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ProHub
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Medium Customer Experience Brand Trust Programming Strategy

News Co.

#Media #Broadcasting #News
ProHub Comment

This case requires candidates to identify a trade-off between short-term revenue optimization (Opinion shows generate high ad revenue per viewer) and long-term brand equity (declining trust). The progression from brainstorming societal impact to analyzing programming data to calculating revenue by show type forces structured thinking about competing business objectives. Excellent candidates will recognize the financial incentive driving the problematic programming choice and propose solutions that address both trust and profitability.

Estimated Time 15 minutes
Difficulty Medium
Source Darden
50 / 100
NewsCo. is a TV network that offers live news and pre-recorded entertainment programming. They’re concerned about a recent survey showing a decline in viewers’ trust. This is particularly worrisome because NewsCo. prides itself on high-quality journalism and uses the tagline “News You Can Trust.” Our team was hired to identify the root causes and provide recommendations.

Clarifying Information

  1. A US-based consumer intelligence agency compared NewsCo. to other major news networks across several dimensions. While NewsCo. scored well in most dimensions, only 46% of viewers considered it trustworthy. It ranked fourth most trustworthy out of six major news networks. In 2018, over 75% of consumers rated NewsCo. as trustworthy, ranking first. Survey respondents were asked to assess “NewsCo. is a reliable and trustworthy news source.”
  2. Yes, NewsCo. operates a website, but management is currently focused only on its television programming.
  3. NewsCo. wants to understand the root cause of the low trustworthiness score and recommended actions to improve it.
  4. NewsCo. earns most of its revenue from advertising on its TV programming, but it also earns revenue through cable subscriptions, website advertising, and selling prepackaged content to third parties such as airports and hotels.