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'Chucky' and 'Jurassic World' Are Using This Santa Monica-Based Platform to Tap Fans for Art and Ideas
Kristin Snyder
Kristin Snyder is dot.LA's 2022/23 Editorial Fellow. She previously interned with Tiger Oak Media and led the arts section for UCLA's Daily Bruin.
As a kid, Jeff Blackman loved to see the animated artwork that would air between shows on networks like MTV and Nickelodeon.
Now, as the senior vice president of creative, entertainment cable creative & marketing in NBCUniversal’s Television and Streaming Department, Blackman wants to make his own networks just as visually engaging. And he wants fans to be part of the creative team.
So far, they’ve delivered. Ahead of the second season of “Chucky,” a series that follows the character from the “Child’s Play” franchise, NBCUniversal’s cable channel SYFY tapped the film’s fans to make episodic posters for the show. Eight different artists received $2,000 for their work, which resulted in anime-esque reimaginings of the doll and a Christmas-themed animation.
“We had this idea that, if we're going to turn the brand of SYFY over to the fans, we would want them to create the experience on the TV channel—which, traditionally, only the people that make shows get to make the TV channel,” Blackman says.
To find enthusiastic artists, NBCUniversal turned to Tongal, a Santa Monica-based content creation platform. The way it works is simple. Artists use the platform to showcase their work and market themselves to people looking to hire creatives. Alternatively, companies provide information about specific projects, such as what fanbase they are looking for and digital size requirements. After reviewing artist submissions, the companies greenlight which artists will get funding to complete the project.
For founder and CEO James DeJulio, Tongal was born out of the frustration of seeing talented people be shut out of the entertainment industry, which is notoriously difficult to break into.
“I really wanted to build a system where creative people could begin to unlock their potential and where they would find the opportunity to work with people like [Blackman], who believed in them and who desperately needed to find a way to get closer to creators and their audience,” DeJulio says.
Tongal and NBCUniversal’s partnership has since expanded beyond logo art. For “Jurassic World Dominion,” fans were encouraged to animate dinosaurs in the modern world. The 35 year anniversary of “Back to the Future” was celebrated with people recreating their favorite scenes.
But the process can also get more in-depth. When SYFY wanted to make a documentary about the comic book writer Todd McFarlane, they offered artists on Tongal a budget ranging from $80,000 to $120,000. They also helped those artists coordinate large filming locations. In one case the artists filmed at San Diego Comic-Con and were granted access to McFarlane’s personal archive.
The idea for Blackman is to use Tongal’s network to find creators who have extensive knowledge of the comic book world instead of hiring from a more traditional pool of applicants.
“We need somebody who knows that stuff, maybe has some relationships and prior work in there and then can bring something interesting to the visual storytelling,” Blackman says.
While some companies, like Marvel, have been vocally hesitant to bring fans into their process, claiming that they are too attached to the original plotlines, others have embraced them. Last year, Lucasfilm hired a “Star Wars” fan who had previously made Luke Skywalker deepfakes to work on de-aging and facial visual effects.
For its part, SYFY wants to work with people who are passionate about their intellectual property. According to Blackman, doing so solves two problems: the company doesn’t have to spend time explaining the show to people who are unfamiliar with the universe, and it helps them feature a wide range of skill sets and artistic styles.
“This lets us go really deep with these subsets of fans and audiences and lets them go even deeper on their engagement with the show,” Blackman says.
From DeJulio’s perspective, that level of fan engagement is going to be the key to television marketing. He believes marketing methods that don’t actively engage fans are no longer an effective, long-term marketing model. Instead, bringing in people who want to channel their passion for a show into a creative outlet can become an active part of the marketing process.
“I think, in the future, there's no way for a show or movie to not get really close to the fan base,” DeJulio says. “The idea of that something just gets created in an ivory tower and then launched out into the world—I don't know if that's the long-term marketing model for entertainment.”
Kristin Snyder
Kristin Snyder is dot.LA's 2022/23 Editorial Fellow. She previously interned with Tiger Oak Media and led the arts section for UCLA's Daily Bruin.
https://twitter.com/ksnyder_db
Ebay 2.0? Whatnot's $50M Bid To Take Auction Excitement to Livestream Video
09:00 AM | May 25, 2021
Photo by Thimo Pedersen on Unsplash
A few years ago, you went to eBay to bid on limited edition sports cards or out-of-print comic books. Then, livestreaming came to town.
Two weeks ago, one Pokemon collector dropped $17,500 on a Skyridge Charizard Holo card during a broadcasted event streamed live on Whatnot.
