planet
attracts up to 10 million viewers and receives more than 200,000 tweets on match day.
Davis (2012) explains that unlike uninvolved or passive media viewers, fans are considered
to be ideal customers; they travel in easily identifiable groups, they willingly express their

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interests, values and concerns, and they develop strong emotional bonds with the firm’s
brand. Furthermore, fans are associated not just with loyalty, but also with ‘high relational
exchange’, engaging in impulsive and compulsive consumption behaviour.
It has become very common to involve fans in the co-creation of value, typically by
employing audience labour to create content for commercial purposes (Davis, 2012). Both
the Pop Idol and Big Brother franchises rely heavily on fan participation throughout the show
to move the story along (Toschi, 2009). With participation being a key aspect of the
transmedia concept this study explores how fan like behaviour is being mainstreamed and
media organisations can and are monetising this interaction.
The television networks may gain advertising power by developing large, connected
audiences for their series or programmes rather than simply ‘large’ audiences. Advertisers
need to be cognisant of varying levels of audience connectedness when purchasing television
time (Russell & Puto, 1999). There may also be substantial benefits to be gained by re-
thinking the measures of audience size and advertising rates.
As Toschi (2009) concludes, in order to tell if social media is effective in creating a larger
fan-base for the television show, the website traffic before, during and after the television
broadcast must be measured as well as the ratings for the programmes themselves. New
measures, such as analysing social comments, are being developed. An example of social
analytics from Bluefins Lab, demonstrated that the season premiere of ‘Two and a Half Men’
attracted 78,347 comments compared to 82,980 for ‘Dancing With Stars’ on ABC. The latter
show had lower ratings but generated higher social media interaction (Talbot, 2011).
The interests of fans and mainstream audiences do not necessarily converge. If most of the
audience members for a television based transmedia property are mainstream viewers, this
audience determines the bottom line of the business model. This affects scheduling, the
extent of involvement of engaged fans in the development of the storyline and other
enticements and entitlements expected by the most ardent fans (Davis, 2012).
Davis (2012) observes that casual viewers lose interest in products that are too complex for
casual consumption and that single-media fans feel excluded if the narrative requires
exploration in unfamiliar or unavailable environments. A key challenge in transmedia

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product design therefore must be to accommodate natural variation in audience engagement
throughout the extended property. Toschi (2009) highlights different types of entertainment
will lead to different forms of transmedia.
Audience consumption is problematic, not everyone wants to follow a story across different
media. There is no one single strategy or use of transmedia emerging. Gillian (2011) argues
that a model of multiplatform content allows broadcasters to target two audiences at once; the
broader audience of the traditional broadcast and the narrowcast audience of the multi-
platform.

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Chapter 3: ResearchDesign
Pragmatism as a philosophy to approaching research recognises there are many different
ways of interpreting the world and undertaking research. The pragmatist view is that no
single point of view can ever give the entire picture and that there may be multiple realities
(Saunders et al, 1997).
The emphasis of this study is the practical consequences of the transmedia (across media)
concept to the traditional television broadcast model. The economics of television are
implicitly linked to audience behaviour and therefore the study looks at how the audience is
economically measured and valued. Television is a complex model of the advertiser’s
demand for audiences and the audiences’ demand for television programmes (Wilbur, 2008).
Within the traditional broadcast television model there are fairly prescribed roles of ideation,
development, production, broadcast and advertising. The behaviour of viewers, the audience,
and their value is much more subjective. The pragmatist approach allows multiple methods
of objectivism and subjectivism to be applied as appropriate to the different research areas of
exploration within this study.
Objectivism Ontology
The traditional commercial broadcasting model is mainly ratings driven and it depends on
buying/commissioning quality content, developed and produced normally by independent
production companies, in order to attract large audiences. Airtime is then sold to advertisers
who wish to send their message to that mass audience. Each organisation in the supply chain
is an objective entity; playing certain roles within a fairly formal structure.
This study explores how broadcasters can use transmedia as a method of sustainable story-
telling, extending the product life-cycle of their content by engaging audiences and creating
loyalty. It also explores how broadcasters can also use transmedia strategies to drive up
audience numbers by creating a ‘buzz’ around a programme, and how audience participation
can lead to greater engagement with mass audiences. The research probes into other
commercial opportunities transmedia offers to television and advertisers.

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The study focuses on the reality of what is happening within the media industry rather than
conceptual theory, exploring aggregation and collaboration within the industry to
successfully deliver transmedia properties. As advertisers are critical to the television
funding model this study explores which is most valuable to them; a smaller engaged
audience to better target and engage profitable consumer segments or large numbers of
viewers on mass. The research probes into the consequential need for alternative methods of
measuring audiences, such as engagement levels.
Brand loyalty is crucial to effective economics of advertising. Transmedia offers alternatives
from the traditional television spot, either by enhancing existing methods or by developing
new strategies.
Subjectivism Ontology
The success of attracting an audience and how they engage is subjective. The Reception
Theory of audience behaviour observes that individuals interpret the same text in different
ways as a consequence of their own world view. Their different interpretations are likely to
affect their willingness to accept transmedia properties and will also affect the impact of an
advertising message.
This study explores the importance of social viewing and observes how fan-like behaviour is
being mainstreamed and monetised. It seeks to give new insights on commercial
opportunities enabled through transmedia strategies and their impact on audience behaviour.
The research also explores how content is addressing audience motivations and the different
strategies employed, including exploring whether transmedia can create larger connected
audiences and gain advertising power.
Interpretivist Epistemology
Transmedia as a concept incorporates a complex phenomenon of social interactions. To gain
rich insights into transmedia strategies it is important to understand the core principles and
practices from differing points of view.

