Last month, CTV Barrie announced it would lay off a dozen employees as part of a corporate downsizing.
Christopher Waddell, Carleton University’s associate professor at the School of Journalism and Communication, said there are two problems facing television and media in general.
“Television has survived almost 100 per cent on advertising. The problem is, advertising is disappearing from (traditional) media.”
Advertising dollars are increasingly going online because it’s cheaper and it gives businesses a way to target a specific audience or to track how many users click on their ad.
“The sharp and steady decline of advertising with no sign that it’s going to reverse is a big problem for over-the-air television,” Waddell said.
The second problem is the new generation doesn’t watch a lot of television.
Many students can’t afford both cable or satellite and Internet service, so they decide to watch their programming online.
“Very few of my journalism students have cable television in their home,” he said. “They think Internet is more important and they can see a lot of the things they need to see on the Internet anyway.”
Waddell added as they age, nothing will persuade them to go back to television as older adults.
However, he said the format of video storytelling is far from obsolete.
“In fact, it’s more alive than before. You can see so many things and you can see all different quality of things that people shot at different events through their cellphones.”
He said the issue is television is no longer the predominant format.
And local television will take another hit in March when cable and satellite services must allow consumers to pick-and-pay for individual channels instead of forcing them to purchase specialty channels they don’t want as part of a bundle.
“Specialty channels rely on subscribers. The secret is they can make money — even if nobody watches their channel — providing your subscriber revenue is higher than their production costs.”
The problem is when pick-and-pay is introduced, those specialty channels will cost more individually, Waddell said.
“What the Bell Media layoffs are is, in part, a response to the decline in advertising, but in part, a response to what they anticipate is something of a bloodbath when we move to pick-and-play,” he said.
When asked for comment on how customers can support their local television program, Bell Media spokesperson Matthew Garrow declined.
“We are not in a position to comment on that matter at this time,” he said.
‘Bloodbath’ on the way for local TV, professor warns