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Grouper 3.0 Overview April 2007 CONFIDENTIAL 1 Number of Viewers Grouper 3.0 Opportunity Number of Videos in the Category “Hollywood” Content • High quality content viewed by many • Less viral and offers less variety than UGV CONFIDENTIAL The Opportunity • Combine the viral nature of user-generated video with the quality of “Hollywood” content Viral Video • Unlimited variety of content • Highly viral • Lacks quality of traditional studio content 2 Grouper 3.0 Overview • Leverage the best of breed editorial and technology to surface the most appealing content • Acquire and produce viral vides to populate Grouper’s core channels • Engage users and partners to build a meaningful pathway to fame • Syndicate Grouper channels across Grouper’s large & growing global video network • Build a global video ad network by leveraging Sony TV sales and rep firms CONFIDENTIAL 3 Recent Updates Built the Foundation for a Channel-based Service Home Page At Acquisition: Immersed Users in a Wide Variety of User Generated Video Home Page Today: Presents Editorialized Content on a Channel Basis Home Page Emphasizes Featured Channels Video wall cycled through a mix of user submitted videos CONFIDENTIAL 4 Grouper 3.0 Builds on the Channel Model with Programmed Content for Well-defined Verticals “Sound Check” Example of a Premium Grouper 3.0 Channel Focused on Independent Music Users can browse through multiple channels at any time CONFIDENTIAL 5 Programming Strategy Channel-based Programming • Tap into passionate content communities – Attract content creators – Engage audience to rate videos • Organize content for easy browsing and discovery • Create context for users to submit videos based on channel themes Fame Partnerships Content Pyramids • Lend credibility to channels • Provide high quality editorial • Attract users by providing opportunities to become famous • Bridge the gap between independent and professional videos • Provide an editorial voice as a “tastemaker” for the channel • Create a path to recognition for content creators • Generate marketing & PR • Encourage users to interact by ranking videos and creating playlists • Offer content syndication opportunities • Award cash prizes to “People’s Choice” winners CONFIDENTIAL 6 Channel-based Programming Premium Basic “The Best Content That’s Not on Television” Sample Channel Concepts • Seize a new programming opportunity unavailable to broadcast television • Spoof and Sketch – sketch comedy and spoof busting • Evolve traditional UGV by using programming “pyramids” • Wicked Animation – not Disney • Brand channels with a strong point-of-view • Sound Check – Unsigned bands rise to fame “Contextualized User-Generated Video” Sample Channel Concepts • Organize UGV and third-party content into channels based on entertainment genres • Action Sports – Skate, surf, ride • Differentiate through editorial voice, multiplatform distribution and path to recognition • Citizen Journalism – News, opinions • Travel – Stories, insights, guides Launch in June with 7 Premium and 10 Basic Channels Expand to 15 of each by December CONFIDENTIAL 7 Grouper 3.0 Premium Channels* and Fame Partners Show Concept Potential Fame Partners Spoof Central The Internet is awash with spoofs. Spoof Central will be the premier destination. Sony Pictures Television, The Onion, Mad TV, National Lampoons, SNL In The Office Passion center for all things office humor. The cult of the film "Office Space" coupled with the popularity of the "The Office" Steve Carrel, Ricky Gervais, Dilbert, Mike Judge, Office Space SoundCheck Video magazine covering independent music. Band focus. Sony BMG, Spin Magazine, Rolling Stone, Clear Channel WTF WTF is the sketch comedy the SNL guys really want to do, but can't on network TV Sony Pictures Television, SCTV, Groundlings, Late Night Talk Shows Wicked Animation Short-form, edgy animation. Sony Pictures Imageworks, Animax, ILM, Pixar, Lucas Films Get Mortified “The place to post your past". Assets will be used for video "Shoebox" and "Shortbus" TBD The Line-Up From nationally touring comics to amateur Christopher Walken impersonations. Late Night Talk Shows, Comedy Clubs (Improv, Laugh Factory, The Cellar) *Channel list is being finalized CONFIDENTIAL 8 Fame Partners