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An empathetic approach to the research has been undertaken to understand the complex set of
circumstances leading to the transmedia concept. The study focuses on a small number of
organisations situated within the television funding model. Research was carried out with
independent production companies, a broadcaster and advertisers to gain a rich understanding
of the implications of transmedia, the reality behind those implications and the subjective
motivating actions of each of the organisations. Research was also undertaken with industry
and technology experts to corroborate the validity of the findings observed.
Inductive ResearchApproach
This study explores how television and advertising business models are changing from the
emergence of transmedia as a concept. It observes how specific companies are keeping up
with the rapid changes in technology and media convergence. It also looks at the increased
impact of social media on audience behaviour leading to new trends.
Qualitative information was collected from a sample of relevant organisations within the
industry in order to establish different views of the transmedia phenomena. The study
observes changes to business models and practices and identifies the economic value of
different types of audiences. The research concludes with general inferences for the industry
from the observations made.
Five key themes of research relevant to the transmedia concept were initially identified as:
i) Definition
ii) Evolving technology and convergence
iii) Commercial opportunities and strategies
iv) Audience behaviour
v) Social media
As the research progressed two new themes emerged:
i) Big data
ii) Barriers to transmedia

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Qualitative Data
Associated with the pragmatist research philosophy is the collection of qualitative data using
an inductive approach to explore different perceptions and to develop a richer understanding
of transmedia. As the technology impacting transmedia is constantly evolving this method
allows the incorporation of new insights as they arise. A multi-method qualitative study
provides a richer approach to data collection, analysis and interpretation by exploring the
relationships between the different parties in broadcast television and the advertising industry
and their differing perspectives of transmedia. Data collection was non-standardised and
procedures altered depending on which organisation the qualitative data was being collected
from.
Multiple Case Study Strategy
Non-probability purposive sampling was used to select a small number of cases across the
television funding model and focused on whether the findings from those organisations could
be replicated across the industry. To corroborate those findings qualitative data was collected
from organisations with similar and differing perspectives. They were carefully chosen to
ensure a mix of perspectives that would be particularly informative.
Firstly, cases were chosen where some of the results were expected to be similar, such as
comparing data from independent production companies and the broadcaster, to provide an
illustration of what is typical. Secondly, cases were chosen where the context was
deliberately different, such as comparing the data from advertisers and independent
production companies. This enabled the observation of the key themes that could be
described and explained from differing perspectives.
Interviews were conducted until data saturation was reached, that is when data collection
provided no new information or new themes within the timeframe and resources available.
When selecting broadcasters there are only a few to choose from in the UK, so the numbers
of organisations are limited, however data saturation was reached across all eight interviews.

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Time Horizon
The research was cross-sectional with in-depth interviews conducted over a short period of
three months during May 2013 to July 2013.
Ethics
Informed consent was obtained from all interview participants with explicit agreement to
attribute comments given.
Data Collection Techniques and Analysis Procedures
Secondary Data
Documentary secondary data, such as published summaries from industry organisations, has
been further analysed to provide additional knowledge and interpretations alongside topical
news articles, relevant blogs and websites. The reliability of these documentary sources is
difficult to assess and due to the rapid transformation of the media industries and the
associated technologies the data may also be quickly out of date. However, it does provide
useful context to triangulate findings found on pertinent themes and concepts.
Secondary data was also collected to give breadth of context by attending industry events on
the subject such as Power to the Pixel 2012 which discussed case studies of transmedia
projects.
Primary Data
One-to-one research interviews were used to gather valid and reliable primary data and
contribute to existing knowledge. In May 2013 an initial pilot interview was held with an
industry ‘expert’ who helped shape the other interview questions and identify any unforeseen
problems.
The interviews were semi-structured typology with a list of key themes and some key open-
ended questions which were varied from interview to interview depending on the
organisational context. Semi-structured interviews granted the opportunity to ‘probe’
answers and allowed interviewees to explain or build on their responses. This is important

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when adopting the interpretivist epistemology and in particular where this study is concerned
with understanding the meanings that the participants ascribe to transmedia.
Information collected was used to understand ‘what’ and ‘how’ transmedia is being used but
also to place more emphasis on ‘why’ the strategies are emerging. The lack of
standardisation in these types of interview may lead to concerns about reliability and issues of
bias. However, the findings derived from these interviews are not intended to be repeatable
since they reflect a point in time.
Transmedia is an ever-changing emerging concept, as is the evolving technology that enables
it. The circumstances explored are complex and dynamic. The value of using semi-
structured interviews is derived from the flexibility to explore the complexities of transmedia.
Therefore, an attempt to ensure this qualitative non-standardised research could be replicated
by other researchers is not feasible without undermining the strength of this study (Saunders
et al, 2007).
Issues of bias have been overcome by careful preparation and conduction of interviews. Key
themes of exploration such as evolving technologies and convergence, audience behaviours,
commercial opportunities and strategy were developed in advance to give credibility to the
interview process.
Interviews lasted approximately 1 hour on average and data from the interviews was captured
by audio-recording the conversation and transcribed for analysis. The transcripts were sent to
the participants to ensure accuracy and allowed for contextualisation.
The data was analysed through NVivo software and synthesised and conceptualised in order
to provide insights on observations and findings. Categories for analysing data were concept
driven, derived from existing theory and literature, and actual terms used during the
interviews (Figure 3).

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Figure 3. NVivo 10 DesignFramework
Unit of Analysis Themes Data Type
Broadcaster
Independent
Production
Advertiser
Industry Expert
Technologist
Definition
Evolving Technology and
Convergence
Commercial Opportunities and
Strategy
Audience Behaviour
Social Media
Big Data (emerged)
Barriers to Transmedia (emerged)
Interviews
Published Industry summaries
News articles
Blogs and websites
Classification
Attribute
Theme Node 00 - 06 Source

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Chapter 4: Analysis of the Data
Participant Biographies
Saint-John Walker (Pilot) (I0SJW) Creative Skillset (Expert)
Saint-John Walker has been brokering new animation and computer games talent at the
interface of education and industry for over ten years. Saint joined Creative Skillset, the
industry body that supports skills and training, from FDMX, the Film and Digital Media
Exchange. His recent works include a VFX skills programme for British universities, a new
Games Design postgraduate accreditation scheme, and helping to deliver the
recommendations of the Livingstone Hope skills review for the UK government.
Stephen Woodford (I1SW) adam&eveDDB (Advertiser)
In 1998 and in 2004, Stephen Woodford was Chief Executive Officer of WCRS an integrated
marketing and advertising agency. From 2003 to 2005 Stephen was President of the IPA, the
Institute of Practitioners in Advertising. The IPA is a non-profit trade body and professional
institute for agencies in the UK's media and marketing communications industry. In January
2007, Stephen joined DDB, a worldwide advertising agency as Chairman and Chief
Executive Officer. DDB acquired adam&eve in 2012 and Stephen became Chairman of
adam&eveDDB after the agencies merged in July of that year.
Stephen Garrett (I2SG) Kudos (Independent Production)
Stephen Garrett left Channel 4 to co-found the television production company Kudos, which
immediately distinguished itself with a host of innovative, unusual and provocative
programming such as BAFTA-winning Spooks and Life of Mars. Stephen is on the
Executive Board of Shine Group, is Chairman of Kudos and Executive Chairman of Shine
Pictures. In 2010, he was the News International Visiting Professor of Broadcast Media,
giving a series of lectures spanning the cusp of creativity and commerce and the future of
story-telling.

