● In terms of leadership, MTV had its president recently changed 3 times in 18 months to manage the drop in user ratings. R&D Skills: Over the years, MTV has continued to spend money and resources on R&D either by having the knowledge inhouse or acquiring the required expertise: ● Online communities by acquiring companies such as Neopets with its 25 million members. ● Download service with launch of URGE music service that will have exclusive MTV programs. ● Wireless with worldwide reach of 750 million cell phone users ● Video on demand ● Launching of a division called MTV games allowing release of new video game titles.
Financial Resources of the Firm ● Viacom has two revenue divisions: movie production and media companies ● Parent company of MTV networks, other domestic U.S. and international media companies ● Media networks (domestic + international) account for on average 78.12% of total revenue (previous 8 quarters)
Financial Sources - Viacom Worldwide Media - U.S. Domestic accounts for on average 79.40% of all media revenue - Recent trend of loss of domestic share of portion of media revenue - International slowly increasing as domestic slowly decreasing - Domestic networks includes 16 independent media channels - 4 of 16 domestic networks are branded as MTV channels
Financial Resources - Domestic MTV Viewers - Domestic MTV includes: MTV, MTV Classic, MTV2, & MTVU - Revenue comes from 2 sources: Advertising & Affiliates - Advertising revenue is based on number of viewers & dollars advertisers spend to reach viewers - Affiliate revenue comes from cable and broadcast platforms paying to access channel subscriptions for customers - With recent increase in viewership & profit margin
MTV Marketing Mix Promotion MTV leverages online social media to promote its programs. It is also accessible on demand through its website. MTV uses celebrities to promote its Brand on other channels, through events, music tours, and the Music Awards. MTV Unplugged features celebrities in action performing core audiences’ favorites in refreshing way. Place MTV has coverage in 167 countries in 22 languages which included India, China, Argentina, France and many more. MTV adapted a ‘think locally policy’ to gain market share in addition to catering to local demand and trends within the region. Product Entertainment and news that is ever evolving to remain relevant to the popular culture with networks of over a hundred channels worldwide. MTV content consist of music videos, concerts, long-form programing, movies, culturally relevant entertainment, news and “...all issues associated with pop culture” as its marketing mix. Price MTV uses a paid TV model. MTV gains revenue from advertisements in addition to its sister channels like VH1, Nick, Spike, Comedy central which are also priced at a mid range.
Other Case/Brand Specific Facts ● First Market Movers ○ Created the concept of music television ○ Created the concept of Reality TV ( The Real World ) ○
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- Fall '14
- Marketing, MTV Networks, mtv brand