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Trnava 2020
ISBN 978-80-572-0107-6
ISSN 2729-7527
Zuzana Kvetanová
Zuzana Bezáková
Adam Madleňák
(eds.)
Faculty of Mass Media Communication
University of Ss. Cyril and Methodius
in Trnava, Slovakia
MARKETING IDENTITY: Offline is the new online
Zuzana Kvetanová
Zuzana Bezáková
Adam Madleňák (eds.)
COVID -2.0
COVID -2.0
COVID-2.0
Faculty of Mass Media Communication
University of Ss. Cyril and Methodius in Trnava
MARKETING IDENTITY
COVID-2.0
Zuzana Kvetanová
Zuzana Bezáková
(eds.)
Conference Proceedings
11th November 2020
online
Trnava
2020
MARKETING IDENTITY: COVID-2.0
Conference Proceedings from the Annual Internaonal Scienc Conference
“Markeng Identy 2020: COVID-2.0”, 11th November 2020, online, Slovakia.
Editors: Mgr. Zuzana Kvetanová, PhD.
Ing. Zuzana Bezáková, PhD.
Technical redacon: Mgr. Zuzana Kvetanová, PhD.
Producon: Mgr. Marn Graca, PhD.
Cover design: Mgr. Marn Klemens, PhD.
All submied papers have been individually reviewed in an anonymous double-
blind peer review process, on basis of which the editors have decided about their
publicaon in the conference proceedings.
The authors of the individual scienc papers are responsible for their technical,
content and linguisc correctness.
© Faculty of Mass Media Communication, University of Ss. Cyril and Methodius
in Trnava, Slovakia, 2020
ISBN 978-80-572-0107-6
ISSN 2729-7527
MARKETING IDENTITY
COVID-2.0
Internaonal Scienc Conference, 11th November 2020
online, Slovakia
Media Communication, University of Ss. Cyril and Methodius in Trnava has
become a traditional event supported and attended by renowned mass media
communication theorists and researchers as well as by media and marketing
professionals.
The aim of the conference is to discuss the latest knowledge and trends in
outlining the importance of innovations and supporting the critical dialogue
The annual international conference Marketing Identity (formerly called
New Trends in Marketing and re-named in 2013), which was held for the
organised by the Faculty of Mass Media Communication UCM in Trnava. The
conference took place on 11th November 2020. It was attended by nearly 110
different academic and research institutions and professional organisations.
COVID-2.0. Marketing Identity has always tried to react to the latest trends in
marketing communication and media production.
More information on the Marketing Identity conference, programme sched-
Faculty website:
hps://fmk.sk
Facebook website of FMK Conferences:
hps://www.facebook.com/KonferencieFmk
SCIENTIFIC CONFERENCE BOARD
Prof. Diab Al-Badayneh
Mutah University, Amman, Jordan
Prof. Dr. Peter A. Bruck Ph.D.
Research Studios Austria Forschungsgeselschaft mbH, Salzburg, Austria
Prof. Dr. Slavomír Gálik, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
University of Zagreb, Croatia
Prof. Ing. Alena Kusá, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Prof. Evgeny Kozhemyakin, PhD.
Belgorod national research university, Belgorod, Russia
University of Creative Communication, Prague, Czech Republic
Prof. Dr. Hana Pravdová, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Prof. dr hab. Marek Prymon
University of Ss. Cyril and Methodius in Trnava, Slovakia
Prof. Ing. Anna Zaušková, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Ing. Jaroslav Bednárik, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Josip Juraj Strossmayer University of Osijek, Croatia
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Krzysztof Gajdka, PhD.
University of Information Technology and Management in Rzeszow, Poland
Assoc. Prof. Ing. Aleš Hes, Ph.D.
University of Finance and Administration, Prague, Czech Republic
Assoc. Prof. Dr. Zora Hudíková, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Dr. Denisa Jánošová, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Dr. Daniela Kollárová, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Ing. Zdenka Musová, PhD.
Matej Bel University in Banská Bystrica, Slovensko
University of Finance and Administration, Prague, Czech Republic
Assoc. Prof. Dr. Marek Švec, PhD., LL.M.
University of Ss. Cyril and Methodius in Trnava, Slovakia
Assoc. Prof. Mgr. Norbert Vrabec, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
University of Ss. Cyril and Methodius in Trnava, Slovakia
Dr. Peter Murár, PhD.