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Tom Turcan (I3TT) Runcat Consulting (Expert)
Tom Turcan is a business consultant and adviser to clients from the entertainment and media
sectors. Prior to founding Runcat, he was Digital General Manager of Guardian News and
Media and CEO of Virtual Internet plc. a FTSE-listed hosting and online brand protection
provider. Tom has also worked in radio broadcasting, marketing services and software
development. From its conception until its launch, Tom acted as COO to Pottermore,
J.K.Rowling’s ground-breaking online experience and digital book store.
Richard Davidson-Houston (I4RDH) Channel 4 (Broadcaster)
Richard Davidson-Houston joined Channel 4 in 2007 as Head of Online and has
responsibility for all Channel 4's online offerings, overseeing multiplatform commissioning,
product management and online production. He is responsible for the user experience and
performance of Channel 4’s core digital products; Channel4.com, E4.com, Film4.com,
Scrapbook and 4oD, as well as the broadcaster’s social media profiles. Before Channel 4,
Richard spent five years at Microsoft, latterly as business manager at MSN/Windows Live.
Peter Cassidy (I5PC) FremantleMedia UK (Independent Production)
Peter Cassidy is Managing Director of FremantleMedia UK Interactive, FremantleMedia
UK's digital division. Fremantle is an international production company responsible for
programmes such as X Factor and Britain’s Got Talent. Prior to his appointment, Peter was
MD of Screenpop, an innovation unit within the FremantleMedia Group which specialises in
interactive concepts, particularly ones that combine television and games. Screenpop has
launched several pioneering products in the last 2 years.
Anthony Rose (I6AR) zeebox (Technology)
Anthony Rose is co-founder and CTO of zeebox, a new platform that turns live TV into a
two-way, social and interactive viewing experience. Previously, Anthony headed up BBC
iPlayer from 2007 to 2010, taking it from pre-launch to major success story. Anthony moved
to YouView in May 2010 to create an open next-gen connected TV platform with aggregated

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content. Before joining the BBC, Anthony was at Altnet and Kazaa, creating a digital music
store and download application.
Leo Rayman (I7LR) Grey London (Advertiser)
Leo Rayman is Head of Planning at Grey London, a creative agency. Previously Leo was the
Integrated Strategy Director across the Volkswagen business at Tribal DDB and DDB
London, a worldwide advertising agency. Leo led the planning for advertising, digital
advertising, social media, the website and retailer marketing. Before rejoining DDB UK, Leo
established an international strategic planning function at world-leading PR agency Weber
Shandwick (IPG).
Primary Data Analysis
The full list of Theme Nodes and the sub-coding used for analysis are listed in Figure 4
below.
Figure 4: NodesTheme NodesSub-coding
Theme Node and Sub-coding Sources References
00 Definition 13 78
Examples 8 21
Objective 6 12
01 Evolving Technology and Convergence 25 233
Apps 8 23
ARG 2 4
Branching Plots 2 4
Instant purchase 8 10
User Generated 8 14
VOD 13 28
02 Commercial Opportunities and Strategy 32 512
Fragmentation 7 9
Metrics 7 27
Opportunity 20 120

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Advertising 14 34
Content 12 23
Revenue 6 19
Scale 9 28
Strategic Alliances 3 5
Participation 9 27
Threats 21 63
03 Audience Behaviour 16 209
Hypodermic needle 4 6
Reception Theory 7 12
Second screening 6 14
The two-step flow 8 15
Uses and gratifications 9 43
04 Social Media 16 74
05 Big Data 11 32
06 Barriers to Transmedia 12 178
Audience reaction 7 20
Cost 3 4
Disruptive Technology 5 8
Intellectual Property 3 3
Poor Content 5 8
Risky 5 17
Skills 9 28

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Primary Data Analysis
Saint-John Walker (Pilot) (I0SJW) Creative Skillset (Expert)
Interview 16 May 2013
Figure 5
Saint defined transmedia as where a message flows through a number of different platforms
as is appropriate to that message and the viewer or user at a particular point. He explained
technology as enabling and enhancing transmedia in different ways. But there has always
been transmedia, “if you look at all the myths that have existed there was the oral tradition
and then there was the written tradition”.
Saint suggested the use of visual effects techniques to product place once content has been
created, allowing advertisers to insert different products that translate to sales in different
parts of the world. This would be an interesting business proposition and is in itself a type of
transmedia. He also observed that transmedia is the “Holy Grail of advertising” because of
the way it can corral consumers.
The more people are in engaged with a story, brand or character the richer their experience,
resulting in fan like behaviour which is more likely to convert advertising into sales. Saint
explained that second screens offer opportunities for greater engagement either by social
media or interactive media. “As opposed to just watching two things at once consumers are
being driven to engage totally with the fiefdom”.

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Saint highlighted an emerging theme of data “because of the internet and the very nature of
digital technology, nothing is ever forgotten”, “data is the new oil”. Through transmedia,
driven by big data, you can get a totally different story from anyone else. However, to be
able to make suggestions, content creators need to know things about you, so “it’s an
interesting battle at the moment between privacy and openness”.
Saint suggested that there is a risk that innovation will shrink as creators accommodate
audience preferences in an attempt to reach high numbers of viewers. Social commentators
say that people are starting to conform to the idea that you only want to see what you are
interested in resulting in media products designed by social media or by aggregated statistics.
The key barrier to transmedia that Saint identified was a skills issue with sectors training and
working in silos. He noted that due to the silo culture “there aren’t yet multidisciplinary
teams”. Another barrier Saint identified was that until technology was invisible and seamless
there would be a resistance from the consumer.
Stephen Woodford (I1SW) adam&eveDDB (Advertiser)
Figure 6
Stephen explained that as an advertiser he tended to think of the ideas not the media. He
described transmedia as ideas that transcend a particular channel or platform so that people
engage with them. Stephen described the main goals of transmedia were to increase the
depth of the engagement (which could be achieved by encouraging social sharing), to allow

