Legacy IP: Hollywood's Hidden Goldmine

The television industry is increasingly recognizing the substantial value embedded in legacy intellectual property (IP) as a driver for new global successes. At a recent industry roundtable, experts discussed how classic content, far from being just a nostalgic throwback, offers a built-in audience, valuable data insights, and a reliable revenue stream.

Data indicates that TV shows based on existing IP command three-and-a-half times the demand of original concepts, a figure that rises to four times for films. This makes legacy IP a compelling proposition for buyers with constrained budgets, seeking the reassurance of established audience recognition.

Creative powerhouses like Keith Chapman, creator of "Bob the Builder" and "PAW Patrol," stress the importance of building a comprehensive brand rather than just a television show. This approach, rooted in advertising and successful global brands like "The Muppets," integrates merchandising and brand extension from the earliest stages.

Companies such as WildBrain, managing brands like "Strawberry Shortcake" and "Inspector Gadget," focus on making classic properties relevant to contemporary audiences, including "kidults" and adults. Similarly, BBC Studios, home to "Doctor Who" and "Top Gear," finds genuine ways to sustain fandoms through digital series and multiplatform projects, ensuring consistent engagement between major releases.

In the unscripted realm, entities like Banijay Entertainment leverage their extensive library of enduring brands such as "Big Brother," "MasterChef," and "Survivor." These "superbrands" offer comfort and familiarity to audiences, facilitating easier expansion into live events, sports, and merchandise.

The power of social media platforms, particularly YouTube, was highlighted as a key tool for reigniting and connecting with fandoms. Studios are utilizing YouTube to build massive audiences for reimagined classics like "Pocoyo," creating a "B2C2B" model where a strong online following precedes traditional broadcast or streaming deals, granting significant bargaining power.

For producers aiming to adapt classic IP, securing rights in a competitive market is a challenge. Adaptations often begin with short-form content on platforms like YouTube, with potential for expansion into full TV series if audience reception is strong. Even renowned authors can act as IP themselves, their established name recognition opening doors with buyers.

Metrics for success are evolving beyond traditional ratings. Analytics firms are measuring engagement through searches, social media interaction, and content creation around existing IP to identify untapped potential. This holistic approach helps spot "diamonds in the rough" and assess the true travelability of a brand across borders.

Financial institutions specializing in IP transactions, like ACF Investment Bank, are actively advising on and facilitating deals for classic content. They help owners unlock the extraordinary value in dormant or undervalued IP, connecting it with the right buyers and structuring robust deals. Methods such as acquiring passive profit participations or leveraging AI for content monetization are also emerging strategies.