University of Ss. Cyril and Methodius in Trnava, Slovakia
TABLE OF CONTENTS
Preface ......................................................................................................................................13
How the Covid-19 Pandemic Has Affected the Virtual Economy in Second Life ...................14
Alexandra Alföldiová, Andrej Trnka
Online Marketing Communication of Restaurants in Context of Covid-19 Pandemic ............22
Zuzana Bezáková, Magdaléna Tomová
The Problem of Journalistic Objectivity on Social Media ........................................................32
Pavel Bielik
Listening to Slovak Radio During the First and Second Coronavirus Waves ..........................42
Andrej Brník
Fact-Checking as a Key Competence in Infodemia ..................................................................54
Diana Bulganová
The Reaction of the Slovak Republic to the Covid-19 Pandemic
in the Context of Supporting Regional Development ...............................................................62
Renáta Bundzíková, Denisa Jánošová
Memories of the Future .............................................................................................................72
Ivan Dudáš
Slovak 2019 Presidential Election and E-Communication .......................................................78
Michal Garaj, Jakub Bardovič
Technologies as a Tool in the Fight Against Hoax ....................................................................89
Martin Graca
Events During and After Covid-19 ...........................................................................................99
Slávka Gracová
A Global Pandemic: a Threat or an Opportunity for Movie Digital Distribution? .................107
Ladislav Halama, Zora Hudíková
Determinants of Intercultural Tolerance in Young Generation Communication .................... 119
Aleš Hes, Martina Švecová
Internet Addiction in the Time of the Covid-19 Pandemic in Young Adults ..........................129
Vladimíra Hladíková, Anna Hurajová
Involvement of Social Media Inuencers in Sustainable Fashion
in the Context of the Covid-19 Pandemic ...............................................................................142
Dana Hodinková, Oľga Púchovská
Marketing Management of the Area in the Context of Visit Rate
Development of Tourist Information Centers in Slovakia ...................................................... 160
Kristína Hoghová
Research on Consumer Behaviour of the New Generation of Customers
with Regard to Gender Differences in the Assessment of Uncertainty
Factors in Online Transactional Relationships .......................................................................170
Jakub Horváth, Radovan Bačík, Richard Fedorko
The Importance of Marketing Communication in Raising
Awareness of Healthy Foods ...................................................................................................179
Alena Hrušková
Sexvertising – The Game Changer .........................................................................................193
Jana Hubinová
Changes in Marketing Strategies and Communication of Slovak
Pop Culture Conventions During Coronavirus Pandemic ......................................................202
Anna Paulína Jelínková, Andrej Trnka
Quarantine – The Modern Camera Obscura? Aspects of the Medium
of Photography within the Context of the Pandemic ..............................................................214
Eva Jonisová
The Fundamental Role of Design and Visual Communication
at the Time of the Covid-19 Pandemic ..................................................................................226
Vladimíra Jurišová
Digitalization and Its Impact on Human Resources and HR Marketing ................................233
Andrea Karas, Barbora Novotná Březovská
How Covid19 Crisis Shaked Customer Loyalty in E-Commerce? .........................................248
Martin Klepek, Daniel Kvíčala
Education-Based Content Marketing “in White and Black” ..................................................257
Ladislava Knihová
The Role of Point of Purchase In communication with Customers
During The Pandemic .............................................................................................................271
Daniela Kollárová
Myths as a Tool for Mobilizing on the Extreme Right ...........................................................279
Boris Kolman
Media in the Time of the Pandemic ........................................................................................290
Peter Krajčovič, Marianna Urmínová
Humour and Social Networks During Covid-19 ....................................................................300
Denisa Kraľovičová
Podcast – New Communication Phenomenon ........................................................................308
Viera Krúpová, Zora Hudíková
Consumer Decision-Making in the Presence of a Compromise
Alternative: Limits and Moderators ........................................................................................321
Radka Kubalová
Use of Internet Personalization in Crisis Communication ......................................................331
Michael Kupec
Generation Snowake Communication Audit ........................................................................342
Václav Kupec
Nature and Critique of the Gamication Phenomenon ...........................................................351
Zuzana Kvetanová
Superhero Archetype in Current Media Production ................................................................362
Zuzana Kvetanová, Natália Feriančeková
How Pokémon Go Deals with Covid-19: the Lockdown Conundrum ...................................374
Miroslav Macák
The Uk Media and the Campaign for Brexit ..........................................................................385
Markéta Mackuľaková
Social Media as an Opportunity for S-Commerce Development
at the Time of Covid-19 Pandemic .........................................................................................397
Adam Madleňák
Inuence of Covid-19 on Social Networks of Healthcare Institutions ...................................405
Matej Martovič
Multimedia Journalism in the Slovak Media Area Before
the Entry of the Covid-19 Pandemic .......................................................................................412
Simona Mičová
Social Media of Youth Political Organizations in Times of Covid-19 ...................................419
Jaroslav Mihálik, Jakub Bardovič, Michal Garaj
The Impact of the Media on Society: A Field of Mental Health of Young
People Before and During a Declaration of a State of Emergency .........................................430
Natália Mulinová
New Challenges Facing Marketing and Marketing Communication.
Employer Branding – Challenges for Leadership in the Corona-Pandemic ...........................441
Axel Müller, Alena Müller
Some Psychological Reasons for Idiocracy Becoming a New Media Standard .....................452
Branislav Oprala
Approach of Slovak Publishers to E-Books During the Covid-19 Pandemic ........................462
Jana Paveleková
Covid-19: Changes in Television Production in Slovakia ......................................................471
Eva Peknušiaková, Lenka Regrutová
Perception of Package Free Shops as a Part of the Circular Economy
Principles Implementation by Generations X and Y ...............................................................482
Eva Poliačiková, Zdenka Musová, Jennifer Drugdová
Crisis of Communication Practices in the Covid Era .............................................................492
Hana Pravdová, Andrea Imrecze
Better Understanding Covid-19 Through Data Visualization ................................................. 503
Ján Proner, Ľubica Bôtošová
Correlation Between Consumers Preference and Eeg Data
Across Population Level .........................................................................................................512
Michal Pšurný
Digital Transformation of Organisations in the Context of Itil® 4 .........................................522
Miroslav Reiter, Andrej Miklošík
Distance Learning with Edmodo During the Coronavirus School Closures ..........................537
František Rigo
Effectiveness of Testing English Online in Distance Learning ..............................................547
František Rigo
Consumer Culture of Abundance – Ambivalence of Life in an Afuent Society ..................558
Ondřej Roubal
Impact of Covid-19 on Professional and Performance Sport
in the Czech Republic .............................................................................................................566
Tomáš Ruda
Shifts in The Behaviour of Businesses Due to the Pandemic Situation..................................575
Natália Stalmašeková, Patrik Grznár
The Impact of Covid-19 on Marketing of Accommodation Establishments ..........................585
Lenka Švajdová
Impact of Covid-19 on Innovation of Internal Communication
and Information Sharing Among Employees ..........................................................................592
Marek Švec, Ladislav Mura
Money Heist or How Netix Found a Lost Gem
in the Linear Television’s ‘Junkyard’ ......................................................................................601
Zuzana Točená
Impact of Pandemic on Consumer Behaviour
in the Field of Sustainable Fashion .........................................................................................612
Marianna Urmínová, Alena Kusá
The Airlines Communicating Through Solomo Platforms
During the Covid-19 Pandemic ..............................................................................................622
Martin Vanko, Michal Kubovics, Anna Zaušková
Perception of Visual Smog in the City and in the Countryside ..............................................633
Pavla Varvažovská, Martina Jarkovská
Impact of the Covid-19 Pandemic on Engagement of the Tourist
Information Centre’s Facebook Page ......................................................................................640
Markéta Zajarošová, Slavomíra Ficeriová, Lenka Kauerová
Editorial Policy ......................................................................................................................650
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Marketing Identity: COVID-2.0
A GLOBAL PANDEMIC: A THREAT OR AN OPPORTUNITY
FOR MOVIE DIGITAL DISTRIBUTION?