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the message to be consumed when people are most receptive and to create a two-way
relationship (turning consumers into fans with the ability to react and transact online).
Stephen observed that the power of viral messages, which can reach millions of people,
traditionally would have been costly. He highlighted the impact of Google as a “very
effective, very sticky, highly commercial media” which is now taking more money from
advertising than ITV. However, he stated these new media were even more effective if
combined with television. To an extent some brands and content are successfully blending
together.
Stephen explained that in a more fragmented environment, television is even more powerful
to advertisers, as a blockbuster television advert can reach millions of people over a weekend
“also, if it’s good enough it will be shared and amplified”. He also said that television still
gets the highest numbers of viewers and has a “social currency”. Ultimately people want
television, whether it’s consumed on their phones, tablet or live. Viewership is still going up
and although people can be more selective they still watch television live “because they want
to share the experience”.
Big data again emerged as a theme. Stephen gave an example of Channel 4’s 4oD where
they are able to collect consumer data at registration which can then be sold to advertisers to
enable them to target messages. “As a country we are fairly relaxed about sharing data and
transacting online.”
Stephen discussed data sources such as BARB and IPA touchpoints which monitor what
someone is looking at every half an hour “but it is still pretty crude”. He highlighted that
there are massive pots of data held but nobody yet has a complete overview of consumption,
“a mega alliance of data would be really interesting”.
Stephen believed that it’s the “willpower and ambition of the clients and agencies that is the
limiting factor” to transmedia strategies.

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Stephen Garrett (I2SG) Kudos (Independent Production)
Figure 7
Stephen saw transmedia in theory as the opportunity to tell stories in a range of dimensions “a
bit like three dimensional chess”. Stephen highlighted the use of the web or social media to
complement the story. For example, by giving back-stories to the characters they would
more firmly “entrench in the lives” of the viewers.
Stephen highlighted that with transmedia, serving exclusive content, you can accumulate
large numbers of fans that are brand loyal. Stephen believed transmedia has more value to
fans of entertainment shows than to scripted stories but at the very least “transmedia has a
marketing value”. He felt that placing YouTube stars into shows also added marketing
impact, “Their weekly utterings like Delphic pronouncements attract millions of hits
routinely”.
He went on to say people still relish being told stories and there is still a demand for passive
content, allowing people to change the story would diminish the experience “scripted dramas
such as Spooks have been carefully crafted”. Stephen explained the impact of commercial
breaks changes the way the story is told “you’ve got to have a hook at the end of each of
those parts”. Transmedia may be a way to retain an audience during these breaks.
Stephen highlighted that even in a world of catch-up television the big shows “still do bind
people together”. He explained how social media is changing the impact that content can

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have. “The more people talk about it, the more people are drawn to it and the more people
watch it”.
Stephen pointed out that the screen content is consumed on is changing. The younger
generation, in particular, consume stories on a “multiplicity of devices”. Stephen saw an
“amazing opportunity” through technology to link product placement with instant purchases.
Stephen spoke of the issue of content discoverability. He explained the broadcasters’ role to
content creators is the “visibility they provide to content”. This is particular important in the
increasing fragmentation of platforms.
Stephen observed there was the lack of skills which was a barrier to transmedia. Writers are
not used to thinking in an interconnected multi-layered way; skills more closely aligned to
gamers. Another barrier Stephen described is current copyright laws which can make some
aspects of transmedia difficult.
Tom Turcan (I3TT) Runcat Consulting (Expert)
Interview 5 June 2013
Figure 8
Tom defined transmedia as where stories are told using multiple media forms to complement
each other. When Pottermore was launched it was held as a true example of transmedia but
Tom felt it was actually “just a multi-media franchise, as the story had already been written in
one medium. Tom observed that rights structures that have been built up over decades make

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it hard to form alliances for transmedia, and creations can be complicated and risky, it can be
better to trial it in one media and once established “build on it and franchise it out”
Tom explained that no two people read a story in the same way and quoted JK Rowling as
saying “the story-telling experience is a symbiotic one between the writer and the reader”.
Providing ways that co-creation is expressed using transmedia “has got to add value to the
brand and potentially for the user”. Nonetheless, Tom explained that interactivity “which
takes the audience from a passive state to an active state of mind” is not necessarily adding
value to their experience and can be disruptive.
Tom explained that tiered audiences are likely to be engaged because tiering itself is self-
selective. However, Tom described engagement as hard to measure. Audience size can be
used as a proxy but different social sentiments could also be used as an indicator alongside
traditional methods, such as those captured by Twitter or Facebook.
The traditional TV audience that advertisers want to reach is the 18-35 demographic who are
very active on social media. Tom explained the impact of social media such as key
influencers on Twitter. If you can get them to say something proactive it can attract a lot of
attention, “getting endorsement from somebody who is a Twitter influencer is a big win”.
Tom observed the trend of YouTube as the window for people to generate audiences for
themselves as media creators in their own right. “They don’t need an aggregator, broadcaster
or publisher to find them or endorse them. They can find and attract their own fan base and
potentially go on to raise funds through that route too”.

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Richard Davidson-Houston (I4RDH) Channel 4 (Broadcaster)
Interview 17 June 2013
Figure 9
Transmedia is not a word used within Channel 4 as “it is sometimes associated with
vocabulary that is unhelpful”. Instead Richard preferred to stick to terms such as multi-
platform, explaining that those who had written about transmedia often came at the industries
with a “superior attitude”.
Recent statistics Richard shared were that “400,000 people are saying they are not paying
their television licence fee because they don’t have a television, they only watch iplayer”.
Richard saw the principal opportunity as video-on-demand advertising which is growing at a
huge pace. However, he would categorise that as the redistribution of content rather than
transmedia.
Richard stated the “big prize” is synchronised advertising which hypothetically leads to an
instant purchase. He highlighted that the unaccountable nature of television advertising is
challenged by the accountability of digital advertising. Models such as pay per click on
Google Ads are very appealing to advertisers.
Richard spoke of “new opportunities to view” such as the Sky app. These are interesting in
regards to the “elasticity of demand of the main watching experience”; the amount of possible
viewing time. Although Netflix and Lovefilm are interesting models where they give you
content all at once, Richard saw this as only appealing to a certain type of viewer.

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Richard highlighted that whilst social media is exciting the importance of Twitter is probably
overstated “it’s not anywhere near as important as making a good show”. However, even
within Channel 4, viewer enquiries although unrepresentative, still carried huge cultural
weight. Additionally, Richard acknowledged the importance of key influencers on social
media and their ability to reach huge numbers.
During the interview Richard noted the huge production challenges in creating multi-platform
stories. He noted the key barriers to transmedia as “it is risky”, “you have to be prepared to
fail”, “it costs money” and “production skills are limited”.
Channel 4 has a remit to be innovative, experimental and distinctive which allows them to
take risks and to a certain extent fail. By trial and error Channel 4 has identified that the
features, factual entertainment and entertainment genres are where the audience are most
likely to interact. There is less interaction with drama and not really any in scripted comedy.
Peter Cassidy (I5PC) FremantleMedia UK (Independent Production)
Interview 2 July 2013
Figure 10
Peter stated that there is a lot of strategic discussion around transmedia. “Media types
becoming almost mixed up or overlapping”. But that it is so far removed from what is
actually happening it is hard to cut through to the reality of what companies are doing and
what the demand is that they are responding to.

