Catalyst: a new focus on CD-ROM

Catalyst Entertainment’s new media strategy entails repurposing the earnings of its cd-based specialty programming division into becoming a major player in the consumer cd-rom field. In a couple of years, president Charles Falzon sees cd-rom/cd-i production representing half of the company’s production activity, in terms of volume, and perhaps a balm to the thorn in the side of tv producers – deficit financing.

Catalyst Information Programming recently completed its first sponsored interactive project, the cd-i/cd-rom component of an aids-care, nine-video series produced by cip for drug company Burroughs Wellcome.

Falzon says it’s the first North American disc in this field; it’s also the first disc in Catalyst’s new North American production strategy.

Catalyst Entertainment’s year-old division, designed to create narrower programming for consumer or niche audiences – educational and specialty fare in new media, cd-rom and cd-i – will turn around $3 million in production this year, with plans to do $5 million in ’95.

Initially focusing on business communications, cip is catering to the needs of corporate Canada with projects like Forefront: An HIV Update, to fuel a self-financing r&d division designed to catapult the Toronto-based producer/distributor onto the i-way.

Burroughs Wellcome approached Catalyst to do the educational video project, which was shot in a tv news mag style, and from there, the move to interactive, with its inherent ability to access information in the manner of reference material, seemed natural given the nature of the programming. With the pharmaceutical company footing the bill, a new structure with new info was put together; no mere exercise in repurposing.

Falzon’s market strategy is to master cd production by producing for people who want – and finance – specialized projects. Right now, cip is involved in three such projects, and plans to do six to a dozen corporate-sponsored projects a year. This enables Catalyst to develop both expertise and its own consumer projects – currently four are in development – with someone else covering the overhead.

On the front burner, Catalyst is developing a preschool educational series and a quick-cooking project. Falzon expects one of the consumer cd-i projects will come to fruition in ’95.

Production strategy is simple: basic production techniques enhanced with computers, resulting in a slick product that will not be easily dated.

Falzon is looking for titles that will have value over the long haul (five to 10 years). As king of the infomag series in his capacity as a tv distributor, Falzon the cd-producer will have ready access to footage suitable for interactive programming.

In light of the deficit financing production scenario playing out in the tv market, Falzon says, ‘This part of the industry has to be cost-effective in its production.’

While Falzon sees the cd element as being closer to the publishing world than tv, on the television front he is looking at creating shows that have dual-purpose potential, and to that end is in discussion with Lifetime in the u.s. and specialty channels here.

The new cycle, as Catalyst sees it, is: tv program – on-line – cd-rom. In addition to sponsorship potential, this circle of life opens other revenue streams for all partners. Currently, Catalyst is talking to an indie producer with plans for a magazine that fits into the above scenario.

While cip serves as a Trojan horse, positioning the company in the driver’s seat for consumer cd-rom and cd-i production, Falzon says the division will always do projects for both the specialized and consumer markets. ‘Once into consumer projects, we will not abandon this area.’

Part and parcel of the company’s agenda is acting as medium consultants, and Catalyst has deals with hardware producers to act as value-added resellers. cip is currently supplying Panasonic’s new Multimedia notebook to its clients, and is the exclusive Canadian distributor of the ShowMaster cd-based multimedia presentation hardware/software solution from Washington-based technology firm CapDisc.

Director of information programming Richard Pieklo, a corporate communications recruit formerly with Oberon Communications, heads up the division and is responsible for developing and marketing projects, raising the financing and overseeing production.

Michelle Fournier, who comes from an advertising and computer service background, has just been hired as a project manager/executive producer.

Most of the projects are done by freelancers, co-ordinating with cip’s in-house producer and assistant.

Catalyst’s l.a. office is also participating in marketing and research.