Ladislav Halama – Zora Hudíková
Abstract
Due to the technological development of recent decades, the possibilities of digital content distribution via Internet
networks (OTT, VOD, SVOD, TVOD, AVOD, PVOD) have accelerated. These new distribution protocols began
to gradually transform the film distribution environment on a global scale. However, gradual process changes were
accelerated by the outbreak of the COVID 19 global pandemic in 2020, significantly affecting the functioning of
existing and emerging models, having a crucial impact on production volume, changing audience behavior and
subsequently also producers’ thinking, as well as the overall prospects of the cinema industry and entertainment
in the global context for the near future. The still unfinished year of the pandemic with the ongoing second wave
shows not only growing billions in losses, but especially the unpredictability of further developments in film
distribution, the question of the future of cinemas and audience behaviour as well as the future of global or local
film producers. The study deals with the development of the distribution of digital content, primarily world film
production. It briefly summarizes the basic differences from traditional (analog) distribution and its gradual
transformation from the point of view of various participants in the distribution chain.
Key words:
Cinema Distribution. Digital Content. Film Distribution. Film Production. OTT. PVOD. SVOD. VOD.
Introduction
In recent decades, film distribution has gradually moved to the forefront of film theorists’
research. There may be several reasons. One of the relevant reasons may be the dynamics of
development in this area, but especially the growing influence of the distribution phase of film
production on the entire production chain and the cycle of material and creative resources
involved in the creation of each individual film. In the case of the film industry, the term
"distributor" may seem slightly misleading; perhaps the term "brokering" of an artifact could
be presented as "publishing". But even this concept does not go so far in its meaning as to
embody the dominant role or diversity of activities that distributors represent in the film
industry.1 Traditional methods and mechanisms of film distribution have been significantly
disrupted in the last 30 years by new technological developments (leaps from VHS technology,
through DVD, to digital files distributed in the form of EST2, VOD3 or OTT4 services). To
understand the causes and mechanisms of change, we need to examine the nature of existing
distribution models, which are clearly being eliminated and replaced by digital ways and
methods. In the presented study we will focus on the development of the so-called "traditional"
Hollywood distribution model as developed and implemented by the "Majors" – Hollywood
production and distribution companies. Since most of them are no longer based in Hollywood
today, it will be more appropriate to use the name MPA (Motion Picture Association).5 It is an
organization founded in 1922 which associates following companies: Warner Bros. (founded
1 CRISP, V.: Film Distribution in the Digital Age: Pirates and Professionals. Basingstoke : BFI Palgrave
Macmillan, 2015, p. 16.
2 Remark by the authors: EST – electronic-sell-throug – a method of distribution, whereby consumers pay a one-
time fee to download and own a digital media file.
3 Remark by the authors: VOD – video on demand – A business model allowing consumers to purchase film and
television content from an online or a cable service that they can then stream or download.
4 Remark by the authors: OTT – over-the-top – delivery of media content or services over an infrastructure that is
not under the administrative control of the content or service provider. Examples of OTT video services include
Netflix, iTunes, Amazon, and Hulu.
5 Motion Pictures Association. [online]. [2020-10-22]. Available at: <https://www.motionpictures.org>.
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Marketing Identity: COVID-2.0
in 1923), Paramount Pictures (1912), Universal Pictures (1912), Sony / Columbia Pictures
(1918) and Walt Disney Pictures (1923). The dates of the establishment of the MPA members
show that the ways and methods of film distribution have been evolving for more than a
century.6 These long and carefully developed methods have always been very quickly adapted
to current developments in film technology, business models and changing audience
expectations. The aim of this study is to use a historical analysis of processes and phenomena
in the field of distribution of film (as a medium), to formulate a qualified, empirically based
explanation of the causes and connections of processes and changes in film distribution, up to
the current digital era. In the first part we describe the model of traditional film distribution at
the time of analog production, in the second one we discuss transitional period, when television
entered the classical model and the first phase of diversification of distribution channels started.
The third part deals with the entry of the film into the online space and in the fourth part we
describe the impact of the current global pandemic on individual distribution channels and
online platforms. The aim is to define the individual stages of film distribution with regards to
the prediction of possible future developments in the field. Our reflections also consider a fact
that one distribution segment is currently in a deep depression due to a drop in cinema
attendance, while other distribution segments, on the other hand, have seen strong growth - both
due to the global pandemic. Finally, we will try to outline possible scenarios for developments
in this area, although the duration of the global pandemic is still unpredictable.
1 Model of Traditional Film Distribution
Distribution companies form the core of economic power in the film industry. The creators need
them for their work to reach the audience, the cinema owners need them to provide them with
films for their screening rooms. Companies belonging to the MPA follow elaborate business
strategies, monitor technological developments, specific conditions of countries and continents.
Their business results prove that distribution - the sale of films, has become a lucrative business,
a strong economic segment with an overlap in culture, media and politics – not only in the
United States. These companies are an example of how, by effectively managing, monitoring
and stimulating technological change, film is still a desired commodity, a profitable product,
with worldwide demand. Doing films – especially those produced in Hollywood studios - is
very expensive and only economically strong companies can bear the risks of film production.
In the work of Ramon Lobato, in the study of Hollywood resp. traditional distribution, terms
"formal" and "informal" distribution are distinguished. Although such terminology is not
entirely perfect, it reflects the fact that certain distribution channels are recognized and
validated, while others are not. According to Lobato, "formal distribution consists of a legally
charged formal economy on which distribution data and trends are routinely based, while
informal distribution includes the gray economy (secondary markets, peer-to-peer exchange at
6 Remark by the authors: In this context, we would like to mention that for almost 80 years, in the environment of
film distribution, it was worked exclusively with distribution copies of films in analog form – first on celluloid
and later polyester strips. Generally speaking, a distribution copy of a regular feature film used to cost the producer
about $1,500 – sometimes more, depending on the length of the film, the type of raw material used, and the number
of copies produced. The costs increased in the production of language versions with subtitles, which were copied
or burned into a film copy, which significantly increased its price. The number of distribution copies of major
Hollywood productions was in the hundreds, the number of copies in our environment tens. In both environments,
however, the price to produce distribution copies was a significant amount, which burdened the film producer
mainly financially, but also logistically. The role of the distributor was to secure a contractual agreement with the
cinema operators and to take care of the promotion and marketing during its screening, resp. sales abroad.