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Peter estimated 90% of multiplatform activity for Fremantle came from Britain’s Got Talent
and X Factor. He described these as “super brands”, more than just television shows or
entertainment brands. Peter observed that “co-opting the audience to create a story” is
transmedia story-telling but sometimes “the public don’t always pick the best story”.
Importantly, production companies for the first time have a direct relationship with the fans
and as the brands become bigger the balance of power between the production company and
the broadcaster is shifting.
Peter explained that a lot of X Factor fans had never watched the show on ITV, especially the
younger generation who relied on YouTube. By extending into the digital world, television
revenue can be increased. An example would be carrying pre-roll advertising on short-form
clips.
Peter highlighted that the use of apps is growing and revenue generated from micropayments
for the app, with scale, are significant. He added that advertisers will pay a premium to serve
ads to the app at the same time as the television advert. The advantage is that on the app the
audience can click through and take up an offer. In addition, Peter spoke of product
placement within the shows as an opportunity, via web enabled click through, for instant
purchases.
Peter spoke of Twitter’s claim that tweeting activity increases ratings, which is difficult to
evidence. Nonetheless, he agreed that it is an immediate indicator to advertisers that the
show is worth being involved with, which is still important. Peter explained “people have
always talked to the person next to them on the sofa” and social media is an extension to that.
Peter highlighted that the technology was not yet seamless which challenged take-up.
Another barrier Peter observed was the lack of skills, for example “very few TV producers
get social media”. He added a further barrier as “people just don’t have the time to have
relationships with all television shows”.

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Anthony Rose (I6AR) zeebox (Technology)
Figure 11
Anthony simply defined transmedia as “combining story-telling with interactivity”. He
described how the interactions are quite different on different genres. For example, dramas
require higher levels of concentration compared to the option of multiple camera angle usage
for sports genres.
Anthony commented on the importance of the “water-cooler” moment and the social aspects
of television viewing leading to people congregating online. He explained that the desire to
watch something is made up of two aspects “getting you to watch it and then getting you to
talk about it”. Anthony explained that demand today is largely manufactured by the
broadcaster but with more and more fragmentation demand may become viral.
Anthony highlighted that as people use more PVR (personal video recording) and skip ads
“the future cannot be interstitial disruptive advertising”. He explained there will be lots of
companies creating new technical platforms giving opportunites such as “integrated
advertising”. Anthony co-founded zeebox who have created an app which has a spot
synchronised ad platform. Using video fingerprinting to work out when there is an advert on
television and enabling the advertiser to buy a synchronised ad in zeebox.
Anthony explained that with continued fragmentation of audiences, transmedia or
“participation TV” could increase the attractiveness of content. He observed that it also

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impacts on the traditional broadcaster model by breaking down the boundary of the television
production and the audience. In its extreme, broadcasters could be seen as no different from
a ISP (Internet Service Provider).
Anthony highlighted issues of relying on metrics such as BARB, which is based on a
relatively small panel and excludes content such as YouTube, which gets billions of views.
He commented that advertisers are more likely to look for multiple methods in the future,
incorporating internet traffic measurements. It may be more useful to advertisers to have less
accurate segmented data in time to serve an advert three minutes later, rather than to wait
until the next day for aggregate panel information.
Anthony believes that these new technologies and the ability to be part of the show “will
create some seriously bad viewing experiences” whilst “some people will create brilliant
things” and that the “first sucesses will be cloned and replicated”. He identified that
although technology had enabled new methods of story-telling the “people skills to create
complicated narratives are still lacking”.
Leo Rayman (I7LR) Grey London (Advertiser)
Figure 12
Whilst Leo concurred with the definition laid down by Henry Jenkins he also succinctly
defined his own interpretation as “the transmission of messages or a communication that
works across multiplatform, it’s a proliferation of ways of reaching people in different states

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of mind or places”. However, Leo also highlighted that “a slightly horrendous perspective”
was that transmedia is just a way of achieving additional reach at a low cost.
Leo contextualised that as an advertiser their goal is to reach the audience and “linear TV still
dominates” offering the biggest scale of reach. As an advertiser a simple view is that you
will get better business results if you are able to engage more people more emotionally. Leo
also observed that brands producing content for the likes of YouTube had the added benefit
of more direct interaction with their audience.
Leo explored an interesting parallel of social media as “the modern version of the laughter
track” applied to comedy as an indication that other people were enjoying it. Leo explained
further the social aspects of watching television, stating “people always did talk whilst
watching TV”. There is an emotional benefit and interaction from discussion which perhaps
gives live streamed television a “social currency”.
He highlighted the opportunity to engage a “small minority of vocal types” to share the
message on advertisers’ behalf. Leo explained that brands are excited by the ability to
harness interest and convert it to a quick sale or instant purchase through new technology that
is emerging.
He described further the different patterns of audience interaction depending on the type of
content. He explained “during a drama people wait until the breaks whereas during
entertainment shows they are waiting for the crux points”. Equally, Leo made the point that
some people just want to relax, they don’t want to engage or interact
Leo identified that skills are in silos which leads people to the medium that they are
comfortable with. Another key issue that Leo highlighted is that the technology isn’t yet
seamless and is quite “clunky to use in reality”, which interrupts the experience.
Additionally, sometimes focus can be so heavy on getting the technology right, the writing
itself is lost.

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Chapter 5: Findings
This study set out to explore the commercial reality of transmedia usage in television and
advertising in contrast with the idealist conceptual view of transmedia. It explored the key
usages of transmedia with the aim of separating the hype from what exists in the industry.
Transmedia techniques were found to be more readily incorporated into business models
where they were relatively low cost and easy to develop, for example, using social media or
the development of supporting apps. The need to cross more than one media or platform as
convergence continued was clear as were the benefits of deeper audience engagement to both
broadcasters and advertisers. There were very few examples of transmedia story worlds
developed from the outset.
Social media featured highly as a form of transmedia creating a two-way conversation that
enriches the audience experience. Twitter and Facebook claim to be broadcasters’ ideal
partners (Future Scape, no date). This new development, also known as ‘Social television’, is
boosting live viewing and advertising revenue.
With around 10 million social media feeds relating to television content each day, a new type
of content is being created. Short messages are shared quickly and easily which heighten
social enjoyment. This was found to be particularly prevalent in entertainment genres and
advertising.
Definition
Although the concept of transmedia has ‘hype’ around it, the term is becoming more derided.
The vocabulary is proving unhelpful for many within the media industry (I4RDH). Many
theorists speculate about transmedia strategically but it has been hard to cut through to the
reality of what companies are doing and what the demand is they are responding to (I5PC).
Transmedia fundamentally changes the relationship between content creators and consumers
by creating an interactive relationship. It opens a dialogue between television, brands and
their audience. This interactivity creates a deeper engagement and strengthens brand loyalty.

