In 1980, when there were fewer than two dozen cable networks and only 15 million households receiving them, a station called ESPN was just getting off the ground.``At that time the conventional wisdom was that an all-sports network would never work, that it was too narrow to really be viable,'' said Roger Werner, who would become CEO of ESPN within a decade.
Today, the cable universe reaches 67 million homes and 174 channels, ESPN's revenues are over $1 billion, and nobody could possibly call it narrow. ``Narrow,'' or ``niche network'' as the industry calls it, now means an all-golf channel, or an all-anthropology channel.
The focus will likely get narrower, too, since technology eventually will increase the number of cable channels reaching each household from dozens to hundreds.
Werner, now CEO of two niche networks, shows how things are going. His Speed Vision covers fast cars, boats and planes, while Outdoor Life hits everything from windsurfing to adventure expeditions to environmentalissues.``The networks I've been involved in have moved from the more generic to the more specialised,'' said Werner. ``The magazine business and the print business were the inspiration for both of these channels.''
Another niche network called The Box goes even further. It allows viewers to pick music videos from playlists scrolled on the screen, and then call in and get them broadcast for $2 per request.
The offerings vary by region and even neighborhood, with 160 different playlists around the country ranging from Latin, country and top 40 to alternative rock, classic rock and rap-urban. Radio playlists, record sales and viewer preference all influence what's offered.
``The US has a very diverse musical audience that has different tastes depending on the region,'' said Alan McGlade, CEO of The Box. ``We think this is the wave of the future. People are more and more going to demand something that really speaks to them and is responsive to them.''
One special-interest network that seemed like a gamblebut became a sensation was the Golf Network, with legend Arnold Palmer at its helm. Just four years old, the station has already turned a profit and reaches 23 million households with its tournaments, instructional programs and talk shows.
``Forty-year-old guys can't go out and play football, but they can do this,'' said Golf Channel spokeswoman Debbie Sweeney. ``It definitely has been the secret of our success. A lot of people become hooked.''
At the same time, some niche networks are trying to widen their appeal after having gotten a foot in the door. The Food Network, for example, will be introducing a new batch of programs in July designed to increase its audience.
The station now reaches 40 million homes, but Larry Gerbrandt, a senior analyst with the media research consulting firm Paul Kagan Associates, says cable stations ``usually don't begin to approach profitability till somewhere in the 25 million subscriber range. And you're not really considered a success until you get about 50 millionpeople.''
While keeping popular shows like ``Emeril Live,'' featuring New Orleans chef Emeril Lagasse, the Food Network is branching out from traditional cooking shows and restaurant profiles by adding nine new shows ``where food is part of lifestyle,'' Ober said.
The Broadcasting & Cable Yearbook lists dozens of wannabe niche networks stations that exist in concept, with offices, financing, a collection of taped programs ready to air, and even sponsors eager to advertise.Although new digital technology is expected to increase to hundreds the number of stations available within the decade, many cable customers today get only 60 or 70 channels. So competition for a channel is intense.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.