Broadcasting vs. OTT Competition: How Legacy Networks and Digital Broadcasters Adapt to Change
Terrestrial dramas have long been established as popular TV programs, produced and broadcast through traditional broadcasting stations. In contrast, Over-the-Top (OTT) services are internet-based streaming platforms, with Netflix, Watcha, and domestic platforms being leading competitors. As media consumption habits evolve, competition between network-produced series and digital streaming platforms has intensified. Consequently, each platform is producing original productions and employing distinct strategies to stay ahead.
Differentiation Strategies of Terrestrial Dramas
Terrestrial broadcast series focus on providing stories with broad audience reach while maintaining classic narrative structures. In particular, they actively highlight star actors to boost ratings and produce narratives that appeal to a broad spectrum of viewers, thereby securing a consistent fanbase. Additionally, leveraging their historical credibility and network legacy, they continue to present familiar content, ensuring reliable audience numbers. This allows audiences to explore different channels to engage with network television through various distribution channels.
Differentiation Strategies of OTT Services
OTT platforms are expanding their subscriber base by employing tactics distinct from network-based television. Firstly, they actively adopt emerging trends and innovative storytelling, prioritizing creative risk-taking and narrative depth over broad popularity. Secondly, they curate customized programming that meets the needs of individual tastes, targeting unique fan bases. Lastly, they focus on producing globally accessible media aimed at the worldwide audience, allowing them to secure viewers not only website in their home country but also on a global scale. Through these approaches, OTT platforms are redefining the market in ways different from legacy channels.
Competition and Collaboration Between Platforms
As major TV networks increasingly enter the digital entertainment industry, competition has become fierce. For instance, KBS and a long-established broadcaster operate their own OTT services, 'KBS Streaming Hub' and 'MBC Digital', respectively, making available their existing TV shows on digital platforms. This initiative helps sustain the relevance of legacy networks while engaging modern audiences. Meanwhile, the rise of alternative digital platforms is changing consumer behavior towards more flexible viewing options.
Conversely, OTT services are also solidifying their influence by collaborating with traditional TV networks. A leading global streaming giant has gained massive international recognition with Korean dramas like 'Squid Game' and 'Hellbound', leveraging the storytelling expertise of Korean TV networks. This strategic alliance helps both parties maximize their potential, fostering a more dynamic industry. As a result, the distinction between traditional and modern media continue to fade.
Ultimately, legacy TV series and streaming platforms are both rivaling each other and finding common ground through their respective market tactics. Terrestrial dramas maintain established storytelling and mass appeal, whereas OTT services provide experimental and cross-border content. As strategic partnerships and cooperation between these platforms continue to develop, audiences can expect a richer and enhanced content environment in the future.