Versant, a media company spun off from Comcast/NBCU, is navigating the systemic decline of pay television, which currently accounts for 80% of its revenue.
The company's core strategy is to transform its revenue mix to 50% from pay-TV and 50% from non-pay-TV sources like direct-to-consumer, digital, and transactional businesses.
Versant's diversified golf business, which has already achieved this 50/50 revenue split, serves as the 'model home' for transforming its other verticals (news, business, entertainment).
The company is actively exploring inorganic growth by acquiring digital-native media assets to accelerate its transition and gain scale in its key verticals.
12 quotes
Concerns Raised
Systemic decline of the pay television ecosystem, which is the source of 80% of current revenue.
The challenge of growing new digital revenue streams fast enough to offset the decline in traditional affiliate fees.
The risk of becoming overly dependent on key on-air talent who could leave the platform.
Opportunities Identified
Acquiring digital-native media companies to accelerate the transition and add scale.
Replicating the successful, diversified business model of the golf vertical across other content areas like news and entertainment.
Building out direct-to-consumer video offerings for established brands like MS Now.
Leveraging the strength of live news and sports programming, which constitutes 62% of viewership, as a durable competitive advantage.