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Marketing Identity: COVID-2.0
household level)".7 Therefore, in this case word formal is used to refer to "traditional"
distribution, where "studios control the profits from ticket sales, release films for coordinated
introduction in cinemas and then present them consecutively through a sequence of hierarchical
distribution windows".8 The formal distribution in this context is therefore the legal acquisition
of the rights to present the film in cinemas, and / or to produce DVD / Blu-ray copies for retail
sale in the given territory and later for the flat or regional distribution in television broadcasting.
Several researchers have looked in detail at the rules of formal distribution functioning as
applied by the Majors, which have controlled the distribution of Hollywood productions for
decades – e.g. Janet Wasko, Allen J. Scott, Tino Balio, and others. Janet Wasko, for example,
points out, among other things, distribution mechanisms that are designed in a way that some
participants in the entire production process benefit more and others less. Complex contracts
and well-functioning creative accounting often provide a one-sided advantage for the
distributor, who, unlike the manufacturer, producer or direct creator, almost always benefits,
and always more than the rest of the production chain.9 Interesting is the research by Allen J.
Scott, which mapped the structure of distribution and documented that distribution in US
cinemas alone for almost past 20 years has not been a significant part of formal distribution
revenue – but that it is rather all forms of selling, renting and distributing copies and licenses
to broadcast in other "distribution windows that are up to three times higher than the revenue
from direct cinema distribution."10 In his work (2013) in the context of US distribution research,
Tino Balio defines the growing role of marketing, which he says is the main business of large
companies in Hollywood. It presents the idea that invisible distribution staff makes crucial
decisions and that marketing tools shape the final product not only when it is put into
distribution, but throughout the whole production process.11
The first changes in the era of "analog" film distribution began in the 1950s with the advent of
television broadcasting. Due to the lack of the original television program offer, Hollywood
studios opened their archives and offered thousands of hours of films to air. Televisions have
benefited from the appeal of the golden age of Hollywood and offered a new range of
entertainment options to new audiences. Cable television in particular has become an important
predecessor of today's distributional revolution. The reason was to offer more personalized
content, in contrast to the limited number of terrestrial channels, cable television offered various
specialized and thematic channels and thus the viewer had more choice. As a result of
7 LOBATO, R.: Subcinema: Theorizing Marginal Film Distribution. In Limina: A Journal of Historical and
Cultural Studies, 2007, Vol. 13, No. 1, p. 114-119. [online]. [2020-10-22]. Available at: ˂https://minerva-
access.unimelb.edu.au/bitstream/handle/11343/33574/65670_00004084_01_Lobato.pdf?sequence=1˃.
8 Remark by the authors: "Windows of exhibition"- one of the basic terms of film distribution, which defines in
what chronological order does the film get from the producer to the audience. Most films use a system of
distribution windows, which originated in the 80's in the USA and was gradually taken over all over the world. It
remains basically the same, but nowadays the length of the individual "windows" and the gaps between them are
shortening. 1st window: cinema distribution – lasts 3-4 months from the premiere in the cinema; 2nd window:
TVOD + BLU-RAY + DVD, formerly VHS – at the earliest after 3-6 months the film is downloaded from the
cinema and viewers can watch it from the purchased medium at home; 3rd window, 9-12 months after the premiere
in the cinema, 6 to 9 months after BLU-RAY / DVD / TVOD, comes "window" PAY TV + SVOD, the title can
be found on paid channels such as HBO or Netflix. The title remains on sale BluRay, DVD or TVOD (but often
the possibility of borrowing is withdrawn); 4th window – FREE TV + AVOD – after 18 the soonest, usually after
24, but before and after 36 months from the cinema premiere, the title can be seen either on classic television or
seen for free and officially on Youtube. At the same time, the title is also available in other variants – e.g. BLU-
RAY, DVD or TVOD and SVOD platforms.; See also: Distribuční okna. [online]. [2020-10-22]. Available at:
˂https://filmtoro.cz/wiki/distribucni-okna˃.
9 WASKO, J.: How Hollywood works. London : Sage Publications, 2003, p. 60.
10 SCOTT, A. J.: On Hollywood: The Place, The Industry. Princeton, NJ : Princeton University Press, 2004, p. 143.
11 BALIO, T.: Hollywood in the New Millennium. London : Palgrave, 2013, p. 66.
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Marketing Identity: COVID-2.0
competition, government regulations and audience expectations, but especially thanks to
technological innovations, media distribution models have thus shifted from the mass to the
individual, from synchronous to asynchronous, from collective perception to the individual
one.12 In this manner, the foundations of the revolution in distribution brought by electronic
media can be identified.
2 Television – A Kidnapper of Movies and Viewers
The roots of the digital distributional revolution lie in the tradition of commercial competition
and innovation, which drove the industrial revolution two hundred years ago. In addition, this
commercial competition took place in the context of changes in the perception of the role of the
media in society, as well as in the context of political struggles for freedom of expression and
the public good. Technological innovations are associated with a long-term interest in
expanding and improving the availability of media entertainment for audiences. On one hand,
the audience and inventors dreamed of technological utopias, such as personal audio or video
players, on the other hand, shareholders and managers fought for the maximum use of the latest
innovations (e.g. film without celluloid i.e. film in the form of data). The very idea of delivering
an audio-visual image to the home of a recipient dates to the 19th century – much like the
fantasies of personal portable devices offering new forms of entertainment. With the birth of
cinema, radio, television, computer technology, and even telecommunications, it was argued
with promises to change social hierarchies and unite the human community. In the end,
however, the result was more dependence on governing institutions, new sources of profit and
instruments of political advantage.13 The development of new communication means has been
promoted by large, ever-growing corporations in telecommunications and media (AT&T, AP,
Reuters, Paramount, Fox, NBC, CBS, Time Warner, IBM etc.), as well as by a number of
military institutions. The public was placed in the role of an audience that used to consume an
ever-increasing amount of media content. But access to it was selective and controlled – the
viewer had the opportunity to obtain the desired content only in certain places at certain times.