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Techniques such as voting polls and social media (I5PC) allow the public to influence the
story; in this sense co-opting the audience is transmedia. Broadcasters are creating new
formats incorporating viewer participation, live commenting polls, voting and gaming (Future
Scape, no date). The risk, however, to producers of audience co-creation is the loss of control
over their story.
Evolving Technology and Commercial Impact
The traditional audience that advertisers want to reach is the 18-35 year old demographic
which is very active on social media (I3TT) and they are also early adopters of new
technologies. This means at the very least transmedia has a huge marketing value (I2SG) to
advertisers and television. Transmedia is a means of achieving additional reach at a low cost
but this underrates its power (I7LR).
Scale and Reach
Television still dominates in scale and reach (I7LR) with by far the highest numbers of
viewers, ultimately people are still watching television whether it is consumed on their
phones, tablets or live (I1SW). A recent survey by YouView (2013) found a quarter of adults
watch more television than they did five years ago and most of the increase is through on-
demand services. Channel 4’s digital channels continued to be a growth area with views of
shows on 4oD, their on-demand service, up 5% year on year and a 50% increase in non-linear
revenues.
There is an elasticity of demand of the main watching experience (I4RDH) as the audiences’
ability to view is capped. Around 4,000 hours of mainstream genre programmes are
broadcast every day of which the average viewer watches 4 hours (eMarketer, 2013); this
means that the viewer has to be very selective.
People have even less time to invest in relationships with all television shows (I5PC). New
opportunities to view, such as the new Sky app, allow you to view on the move, are
interesting developments (I4RDH). Other models, such as Netflix where content is given all
at once, are also interesting but only appeal to a certain type of viewer (I4RDH) and do not
have the social currency of television (I1SW).

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New Platforms and Fragmentation
Convergence of technology has shifted control by allowing consumers different access to
content, particularly with the younger generation who are adopting a multiplicity of devices
(I2SG). The average household contains four to six different devices on which they can
watch programmes (eMarketer, 2013). Many younger viewers claim to no longer watch
broadcast television with all their viewing happening on services such as BBC iplayer
(I4RDH) or YouTube (I5PC).
A recent YouView (2013) poll showed a third of 18-24 year olds viewing was on-demand.
Broadcasters have the opportunity to extend into this digital world by carrying advertising
against video-on-demand (I4RDH) and by producing short-form content revenues can also be
increased (I5PC). However, to be classed as transmedia this additional activity would have
to add to the original story in some way, such as the creation of peripheral stories or the
addition of user-generated content, as opposed to merely re-purposing existing content.
Online services such as YouTube provide a platform for new creators, without the need of an
aggregator, broadcaster or publisher to endorse them (I3TT). There are increasing numbers
of new creators who have turned YouTube into paying propositions. With continued
fragmentation of media and audiences, transmedia could increase the attractiveness of content
(I6AR), allowing it to rise above the fray.
Other players such as Apple are entering the market working within the existing pay-tv
business model. Apple is evolving from a platform to watch television shows to a device
offering additional content. Amazon and others such as Microsoft’s Xbox are rivalling
Netflix and YouTube by striking deals to make their own programming.
Because of the number of platforms and devices, there continues to be an issue of content
discoverability. Broadcasters offer an advantage to content creators in the visibility they can
provide to audiences (I2SG). The television set is one of the simplest devices to use, which is
one of the major reasons viewers check live television first (Deloittes, 2012).
These multiple platforms and devices offer new and diverse advertising mediums but recent
research by Deloittes (2012) shows that traditional television still ranked as the number one

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advertising medium with the greatest impact. In a disintegrated environment, television is
even more powerful to advertisers. A blockbuster television commercial can reach millions
over a weekend (I1SW). Social media can amplify the reach by sharing the message virally
and connecting together what might otherwise have been a fragmented audience.
Blending
Brands producing content for the likes of YouTube are also benefitting from direct
interaction with the audience (I7LR). To an extent some brands and content are blending
together and this approach is likely to grow over the next five years (I1SW). For example,
Samsung are now sourcing their own programming to be available exclusively on some of the
televisions and mobile phones they manufacture.
Second Screening (Media Stacking or Media Meshing)
Technology is enabling and enhancing transmedia in different ways (I0SJW). An opportunity
for television is that new screens can help reinforce existing viewing. Somewhere between
75%-85% of viewers use other devices, such as a mobile or tablet, whilst watching television
(Dredge, 2012). Ofcom (2012, cited by eMarketer, 2013) figures estimate that 50% of people
are surfing online or interacting with friends on social media during television shows. This
use of multiple devices is known as ‘media stacking’.
However there is little evidence as to how the majority of users are interacting with television
as opposed to just watching two things at once (I0SJW). In fact, in Deloittes (2012) study
about two thirds of respondents stated they didn’t want to use their second screen to interact
with programmes. This interaction with a second screen and television is known as ‘media
meshing’. For example, when Andy Murray won Wimbledon there were 2.6 million tweets.
Multi-tasking is becoming the norm and as second (and third and fourth) screens become
increasingly important, brands need a way to compete for the attention of users. Specific
Media has set out a map of 18 million devices across the UK (around 90% of total devices)
and grouped them so that advertisers can deliver multi-device, connected advertising as part
of a single campaign (eMarketer, 2013). According to a study from Nielson (no date, cited
by Owen, 2013), households reached on three or more device types were ten times more

