Synergy

Why look at synergy?

MEST1 Section B Question 5

Assess the impact of synergy in your cross-media study.

Support your answer with reference to a range of examples from three media platforms.

(32 marks)

What is media synergy?

Make notes on they key points in reference to synergy.

The basic concept of Synergy can be explained through this formula:

1+1=3

Synergy means working together. Different entities cooperate advantageously. The whole is greater than the sum of its parts.

In media economics, synergy is the creation and promotion of a product or brand across a range of different platforms.

The Long Tail (Chris Anderson)...

“potential cumulative revenue of many small markets (that don't sell well enough on their own) rivalling that of singular larger markets”
Basically, revenue from many smaller products working together, could provide better gains than one popular single product on its own.

Types of platforms

In media economics, synergy is the creation and promotion of a product or brand across a range of different platforms.

• Books
• Comics
• Films
• Music
• TV
• Video games
• Tie ins

Types of ‘synergetic’ tie ins

• Synergy can come in a number of different forms
• Product Placement
• Spin-Offs
• Pre-Existing Property
• Merchandise
• Vertical Integration

Mini Synergy Case Study...

The synergy comes from the mutually beneficial relationship between the products.

Ed Sheeran the artist and The Hobbit the film, both benefit from this joint promotional venture.

Synergy is an obvious economic benefit of large conglomerates such as Time Warner being structured in this way.

Vertical Integration…

Vertical Integration is an arrangement where a larger company (a conglomerate) owns several other companies at different stages of the production or the supply chain.

Conglomerate controls...

Production

￬

Distribution (including marketing)

￬

Exhibition / publication / broadcast

Task

Using this new understanding, think of an example of a movie or TV text that has taken advantage of synergy and / or vertical integration.

Basically, nail this task and you’ve got yourself a case study...