(26 February 2008 3:00 pm)

MUMBAI: US broadcaster Disney-ABC Television Group has announced an arrangement between ABC and its affiliate association to make ABC content available on an on-demand basis through cable, DBS and telco distributors.

The agreement allows local affiliates to participate in the "fast-forwarding-disabled" video-on-demand (VoD) offering through local advertising sales opportunities.

Additionally, this agreement lifts ABC's repurposing restrictions, allowing for expanded opportunities to repurpose network programming at any time through this VoD arrangement, as well as through download services, including iTunes and Xbox, with whom ABC has current distribution deals.

Disney Media Networks co-chair Anne Sweeney says, "We remain focused on our consumers and finding innovative ways to make our content more widely available to them; and we believe that this can be achieved by continuing to evolve the ways we work with our distribution and advertising partners.

"This new arrangement provides further proof of the dedication the network and our affiliates have to working together in unique and inventive ways to create new opportunities that build all of our businesses."

ABC Television Affiliates Association chairman Ray Cole said, "The ABC Affiliate Board has endorsed this plan and recommends it to the affiliate membership. We believe that it includes many important, affiliate-friendly features which provide an opportunity for local ABC stations to share in the economics of video-on-demand.

"Importantly, it also serves as further affirmation of the constructive efforts of Anne Sweeney and her team to work with affiliates in a manner that strengthens and builds upon the traditional national network/local affiliate partnership. Affiliates are committed to working with the network to create new, reciprocal business opportunities in both existing and new media."

Disney Media Networks president global distribution Ben Pyne says, "This new agreement is a win-win for everyone. Our broadcast affiliates gain incremental revenue and promotional opportunities; our cable, satellite and telco partners will now have the opportunity to grow their on-demand offerings; our advertisers have an additional platform to add to their mix; and most importantly, the desire of consumers to have additional access to our programming is fulfilled.

"As we've seen in our previous experimenting in the on-demand space, the knowledge gained by programmers, operators and advertisers collaborating together benefits the entire industry, as we all look for inventive ways to evolve our businesses."

For the past several months, ABC and Cox Communications have been participating in a free VoD trial in Orange County, California which involves disabling the fast-forward option for all offered ABC content. Initial research conducted by Knowledge Networks/Statistical Research in Cox's Orange County service area regarding this trial shows users of fast-forwarding disabled VoD overwhelmingly (93 per cent) find the advertising acceptable in exchange for gaining free access to their favourite shows.

The research also shows that the addition of ABC series to their on-demand offering has grown new usage of the platform and increased frequency of usage by previous on-demand users.