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likely to visit a site. To effectively deliver messages advertisers need to understand this
multi-screen usage.
Ad Synching
Ad synching allows advertisers to synchronise their adverts across multiple devices alongside
popular television shows. Synchronised advertising is a ‘big prize’ (I4RDH) as it allows the
consumer to react and transact online (I1SW). There will be lots of services facilitating
opportunities for integrated advertising. For example, zeebox have created an app which uses
video fingerprinting technology to automatically sync adverts (I6AR). Another example is
Twitter Amplify which recognises when a viewer is Tweeting about a specific show and
allows advertisers to target them directly with related content.
Apps
The use of apps is growing year on year and the revenue generated from micropayments, at
scale, is significant. Advertisers will pay a premium to serve ads to the app at the same time
as the television advert (I5PC). Apps provide enormous potential to drive engagement by
enabling the audience to access supplemental content or even just to send a reminder of the
show. Companion content available via the web or apps allows the audience to play along
creating peripheral or parallel stories. These games are now part of our lives, with 55% of
Facebook users playing them (Stuart, 2012).
Product Placement
There is also an opportunity through web enabled technology to link product placement with
an instant purchase (I2SG). Whilst product placement can apply to any genre, viewers of
reality programming are thought to be more accepting of product placements. Reality
television is also one of the prime drivers of traffic to websites and interesting collaborations
of brands, broadcasters and producers are emerging such as Big Brother and very.co.uk
(fashion and home ware retailer). Visual effects techniques to product place after content has
been created, allowing advertisers to insert different products, already exist which in itself is
a type of transmedia (I0SJW).

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Tagging technology is being developed to enable the audience to move from the television
show to the product web-site (I3TT), for example, by clicking on an item of clothing a
character is wearing. Shazam, who have millions of users using an app enabling people to
identify music tracks on the radio or television, are seeking to expand that technology to on-
screen products (Kay, 2013).
Super-brands
There are some entertainment shows with huge amounts of brand loyalty. These ‘super
brands’, such as X Factor, are more than just a television show (I5PC). Production
companies can have a direct relationship with the fans through the second screen and
multiscreen possibilities. As the brands become bigger the balance of power between the
production company and the broadcaster is shifting (I5PC).
Transmedia is also breaking down the boundary of the television production and the audience
(I6AR). Audiences speaking through social media are shifting the power, creating a two-way
conversation. In theory, content creators could revise emphasis on characters that have
caught on with audiences or even change plot lines as a dialogue in response (Talbot, 2011).
Audience Behaviour and Social Media
Passive State (Hypodermic Needle Theory)
With scripted drama, audiences are more likely to be in a passive state absorbing the story
and may find interactivity disruptive (I3TT). There is still a demand for this passive content
and allowing people to change the story would diminish their experience (I6AR). This
passive state is aligned to the Hypodermic Needle Model of audience behaviour. The theory
suggests that the audience passively receives a message uniformly and directly and is
associated with suggestibility and receptiveness.
However, for some viewers there is a desire to care more deeply for the characters and to
have an emotional attachment. Through peripheral stories, for example, characters are
entrenched in viewers’ lives (I2SG). This again increases brand loyalty and creates a
relationship that can be developed further. Channel 4’s Utopia is an example of a transmedia

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strategy applied to drama; it had the ability to tier interaction with the story satisfying
different audience types.
To counteract the impact of disruptive commercial breaks, stories are written with ‘hooks’
(I2SG) to maintain the audience’s attention. Transmedia strategies can offer additional
methods of retaining an audience during these breaks and potentially even between series.
Transmedia can extend the life-cycle of the show by creating interstitial micro stories which
have a close relationship with the macro story.
Engagement
Because many transmedia strategies themselves tend to be self-selective this means they
already have higher audience engagement value (I3TT). These properties are about allowing
the consumer freedom and for the content to be invited in. Allowing the message to be
consumed whenever people want it means they are at their most receptive (I1SW). This is
important for brands where interruptive advertising is now more likely to be avoided through
PVR technologies enabling ad skipping (I6AR).
Sharing through social media encourages debate and allows the audience to engage more
deeply (I1SW). The more people engage with a story, brand or character, the richer their
experience (I0SJW) and the higher the relational exchange. Fans are associated with more
than just loyalty; they also spend money with the brand.
Key Influencers (Two-step Flow Theory)
Importantly these communities can be influenced by key vocalists. The Two-Step Flow
Theory of audience behaviour explains that media information does not flow directly to the
audience but is filtered by opinion leaders. By getting someone to say something proactive it
can get a lot of attention (I3TT). Such inspirational consumer recommendations are more
likely to be trusted by other consumers than any other type of advertising. Recently Amazon
announced it would pay commission to individuals who refer buyers through Twitter
messages.

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Edwards (2012) observed active fans could become ‘brand advocates’ who nurture fan
networks, re-posting content and links to their social networking sites. There is an
opportunity to engage ‘vocal types’ to share the message on an advertiser’s behalf (I7LR).
Placing such ‘stars’ into shows is a valuable piece of marketing in itself (I2SG).
Social Aspect (Uses and Gratifications Theory)
The Uses and Gratifications Theory of audience behaviour describes individuals as
consuming media for social gratification. In other words, television enables us to fulfil a
basic human need to be social. Social media is an extension to the existing social need to
communicate and to belong.
In fact, some people may watch broadcast television simply to be a part of the ‘chatter’ in
real-time as a virtual social experience. The importance of the ‘water-cooler’ moment and
the social aspects of television lead to people congregating online (I6AR). Toschi (2009)
believes transmedia story-telling is becoming the norm rather than the exception and that the
trend towards transmedia story-telling is a natural societal succession.
To date, demand has largely been manufactured by the broadcaster but with more and more
fragmentation, demand may become viral (I6AR). Social media can drive demand through
the ‘chatter’ around it, the more people talk about it the more people watch it (I2SG). High
levels of social media conversation are an indication that other people are enjoying it, similar
to the laughter track (I7LR).
Social media acknowledges a human need to belong and creates and supports a mood where
the audience is more receptive. This emotional benefit from discussion gives live streamed
television a social currency (I7LR). The preference for watching in company is strongest
amongst the young age groups who are also most likely to be early adopters of new
technology.
However, although social media’s importance is exciting it is possibly overstated. It is not
anywhere as near as important as making a good show (I4RDH) or telling a good story.
Nielson and NM Incite (no date, cited by Spangler, 2011) found that among people aged 18 -