What began as a social app for collectors to swap stories and photos has ballooned into a digital stage for live auctions and unboxing videos. Since January, the Los Angeles tech startup has hired some 40 employees and leased a 10,000 square-foot office space in the Marina Arts District.
And on Tuesday — just a few months since its last big boost — the startup closed a $50 million Series B round.
Whatnot recently closed a $50 million Series B round.
"It's probably one of the fastest growing marketplaces we've ever seen," said Y Combinator's Anu Hariharan, who led the round.
It's been over a year since consumers moved online in droves and investors are still sinking millions into retail technology —livestream shopping especially.
L.A.-based Popshop Live was valued at $100 million last fall after an investor bidding war to lead its Series A. Talkshoplive, which hosts celebrities livestreaming about their memoirs and latest albums, scored seed capital in February from a venture firm backed by eBay's founder.
One Pokemon collector dropped $17,500 on a 1st Edition Shining Charizard card during a broadcasted event streamed live on Whatnot.
What gives? Hariharan said U.S. ecommerce has only embraced video in the last three to five years, and now it's everywhere. Even retailers like Home Depot introduced livestream demos and workshops during the pandemic.
Grant Lafontaine, the CEO and co-founder of Whatnot, brought the technology to a niche, well-connected community of online shoppers. He founded the company in 2019 with Logan Head, a former product manager at the online sneaker marketplace GOAT.
Their users are 18 to 32-year-old collectors who spend hours browsing eBay listings but crave something more interactive.
"They're on eBay because they're buying the collectibles, they're on Instagram to show them off," Lafontaine said. "They come to Whatnot because they can do both."
The company got its start as a social platform and marketplace — sans video livestreaming. That function came later, after a steady pool of users made checking Whatnot a daily habit.
"I was the first person to go live," Lafontaine said. "I sold out $5,000 worth of collectibles in two-and-a-half hours. The experience kind of spoke for itself. Anyone who saw it wanted to use it."
Other investors include Andreessen Horowitz, Animal Capital, musicians Ryan Tedder and DJ Skee with Min 10 and NFL players DeAndre Hopkins, Bobby Wagner and Jeremy Padawer. The company has raised $75 million to date.
Whatnot now boasts 15 categories of collectibles, from FunkoPops to sports cards (the most popular category on the app) to a few newer experimental verticals like vintage clothing. Within the next year, Lafontaine said he hopes to hit 30.
"For a young startup, it's always important to start with one or two categories, not with everything," said Hariharan. "What Whatnot has done really well in collectives will help them scale pretty much any product."
The app, she said, is on its way to becoming "eBay 2.0."
A previous version of this story stated Whatnot closed a $40 million Series B Round. The correct amount is $50 million.From Your Site Articles
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Francesca Billington
Francesca Billington is a freelance reporter. Prior to that, she was a general assignment reporter for dot.LA and has also reported for KCRW, the Santa Monica Daily Press and local publications in New Jersey. She graduated from Princeton in 2019 with a degree in anthropology.
https://twitter.com/frosebillington
francesca@dot.la
Peacock TV Hopes It's Found the Right Business Model to Weather the Pandemic
04:10 AM | April 15, 2020
Bring on the bird puns! On Wednesday, Comcast subsidiary NBCUniversal's streaming service, Peacock, takes flight. Initially available to a subset of Comcast cable and broadband subscribers, Peacock will reportedly spread its wings across Comcast's footprint by the end of April before expanding on July 15 to other cable company customers and web and streaming platforms.
The new service will hatch with up to 15,000 hours' worth of content. Peacock's library will include a flock of NBC favorites like Parks & Recreation, 30 Rock and Law & Order: SVU; movies from Universal Pictures and Dreamworks Animation such as Jurassic Park, E.T. and Shrek; and news segments, talk shows, original series and content from Telemundo. Peacock will also offer a selection of live sports (once those migrate back), and in 2021 will have exclusive rights to The Office.
Pricing will be tiered. Comcast customers will have full access with ads for free, or ad-free for $5/month. The behemoth has already forged a deal with Cox, another communications company, to provide their customers preferential access to Peacock, and is reportedly negotiating terms with others. Non-Comcast customers will have three options: limited content feathered with advertisements will be free; double the content with ads for $5/month; or no ads for $10/month.
Peacock will find itself perched alongside feisty competition. Yet whereas most of its streaming market competitors have zigged toward offering subscription-based video on-demand (SVOD), Peacock's advertising-based (AVOD) platform represents a bit of a zag.