Who Are They? • Persons or companies with expertise / recognition within a specific content channel on Grouper – Persons should have access to compelling ad inventory (e.g., TV spots) – Companies should have an online presence with desire to integrate Grouper • Lend credence to Grouper channel and generate marketing/PR buzz Purpose • Drive incremental traffic and high quality uploads • Access to new syndication opportunities • Offer use of likeness, name, brand to channel Partner Commitments • Provide high profile “celebrity access” path to fame opportunities to at least one content creator on a monthly basis • Integrate Grouper into partner’s existing online site in a highly visible manner • Cross-platform promotion of Grouper channel throughout the year (e.g., TV spots) • Use admin tool to select “Weekly Partner Picks” which will be promoted as featured videos on the Channel Page • Record teaser video clips to use as promotion for channel • Maintain high quality profile pages • Attend at least 4 events per year sponsored by Grouper CONFIDENTIAL 9 Fame Partner Integration Fame Partner offers users exposure in mainstream media Fame Partner branding incorporated into channel Fame Partner Assists with Editorial, Provides a Subset of Content, and Content Selection CONFIDENTIAL 10 Pyramid Programming Integrates Editorial, Partners, and a Path to Fame Sample programming pyramid for “Soundcheck” with Spin Magazine as a Fame Partner & Tastemaker Spotlight Video “Featured” Editorially Chosen Videos “The Fray” All Videos Uploaded to Channel CONFIDENTIAL • Produced episodes co-branded with Spin • Editorial and feature selection managed with input from Spin • Clips from Spin • Grouper produced • Third party clips • Licensed content • User generated 11 Awards Offer Additional Recognition and Engage Users People’s Choice • Awarded monthly to the most viewed video on each channel Editor’s Pick / • Awarded to featured videos on each channel as selected by Grouper editorial staff and / or Fame Partners Featured Video Leaderboard Rankings Tastemaker Status • Awarded to featured videos on each channel as selected by Grouper editorial staff and / or Fame Partners • Awarded to users with most popular video playlists Mix of awards granted by editors, partners, and audience Site allows users to feature their awards in playlists and user profiles CONFIDENTIAL 12 Grouper: A Global Video Network • Grouper’s global video network allows us to seamlessly push channels and videos to an audience of millions • Videos shared on grouper are visible across hundreds of sites – Syndication deals with leading social networks Hi5, Piczo and Bebo – Expanding the network with AOL, Sprint, MSN, iTunes and other portals to increase reach – Pioneering one-click publishing feature to allow anyone watching a Grouper video to easily publish to social networks and blogs • Grouper video can be seen on multiple platforms – Branded channel on Bravia TVs – Bundled with PSP firmware and all Sony VAIOs starting in May – PS3’s high profile effort, Home, will feature video from Grouper – In talks with the Sony camera and camcorder division to power sharing across devices • Network should reach almost 250mm streams per month by mid-summer; once Grouper syndication deals are fully launched CONFIDENTIAL 13 Grouper Video Network Partners Cross-Sony Partnerships • Power video uploads • Embed screensaver and software User Driven “1 Click” • Users syndicate playlists via embedded player Distribution Partners • Embed Grouper player on partner sites • Distribute content “pyramids” Marketing • Purchase advertising on high traffic web sites • Drive users back to Grouper.com Digital Imaging CONFIDENTIAL 14 The Embedded Player Allows the Grouper Experience to Be Syndicated Across Partners Consistent Branding Common Features - Awards - Ranking - Playlists Watch this video on Grouper.com Add a video comment to this video CONFIDENTIAL Add to Hi5 Profile 15 Grouper 3.0 Next Steps • Finalize channels for launch and begin to seed those channels with original content • Negotiate short-form agreements with potential fame partners • Finalize site redesign and feature development • Continue to expand Grouper syndication network / partnerships • Expand advertising to include new 3.0 opportunities CONFIDENTIAL 16