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34, a 9% increase in chatter before a show correlated to a 1% increase in ratings. That said,
viewer enquiries although unrepresentative, still carry huge cultural weight (I4RDH).
Busse and Gray (2011) warn that contemporary audiences’ participation in media
consumption, though often imbued with a fannish look and feel, differ significantly from
classical fandom.
Different Genres and Reception Theory
As Toschi (2009) identified different types of entertainment will lead to different forms of
transmedia. Different genres can be placed on the participation continuum. Comedy at one
end not really requiring any participation, then dramas with tiered interaction and features,
and factual entertainment and entertainment shows at the other end create the highest amount
of interactivity (I4RDH).
Social media patterns also differ depending on the type of content, with those deeply engaged
and concentrating on the content such as a scripted drama, waiting until the advert breaks to
chat. During entertainment shows, which require less concentration, they are waiting for the
crux points (I7LR).
The Reception Theory of audience behaviour also describes the ways individuals receive and
interpret media in different ways. This symbiotic experience of story-telling can be enhanced
further by transmedia co-creation (I3TT) and the shaping of content to viewers’ preferences.
Big Data
As a country we are fairly relaxed about sharing data and transacting online (I1SW). People
give up information knowing that they will get something in return; there is a trade-off
between privacy and online benefits. This means that large amounts of consumer data
containing information on demographics and behaviour can be mined and used to push
content to audiences, as done for example, by Virgin Media’s TiVo.
This data can also be sold to advertisers (I1SW) to enable them to target specific audiences
with specific messages. Channel 4 has been driving a strategy to get viewers to sign up to

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Channel 4.com and 4oD. Registration hit 6.3 million at the end of 2012 an increase of over
300% since 2011.
Through transmedia, driven by big data, you can get a totally different story from anyone
else. However, there is a real risk that innovation may shrink (I0SJW) as content seeks to
conform to the power of social influence.
Metrics
Nobody yet has a complete overview of customer consumption (I1SW). Television metrics,
such as those produced by BARB, are based on a relatively small panel and excludes content
such as YouTube (I6AR). Engagement is even harder to measure although audience numbers
can be used as a proxy (I3TT). Social media is a good indicator to advertisers that a show is
worth being involved with (I5PC). The value of social listening analytics is likely to rise as it
provides a continuous monitoring of the conversation.
Advertisers are likely to look for multiple methods of measurement in the future (I6AR). For
example, internet traffic and different social sentiment tools such as those captured by
Facebook could also be used as an indicator alongside traditional methods (I3TT). It may
also be more useful to have less accurate data quickly to serve real time adverts rather than to
wait until the next day for aggregate panel information (I6AR). Real time decisions about
product recommendations can be performed by algorithms that determine intent based on past
behaviours and crowd data.
The current unaccountable nature of television advertising is further challenged by the
accountability of digital advertising such as pay per click on Google Ads (I4RDH). Google is
highly commercial and is now taking more money from advertising than ITV. However,
these alternative mediums are even more effective if combined with television advertising
(I1SW). As mind-sets merge between both television and online consumption, connected TV
could benefit broadcasters as a valuable way of gathering data on viewer and browsing
behaviour.

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Barriers to Transmedia
Technology
Stories and characters are crucial to quality content. However, sometimes too much focus on
the technology means the writing itself gets lost (I7LR). Nonetheless, a challenge to
transmedia is the take-up of new technologies (I5PC). They can be clunky to use (I7LR) and
moving between platforms is disruptive. Until the technology is seamless there will be a
resistance from consumers (I0SJW).
As the number of connected TV’s rise some second screen usage is likely to migrate back to
the main screen. Apps or social media feeds could appear in the corner of the television set
making the technology more invisible. Over time interaction between applications on
devices and applications on television will simplify.
A challenge is adding enough value for both brands and consumers, without inundating the
audience to the point of annoyance (Kay, 2013).
Skills
Another key barrier to transmedia strategies is the lack of multidisciplinary skills, with the
individual media sectors working and training in silos (I0SJW). People skills to create
complicated narratives are still lacking (I6AR). Production skills are limited (I4RDH) with
few TV producers fully understanding social media (I5PC).
Writers are not used to thinking in an interconnected multidisciplinary way; skills more
closely aligned to the gaming sector (I2SG). Game design encapsulates multi-profession
practices such as design, information, writing and audio. A new cross-media school has
opened in Denmark, European Cross-Media Academy (EUCROMA), which is bringing
students from across the EU to work in teams to develop transmedia projects. The
programme focuses on synthesising games, animation and entrepreneurial skills.

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Risk
There are huge production challenges to creating transmedia stories, they are risky and you
have to be prepared to fail (I4RDH). Expanding narratives are generally more costly than re-
purposing. With funding from broadcasters to producers falling, this leaves production
companies exposed to an increased funding gap and an even larger risk.
With rights structures that have built up over decades, it’s sometimes difficult to form
transmedia alliances. Transmedia creations are complicated and risky; it would be better to
trial in one media and once established build on it and franchise it out (I3TT). From a
business perspective, re-purposing existing content is a lot cheaper than producing new
content.
Transmedia can help content stand out from the mass supply, offering multiple touch points
to the audience which can increase profit within individual media through increased
engagement. However, due to the risks and funding issues, it is unlikely that production
companies can afford to experiment without brand sponsorship or strategic alliances.
Channel 4 has a remit to innovate for the audience which includes new ways for the audience
to interact with broadcast output, so to a certain extent they have more freedom to
experiment.

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Chapter 6: Conclusion
The meaning of transmedia has shifted significantly over the last decade and it is clear that
the definition of transmedia within the industry is still evolving as is the technology that
enables it. Whilst transmedia is much broader encompassing all media from print to gaming;
social media or ‘social television’ and second screening are the most recent iterations of
transmedia within the television and advertising industry. The way society responds to these
advancements is important to choosing future strategies.
The visionary view of transmedia was not borne out in the findings, rather the term itself had
become derided and the vocabulary complicated and confusing. With the fast diffusion of
media and fragmentation of audiences it is critical for content to rise above the fray. The
critical element of content remains a good story whether a television show or an advertising
message.
The commercial reality is that media content is to a major extent financially driven. New
business models and revenue streams are emerging. Media is constantly in transition, with
new and existing platforms, brands and content blending together through connected
strategies.
These connected strategies mean that large amounts of consumer data containing information
on demographics and behaviour can be mined. This big data is described as the ‘new oil’.
The customer intent based on past behaviours and crowd data allows real time decisions for
advertising using algorithms.
Technology as well as being an enabler to transmedia is also a barrier. So too is the silo
culture of the media industries which leads to a lack of multi-disciplinary skills. Media
collaborations are needed.
Transmedia and technology were seen as both advantageous for engagement and potentially
disruptive. Transmedia production is challenging, costly and inherently risky. With a more
accurate and robust measurement of audience and engagement required to justify successes.

Commercial Realities of Transmedia on Broadcast TV

Commercial Realities of Transmedia on Broadcast TV

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