"One thing that helps Peacock stand out is that it will feature some content for free," said Ross Benes, analyst at eMarketer.
In such a crowded field (see below), Peacock's relatively strong content slate should help, too.
Select Streaming Services
*Most common plan
**Expected to launch in May 2020
The coronavirus complicates the picture. On one hand, demand for streaming is up. Comcast has touted a 50% year-on-year increase in video on-demand viewing among its cable customers in March.
But countertrends abound. With most filming halted due to physical distancing, Peacock had to push a "significant" number of its original show releases to 2021, per a company press briefing earlier this week. The absence of live sports has increased demand for some other forms of content, but it also weakens what would have been a competitive advantage for Peacock. The postponement of the Olympics hurts, too, as NBC can no longer use the event to goose subscribers nor promote the service on its other assets. And a weak economy threatens to squeeze disposable incomes and tighten advertising spend; Magna Global, a research firm, recently cut its 2020 U.S. ad sales forecast from 6.6% annual growth to a 2.8% decline.
Add it up, and it's no wonder Peacock executives wrote earlier this week that "we are viewing 2020 as a runway to 2021."
A Strategic Bird
That runway metaphor looks apt on a broader timescale, too. Several industry sources told dot.LA that Comcast's strategy is to use Peacock to hedge its business units.
"The overriding initial purpose of Peacock," said media analyst Bruce Leichtman, "is to add value for Comcast's 28.6 million (and growing) broadband subscribers."
Sources also told dot.LA that part of the strategy is to retain Pay-TV customers while also guiding a controlled move toward streaming.
Few companies have as much to lose from cord cutting as Comcast. According to analysts, the firm would be wise to accommodate this seemingly inevitable trend, while trying to limit the rate at which one of its cash cows is cannibalized.
Indeed, several of Peacock's features cater to an audience still attuned to the ways of pay-TV. That starts with offering them free access, which will nevertheless bring in streaming revenue from the ads. And, in contrast to customers who've grown used to ad-free offerings like Netflix, a cable TV audience will not likely find Peacock ads much of a deterrent to using the service. Yet perhaps neither will other potential customers, given that Peacock reportedly plans to limit ad loads to five minutes per hour, and experiment with new kinds of advertising, such as interactive ads, meant to be more user-friendly than the typical spot.
Analysts appear split as to whether ad-supported customers will bring in more revenue than subscribers paying a higher price.
"In general, programmatic advertising doesn't necessarily add a lot" of incremental value, said Brian Wieser of GroupM, an advertising firm, referring to Peacock's ability to target ads to viewers based on data.
But others have reported that Hulu's AVOD customers do in fact bring in more revenue than their ad-free counterparts, and insiders at NBCUniversal anticipate the same, per a source familiar with the matter. Also encouraging on this front is eMarketer's forecast from 2019 of 103% growth in streaming ad spending from 2019 to 2023.
Plus, flying alongside Comcast should help.
"Comcast already has all these relationships with advertisers, so that's a big advantage," one NBCUniversal employee told dot.LA.
Other potential differentiating features include the numerous Peacock "channels" that will carry pre-programmed linear content aligned under certain themes (such as Saturday Night Live, NBC News, and Unsolved Mysteries); the high volume of familiar shows and movies; and the automatic playing of content upon opening the service, much like turning on the tube.
Although Peacock has reportedly locked in several 18-month advertising commitments, analysts and investors doubtlessly await clues on company plans and expectations in the April 30th first-quarter earnings call. But it may be difficult to find them. Since Peacock is not its own company, its performance will not be broken out in financial reports. And, as with many streaming providers, the numerous subsidies that boost subscriber numbers mean not every figure can be taken at face value.
"Because Comcast subscribers will get it for free, pure subscription figures won't tell the entire story," said Benes. "The more pertinent behavior to look at is whether people are actually spending time watching it."
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Sam Blake covers entertainment and media for dot.LA. Find him on Twitter @hisamblake and email him at samblake@dot.LA
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Sam Blake
Sam primarily covers entertainment and media for dot.LA. Previously he was Marjorie Deane Fellow at The Economist, where he wrote for the business and finance sections of the print edition. He has also worked at the XPRIZE Foundation, U.S. Government Accountability Office, KCRW, and MLB Advanced Media (now Disney Streaming Services). He holds an MBA from UCLA Anderson, an MPP from UCLA Luskin and a BA in History from University of Michigan. Email him at samblake@dot.LA and find him on Twitter @hisamblake
https://twitter.com/hisamblake
samblake@dot.la
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