ViacomCBS Rebranding as Paramount: A Strategic Move for the Future?
On February 22, 2022, the company once known as ViacomCBS officially changed its name to Paramount. This rebranding caught many off guard, but there's a clear strategic reasoning behind it. One potential impact is the possibility of Comcast dissolving NBCUniversal and rebranding itself as Sky, though this is speculative and not set in stone. Paramo's new structure aligns with growing trends in the entertainment industry, particularly in the realm of streaming services and content distribution.
Five Business Segments of Paramount
The rebranding comes with significant changes in internal structure, with Paramount being divided into five business segments:
Paramount Pictures
Primarily focused on film production and marketing, Paramount Pictures also encompasses Paramount Animation and Paramount Players. This segment plays a crucial role in producing blockbuster films and maintaining a strong lineup of animated features.
Paramount Television
Included in this segment are various broadcast networks like CBS Television Studios, MTV Entertainment Studios, and Viacom International Studios. Also, U.S. cable channels like MTV, Nickelodeon, Comedy Central, BET, and international channels such as Network 10 and Channel 5 will now be part of this business segment. The segment will be headed by George Cheeks, the current CEO of CBS.
Paramount Streaming
This segment covers Paramount’s various streaming services, including , Showtime OTT, Noggin, and Pluto TV. As streaming services continue to grow in popularity, this segment will be at the forefront of delivering content directly to consumers via multiple platforms.
Paramount Rights
Formerly known as Paramount Global Content Licensing, this segment is dedicated to worldwide distribution of programming from Paramount’s television networks and production studios. It also includes theatrical film distribution and content sales/licensing. Dan Cohen, currently the President of Paramount, will lead this division. The focus on distribution indicates a strong emphasis on reaching a global audience and maximizing the value of owned content.
Paramount Brands
The final segment, formerly Paramount Consumer Products, handles all areas of commercial activity, including consumer products, licensed toys and games, brand licensing, merchandising, and gaming. This segment is vital for extending the brand’s reach beyond traditional media and into the realm of consumer goods and entertainment experiences.
The 2019 Merger and Viacom Corporation
Many believe that the 2019 merger of Viacom and CBS should have been branded under the CBS name instead of as separate entities like Viacom and ViacomCBS. CBS Corporation was the more successful of the two companies that emerged after Viacom's initial split in the mid-2000s. However, the rebranding as Paramount has its merits, particularly for the company's streaming service, CBS All Access, which was rebranded as Paramount from 2020.
The rebranding to Paramount was a deliberate move to align with the increasingly dominant force of streaming services in the media landscape. The rebranding not only simplifies the company’s branding but also signals a shift towards integrating various media properties under one strong and recognizable identity.
Conclusion
The rebranding of ViacomCBS to Paramount marks a significant strategic decision that aims to streamline operations, enhance brand recognition, and position the company effectively in the rapidly evolving media industry. As we move forward, the success of this rebranding will depend on how well Paramount can leverage its diverse portfolio of properties and services to attract and retain viewers in the streaming age.