With the co-signing of Gene Roddenberry’s new series, Atlantis Films annouces it is refocussing on the U.S. syndication market and expects 20% to 25% of its estimated $150 million worldwide revenue in 1997 to be derived from its syndication efforts.
As the battle for timeslots in the syndie market heats up, Atlantis currently has four action hours in syndication with different production/distribution partners: Psi Factor with cbs’ Eyemark Entertainment, The Adventures of Sinbad with All American Television, The Outer Limits with mgm, and the upcoming Gene Roddenberry’s Battleground Earth (briefly Conquest Earth, but now back to working with the original title) with Tribune Entertainment.
While several Canadian companies – among them Protocol, Alliance, Telescene, Paragon and Nelvana – have dabbled in u.s. syndication, none have taken the plunge like Atlantis.
‘While we are currently trying to get a show on a (u.s.) network, we’ve put more time and effort into syndication,’ says Peter Sussman, president of Atlantis Films’ u.s. division. ‘We feel the greatest capacity for us to succeed in our business plan is with syndication, because as competitive as it is in syndication, it’s even more so at the network level. We intend to take advantage of our current success and leverage in the marketplace – we do have more shows in development (for syndication).’
That marketplace is increasingly difficult for independent syndicators and producers to successfully crack.
In recent years, companies like Fox, cbs, abc and Tribune Broadcasting have developed syndication arms, so they have access to their affiliated stations to launch a new show. Secondly, in many u.s. markets, some independent stations that used to have an array of primetime slots to fill, are now affiliated with wb and upn and get some programming from them.
All but impenetrable
Meanwhile, shows like the highly rated Entertainment Tonight, Jeopardy and Wheel of Fortune have all but made prime access – between 7 p.m. and 8 p.m. – impenetrable. Syndicators are also concerned that this fall when several hour-long network shows – NYPD Blue, er, Walker, Texas Ranger and The X-Files – go into syndication, there will be even fewer time slots available.
‘There are definitely less and less timeslots,’ says Michael Bowman, manager of marketing and promotions for All American, which syndicates Baywatch, along with Atlantis’ Sinbad. ‘But it hasn’t dampened the initiative to create action hours. Because if you can have a hit action hour like Baywatch, Xena or Hercules, it can be quite profitable.’
Although Atlantis’ programs haven’t quite reached that level, they have been very well-received. Outer Limits and Sinbad regularly appear in ACNielsen’s top 10 for syndication action hours: the former has caught up to Baywatch in the important 18- to-34-year-old demographic and the latter is the highest-rated new action hour of the season.
All four Atlantis shows sell around the world and have cleared well over 75% of the u.s. market, including the all-important New York, l.a. and Chicago – key factors in securing national advertising support.
Despite the many roadblocks to syndication, Sussman maintains that if one is producing quality dramas, it’s an easier route to go than network.
More value
‘A u.s. network generally pays between $850,000 and $1 million an hour as a licence, usually on a pilot or six episodes. If the network then earns more in advertising they keep it all. In syndication, a syndicator will put up between $200,000 and $450,000 (per episode) as an advance, based on conservative ratings estimates. If ratings results yield revenue in excess of that amount then there is further revenue to be had. The syndicator usually orders 22 episodes, so there’s more value in the money because you can amortize the costs.’
Another big advantage to the 22-episode order is international sales. ‘If you try to sell six episodes internationally,’ says Sussman, ‘you’re often told to come back when you have 22. Also, internationally, often the first thing asked is who the u.s. broadcaster is. So having a u.s. broadcaster is the Good Housekeeping seal of approval internationally, and brings more sales.’
In the face of the ever-increasing syndication timeslot squeeze, Sussman maintains his optimism.
‘The strength of syndication is being unlike network programming,’ he says. ‘The shows that travel best internationally are those that as (Atlantis Releasing president) Ted Riley says, fit into the `fewer the words the better’ category. While that’s not literally true, action programs translate better. We produce high-quality action hours that sell around the world – that’s our niche and we’re continuing to build upon it.’