Distribution windows were calculated for exact price values – for those with a better approach,
the price was higher. More was paid for premium content and for live entertainment
production.14
The expanded possibilities of television brought innovative programming and the arrival of
remote controls enabled the surfing of dozens of TV channels before the advent of the Internet.
This is where the first cracks appeared in the audience's predictable behavior so far. Home
Video Recorder (VCR), an innovation promoted by Japanese electronics manufacturers, offered
viewers the opportunity to record, share and time-watch their favorite movies and TV shows. It
also allowed them to avoid (skip) advertising, which called into question the basic principles of
film and television distribution in the United States, based on a symbiosis of the product (film,
TV show, etc.) and advertising, which directly funded the ability to broadcast the product on
television. This seemingly exclusively technological improvement has, in fact, affected the
competitive conditions in the electronics industry. This stimulated further development – e.g.
12 LOBATO, R.: Subcinema: Theorizing Marginal Film Distribution. In Limina: A Journal of Historical and
Cultural Studies, 2007, Vol. 13, No. 1, p. 119. [online]. [2020-10-22]. Available at: ˂https://minerva-
access.unimelb.edu.au/bitstream/handle/11343/33574/65670_00004084_01_Lobato.pdf?sequence=1˃.
13 CURTIN, M., HORT, J., SANSON, K.: Introduction: Making of a Revolution. In CURTIN, M., HORT, J.,
SANSON, K. (eds.): Distribution Revolution: Conversations about the Digital Future of Film and Television.
California : University of California Press, 2014, p. 8.
14 Ibidem, p. 7.
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Marketing Identity: COVID-2.0
audio cassette recorder, portable cassette player (Walkman) and video recorder were introduced
to the market. Sony Corporation, one of the main innovators, was largely motivated by
the competitive conditions in Japan and the increasingly globalized consumer electronics
market.15 However, this application of technology in consumer electronics has gradually proven
to be detrimental to American media companies.
Other driving forces also entered the process of branching the distributional channels of film
content: telecommunications were deregulated, and foreign investors could also join American
companies, which pushed the boundaries of technological innovation to digital technological
solutions. This increased the speed of transmission, as well as the volume of delivered data,
which in digital form first composed photos, then music and finally movies. In the mid-1990s,
these technologies suddenly allowed satellite transponders to carry eight times as many
channels as before,16 and optical broadband also expanded the transmission capacity of
terrestrial and transoceanic cables. As capacity grew, price wars began, eventually
overthrowing some of the largest telecommunications competitors. This has proved to be a
benefit for consumers - lowering prices and allowing cheaper access to telephone and computer
communications. Sony bought Columbia Pictures in 1989, Matsushita bought Universal shortly
afterwards, and News Corp. Australia was taken over by 20th Century Fox already in 1985.17
Similar maneuvers were carried out by Italian, French, German and British media giants. These
merges, acquisitions and alliances foreshadowed an unprecedented transformation of media
institutions and practices. Developments that have given consumers greater autonomy in
gaining access to the desired content have driven the nascent globalization of the media. The
expansion of the number of home video recorders has forced a change in the distribution offer,
resp. creating a model with the rental of videocassettes, later DVDs and Bluray discs. With the
development of DVDs, distributors created a vibrant sales market that allowed fans to buy and
collect their favorite movies and TV shows on a new electronic medium.18 These new forms of
distribution, with their simplicity of use, price and geographical availability, quickly gained
popularity and television sets became an almost full-fledged distribution channel for film
production. Television has thus "stolen" a certain part of the audience by offering home
entertainment.
3 The Film's Entry into Online Space – The Birth of Digital Distribution
The first steps leading to the differentiation of distribution routes brought new models of so-
called Electronic Sell Through (EST), which offered to purchase an electronic copy of a film
(or song, music album, or computer game). EST allowed the buyer to store a digital copy of the
premiere or older film offered by his provider in his "library" on a computer. Editors of the
Distribution Revolution publication, Conversations about the Digital Future of Film and
Television, in interviews with leading film studios, defined the "new golden age"19 as follows:
The development of technologies and new distribution platforms necessarily required
innovation and new creative strategies on the part of digital content providers. The distribution
revolution has indeed posed a number of new challenges for studios, from engaging an elusive
15 CURTIN, M., HORT, J., SANSON, K.: Introduction: Making of a Revolution. In CURTIN, M., HORT, J.,
SANSON, K. (eds.): Distribution Revolution: Conversations about the Digital Future of Film and Television.
California : University of California Press, 2014, p. 1.
16 Ibidem, p. 7.
17 PRINCE, S.: A New Pot of Gold. Los Angeles : University of California Press, 2002, p. 18.
18 TRYON, Ch.: Reinventing Cinema. New Brunswick, New Jersey : Rutgers University Press, 2009, p. 20.
19 CURTIN, M., HORT, J., SANSON, K.: Studios: Edistors´ Introduction. In CURTIN, M., HORT, J., SANSON,
K. (eds.): Distribution Revolution: Conversations about the Digital Future of Film and Television. California :
University of California Press, 2014, p. 21.
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online audience to the art of rethinking content for the digital marketplace. Uncertainty and
innovation are two common dynamics that managers must consider.20 The distribution of films
via electronic media, which went only a small step behind new television technologies, reacted
very sensitively (though often reluctantly) to changes in audience behavior by introducing
business models that used new technologies their advantage. One of the pioneers in this field
was Apple, which adapted the EST model to DTO ("download-to-own"), and in its iTunes
service, users could keep digital copies of movies on their own devices.21 The availability of
this service gradually expanded geographically, also because it offered films from all major
Hollywood studios. At the time of the advent of these new platforms (2001-2008), a number of
different similar platforms (UltraViolet, BlinkBox, Mubi, etc.) emerged, which used various
models to attempt to attract subscribers through formal distribution. At that time, however, the
global "explosion" of illegal content sharing and downloading (music, software, movies), which
was based on the creation of servers with illegally distributed content (MediaFire, Uploaded,
FileFactory, etc.) and P2P (peer-to-peer), also culminated. Networks that have made it possible
to share content illegally, in particular through bittorrent programs. However, in this article we
do not want to deal with informal distribution in more detail, also because its development has
its own specifics. However, given the damage it causes to DRM22 infringements by copyright
holders - including official distributors (including Majors) – it must be said that informal
distribution of films has been an important driving force in creating an offer that attracts users,
despite its charges.
In the late 1990s, Netflix company also began operations, initially distributing video. At the
beginning of this millennium, services with video-on-demand (VOD) resp. prepaid services in
a variety of subscription-based video-on-demand (SVOD) business models on television.
Netflix's innovation was not significant at first glance – the company delivered DVDs with
the desired title via mail. However, the company's website created the ability to personalize
content from an extensive library of titles that innovatively offered related content, according
to customer tastes and choices. Unlike stone rental companies, Netflix offered monthly
subscription services, including the ability to rate each movie in a huge digital catalog and
compile a personal list of preferred titles. By creating a profile of each subscriber, Netflix
obtained data to define recommendations for future selection. This pioneering level of
personalization was the result of the work of researchers from Silicon Valley, outside the film
and television industries. Netflix thus became the discoverer of many principles and practices
that defined the revolution of digital film distribution.23 And so in the period 2010-2020 –
similarly to about a hundred years ago - a group of gradually dominating companies was
formed, which mediate films to viewers, although today through completely different channels
than in the 1920s. These innovators quickly adapted their VOD business models using the
growing possibilities of network communication to SVOD and in a relatively short time
20 CURTIN, M., HORT, J., SANSON, K.: Studios: Edistors´ Introduction. In CURTIN, M., HORT, J., SANSON,
K. (eds.): Distribution Revolution: Conversations about the Digital Future of Film and Television. California :
University of California Press, 2014, p. 21.
21 CURTIN, M., HORT, J., SANSON, K.: Jordan Levin, President, Alloy Digital, and Chief Executive Officer,
Generate. In CURTIN, M., HORT, J., SANSON, K. (eds.): Distribution Revolution: Conversations about the
Digital Future of Film and Television. California : University of California Press, 2014, p. 102.
22 Remark by the authors: DRM – Digital Rights Management. An umbrella term referring to technologies used
by publishers or copyright holders in order to control access to or usage of digital data, software, and/or hardware,
and to restrictions associated with a specific instance of a digital work or device. Common components of DRM
can be copy protection, or other technical protection measures.
23 CURTIN, M., HORT, J., SANSON, K.: Introduction: Making of a Revolution. In CURTIN, M., HORT, J.,
SANSON, K. (eds.): Distribution Revolution: Conversations about the Digital Future of Film and Television.
California : University of California Press, 2014, p. 11.
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dominated a large part of the global market. Companies have crystallized from several entities
looking for models for an internet-mediated media service - the so-called OTT (over-the-top)
for media distributed over the Internet. The original focus of the companies was diverse:
iTunes - as a service primarily providing music, since 2001; Netflix based transformation of
DVD libraries, since 2007; then Hulu as a web portal with television programs and sports
content since 2008, etc.24 Gradually, other platforms were added: Prime Video - 2011, CBS All
Access – 2014, Apple TV and Disney+ in 2019. All originated in the USA, with the gradual
expansion of its territories to Canada, but also to Asia and Europe.25 The last decade of
operation of these companies on the market has brought a breakthrough in the revenues of
digital distribution of films and television programs through streaming services SVOD.
Several researchers monitored changes in the processes of distribution channels. Dina
Iordanova and Stuart Cunningham26 named the cornerstones of the change and success of the
new distribution channels: the new companies disrupted traditional film patterns by offering
films and television programs by changing the previously recognized rules of distribution
windows. Stuart Cunningham has adopted the term "disruptive innovators"27 for these
companies, a term used in a broader context in the economy for companies that "with fewer
resources are able to compete successfully and threaten established businesses."28 "Disruptive
Innovators" entered the established distribution market by offering films and television
programs through video-on-demand models, which made it possible to watch the program
anytime, anywhere, on various devices. These services differed in different models of payment
for purchase, viewing or screening within a subscription or other combined purchase. Shortly
after entering the market, they established themselves in a fixed position in the distribution
"windows", creating a space for their subscribers to watch premium content (initially) via cable
television (PPV – pay-per-view services) and later on online, through streaming services. And
all this at home, outside the cinema, individually or with the family. Dina Iordanova and Stuart
Cunningham, who examined in detail the "digital disruption", the massive expansion of
digitally available content, also found several benefits that new distribution channels have
brought to film production: they have also opened up space for independent producers and
creators for original needs of digital distributors. This can be seen as an unexpected benefit of
a changing traditional scheme.29 Netflix, HBO, Amazon Prime and Hulu in particular stand out
in this respect – companies that have gained dominance and are already referred to as the "Big
4". This completely new source of original programs has various genre forms, individual
platforms are programmatically won and specialized (HBO GO drama and documentaries,
24 CRISP, V.: Film Distribution in the Digital Age: Pirates and Professionals. Basingstoke : BFI Palgrave
Macmillan, 2015, p. 31.
25 CLARK, T.: Apple´s new TV service sounds like a clone of Amazon Prime Video – here is how the 2 compare.
Released on 26th March 2019. [online]. [2020-10-20]. Available at: <https://www.businessinsider.in/Apples-new-
TV-service-sounds-like-a-clone-of-Amazon-Prime-Video-heres-how-the-2-
compare/articleshow/68570687.cms>.
26 IORDANOVA, D.: Digital Disruption: Technological Innovation and Global Film Circulation. In
IORDANOVA, D., CUNNINGHAM, S. (eds.): Digital Disruption: Cinema Moves On-line. St Andrews : St.
Andrews Film Studies, 2012, p. 2-30.
27 CUNNHINGHAM, S.: Hidden Innovation: Policy, Industry and the Creative Sector. Brisbane : University of
Queensland Press, 2013, p. 69.
28 CHRISTENSEN, M. C., RAYNOR, E. M., McDONALD, R.: What Is Disruptive Innovation?. In Harvard
Business Review, 2015, Vol. 59, No. 10, p. 45-52. [online]. [2020-10-28]. Available at:
<https://hbr.org/2015/12/what-is-disruptive-innovation>.
29 IORDANOVA, D.: Digital Disruption: Technological Innovation and Global Film Circulation. In
IORDANOVA, D., CUNNINGHAM, S. (eds.): Digital Disruption: Cinema Moves On-line. St Andrews : St.
Andrews Film Studies, 2012, p. 2-30.
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Netflix - series, Apple TV – drama and documentaries),30 but especially they are able to operate
regionally and support local or regional producers and creators. Therefore, in some of them it
is possible to meet with the offer of Slovak, resp. European origin. Large distribution companies
in the Majors category have meanwhile adapted and, using dynamically evolving technologies,
have developed sophisticated marketing and logistics strategies to apply their original
production in new conditions. In cooperation with service providers in all distribution windows,
they offer viewers a choice. Richard Berger from Sony Pictures summarized the current offer
of distribution channels: If you really want to watch the premiere film, you can go to the cinema
and pay to watch it on the big screen. If you want to watch it at home at the premiere, you can
rent or buy it. If you want to wait a little longer and not pay for it separately, you can get it as
part of a subscription package. Alternatively, if you wait long enough, you can watch it for free
with ads. All movie sales or rental models have DRM treated and settled. New technologies are
constantly disrupting traditional distribution models. We are actively working to find ways to
innovate and monetize new distribution models. We have learned a lot in the last ten years.31
And although the outlook and statistics were largely as expected at the end of 2019,
circumstances have developed completely differently.
4 Global Distribution Under the Influence of the COVID-19 Pandemic
The film industry creates enormous economic values - apart from the artistic ones - which can
be quantified: e.g. Hollywood supports more than 2 million jobs and 400,000 American
companies. British film and television are worth around £ 60 million a day to the British
economy. Global film distribution revenue reached a record $ 42.5 billion in 2019, despite less
convincing performance in North America, where ticket sales reached $ 11.4 billion.32 The
overall increase in distribution revenue was supported by increased demand in the rest of the
world, where sales reached $ 31.1 billion. It was the first time that revenue had exceeded $ 30
billion. The statistics thus recorded a 4 percent increase compared to 2018 (a total of 41.7 billion
USD).33 These were the basic parameters of the productivity status of the film industry just
before the outbreak of the COVID 19 pandemic. In March 2020, the global COVID-19
pandemic disrupted the film industry at all levels. The invasion and spread of the virus not only
frightened and divided the world, but in a very short time paralyzed not only film production
but also the entire entertainment industry: music and film festivals, top-level sporting events,
theater performances, as well as film premieres that are scheduled to be canceled. long-term,
with a view even more than 2 years before the theatrical release. Production stopped almost
overnight – the production of films, television series and even studio programs. Almost
everything has stopped working, except for the news. This lockdown for the collective
consumption of entertainment, the "enjoyment" of free time, the visit to cinemas and theaters
resulted in the spectators being "stuck" at home. Their expectations turned to the screen, where
they were looking for new, available content. This huge surge in demand – evident not only
30 See also: HBO GO. [online]. [2020-10-28]. Available at: <https://hbogo.sk>.; Netflix. [online]. [2020-10-28].
<https://www.netflix.com/>.; Apple TV +. [online]. [2020-10-28]. <https://www.apple.com/sk/tv/>.
31 CUNNINGHAM, S., SILVER, J.: On-line Film Distribution: Its History and Global Complexion. In
IORDANOVA, D., CUNNINGHAM, S. (eds.): Digital Disruption: Cinema Moves On-line. St Andrews : St.
Andrews Film Studies, 2012, p. 55.
32 McCLINTOCK, P.: 2019 Global Box Office Revenue Hit Record $ 42.B Despite 4 Percent Dip in U.S. Released
on 1st October 2020. [online]. [2020-11-02] Available at: ˂https://www.hollywoodreporter.com/news/2019-
global-box-office-hit-record-425b-4-percent-plunge-us-1268600˃.
33 McCLINTOCK, P.: 2019 Global Box Office Revenue Hit Record $ 42.B Despite 4 Percent Dip in U.S. Released
on 1st October 2020. [online]. [2020-11-02] Available at: ˂https://www.hollywoodreporter.com/news/2019-
global-box-office-hit-record-425b-4-percent-plunge-us-1268600˃.
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Marketing Identity: COVID-2.0
in the US but also on all continents - has had at least two significant effects: an explosion of
new subscribers' interest in digital distribution services in the form of SVOD, and enormous
pressure on producers (including Majors) to release their new titles to SVOD, i.e. PVOD
distribution.34 The proof of the first effect is the statistics - which cannot yet contain the results
for the whole year – but the additions of subscribers for the first half of 2020 already have a
telling value: e.g. Netflix gained 25.86 million new customers35 during this period, bringing the
total to more than 193 million; the Disney+ gained 31 million, and Amazon Prime reached
totally 150 million subscibers,36 and Hulu added 35 million subscribers.37
Proof of the second effect was that film studios – distributors, immediately began to look for
digital alternatives for their completed but non-premiered titles. Although some postponed their
premieres (even more times - such as the new James Bond), many until 2021, many of the
producers began selling their "fresh" production through subscription-based streaming
platforms. They set out to release the films and provided them on so-called "premium video on
demand" (PVOD). This means that they have granted the right to be listed for a certain
surcharge for a specific title. And unexpected things happened: in April (in the middle of a
pandemic) Universal released the animated children's film "Trolls World Tour" on digital
platforms for $ 19.99 for a 48-hour rental. It turned out to be a digital blockbuster that earned
more in the first three weeks of digital launch than its 2016 predecessor Trolls in five months
of theatrical screenings.38 The following month, they released Warner Brothers Scoob! on VOD
platforms and achieved similar success.39 Subscription-based video streaming platforms also
use new movie releases as a means to gain and retain customers. Producers proved to be flexible
in responding to the demand situation and the open possibilities of the distribution channel and
were successful, despite the fact that the activity was a combination of several circumstances:
the obligation to entertain children during quarantine, more time spent at home during
lockdown, increased use of online shopping and services. Consumers who opt for PVOD said
they enjoy the convenience of home viewing and the opportunity to watch with their families.
It has also been shown that some population segments have adopted PVOD more easily than
others.40 It should be added that the trends of digital distribution are also active in local markets
and there are a total of about 400 different digital distribution platforms in the world - the largest
(except American) include Chinese (iQiyi, Tencent Video, Youku), Indian (Alt Balaji, Eros
Now), Asian (Viu, Iflix)41 and many others. Their audience is apparently approaching a number
that exceeds a billion subscribers, making itself a huge space for sales and consumption for any
34 Remark by the authors: PVOD – premium-video-on-demand – is a form of monetization strategy where the end-
user can pay to get access to a “premium” blockbusters, to watch a movies before it hits the general SVOD
subscriber pool.
35 WALSH, J.: Netflix Subscribers Growth Slows After Surging During Pandemic. Released on 20th October 2020.
[online]. [2020-10-28]. Available at: <https://www.forbes.com/sites/joewalsh/2020/10/20/netflix-subscriber-
growth-slows-after-surging-during-pandemic/?sh=4a2f7c14244e>.
36 SPANGLER, T.: Amazon Prime Tops 150 Million Members. Released on 30th January 2020. [online]. [2020-10-
12]. Available at: <https://variety.com/2020/digital/news/amazon-150-million-prime-members-1203487355/>.
37 WATSON, A.: Number of Hulu's paying subscribers in the United States from 1st quarter 2019 to 4th quarter
2020. Released on 16th November 2020. [online]. [2020-10-12]. Available at:
<https://www.statista.com/statistics/258014/number-of-hulus-paying-subscribers/>.
38 SRIVASTAVA, S.: After COVID-19, will movie fans return to the theater – or keep watching at home?.
Released on 31st July 2020. [online]. [2020-10-18]. Available at:
<https://www2.deloitte.com/us/en/insights/industry/technology/pvod-upend-content-covid.html>.
39 Ibidem.
40 Ibidem.
41 The world´s most popular video streaming services (Amazon Prime Video is at #5). [online]. [2020-11-02].
Available at: ˂https://whatsnewinpublishing.com/the-worlds-most-popular-video-streaming-services-amazon-
prime-video-is-at-5/˃.
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segment. Of course, no one knows how the following months will shift the activity and
preferences of the audience. For example, Big 4 distribution platforms have seen a sharp decline
in new subscriber interest after the first half of huge subscription growth and are also registering
a certain percentage of terminated subscriptions - customers who have decided in the new
conditions with less threat of a domestic lockdown to get rid of regular subscriptions.42 The
COVID-19 pandemic and its impact on the film industry have challenged the typical notion of
film distribution in cinemas. Will PVOD become a viable alternative release method for all or
only some film productions? Is there a need to strike a balance that supports cinema and studio
owners? Will PVOD have long-term consequences for the economics of film production?
Surely the most important question is to be asked about the dramatic twists on stage we are
watching: Can moving viewers to the digital service mean that they will be reluctant to return
to cinemas for premieres in a comfortable armchair with addictive refreshments? We think it is
likely that as soon as people feel safe again in a seat without a veil on their face, the desire to
go into society and indulge in a shared cinema experience is likely to return.
Conclusion
From our experience today, any classic Hollywood model of film distribution may seem
outdated, something like the archelogy of film. There is no doubt that the distribution sector of
the global film industry has undergone a revolutionary change in recent years. We are in an era
when movies and TV shows (not to mention books, computer games, etc.) are available in an
instant – we are experiencing an explosion of accessibility. And almost in formal and informal
(illegal) online distribution. All this is due to the constant growth of the speed and capacity of
the world Internet network in the last 15 years or so. Despite high expectations and bombastic
headlines about the digital revolution, several researchers are critical of some aspects of it. E.g.
Julia Knight and Peter Thomas argue that the digital revolution has not solved the diversity of
films, so the diversity of film culture and the viewing experience remain the same.43 The
promise to expand the selection of films for viewers, combined with the digitization of film
screenings and online distribution, is strikingly reminiscent of the previous expectations placed
on multiplex cinemas with many halls offering more varied programming. Expectations were
not fulfilled, because the multiplexes did not bring a richer offer, they only strengthened the
mainstream commercial and the effect of Americanization.44 The digitization of different areas
of culture brings a discourse that emphasizes unlimited choice in the new digital world, unlike
the previous non-digital era, during which the availability of cultural products was insufficient
in relation to potential demand. Chris Anderson, longtime editor of Wired magazine, introduced
his marketing "long tail theory", which includes the idea that humanity has entered an "age of
abundance" in which there is simply not enough room to carry everything for everyone, space
on the shelf for all CDs, DVDs and video games produced; lack of screens to display all
available movies; lack of channels for broadcasting all television programs. Therefore, it is now
entering online distribution as a world of abundance.45 The question remains whether the
abundance and constant growth of the online offer will also bring satisfaction to the recipient.
42 Netflix falls short on new subscribers as pandemic boost fizzles. Released on 21st October 2020. [online]. [2020-
10-01]. Available at: <https://www.irishtimes.com/business/media-and-marketing/netflix-falls-short-on-new-
subscribers-as-pandemic-boost-fizzles-1.4386890>.
43 KNIGHT, J., THOMAS, P.: Reaching Audiencies: Distribution and Promotion of Alternative Moving Image.
Bristol : Intellect, 2012, p. 274.
44 ALLISON, D.: Multiplex Programming in the UK: The Economics of Homogeneity. In Screen, 2006, Vol. 47,
No. 1, p. 82–89. [online]. [2020-11-02]. Available at: <https://academic.oup.com/screen/article/47/1/81/1899094>.
45 ANDERSON, Ch.: The Long Tail: Why the Future of Business is Selling Less of More. New York : Hyperion,
2008, p. 18.
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Contact data:
Mgr. Ladislav Halama
University of Ss. Cyril and Methodius in Trnava
Faculty of Mass Media Communication
Námestie J. Herdu 2
917 01 Trnava
SLOVAK REPUBLIC
dir@lacohalama.sk
assoc. prof. PhDr. Zora Hudíková, PhD.
University of Ss. Cyril and Methodius in Trnava
Faculty of Mass Media Communication
Námestie J. Herdu 2
917 01 Trnava
SLOVAK REPUBLIC
zora.hudikova@ucm.sk
