Martha Stewart: Side of Emeril to Go
Martha Stewart Living Omnimedia has just bought the Emeril Lagasse franchise: books, TV shows, and products. All it cost was $45 million cash and another $5 million in stock. The total price could hit as much as $70 million, should the enterprise hit preset goals. The acquisition doesn't include Lagasse's company, which includes his corporate office and restaurants.
So, why the deal? Remember back with me to late last year, when the Food Network decided to stop filming the show Emeril Live. Here you see an example of real platform. The EL show was fairly popular, got lots of people saying "Bam," and turned Lagasse into a very hot commodity. But while he would still have had the Essence of Emeril show, it was a low-key affair with no screaming audience members and, presumably, a lot less mojo. No inside info here - just what I've seen on the Food Network and from being a food fan.
But I'd argue that this makes business sense, and it shows you the Essence of Platform: screaming fans that want what you provide. Not expertise; the Food Network has been cutting out a growing number of the show hosts that were actually chefs. But when that driving force is taken away, the whole kit and kaboodle is suddenly a lot less desirable on its own.
However, MSLO has the television distribution and already deals with magazines, books, and products. This was a natural match, and a very smart one. Because while MS has platform, the company needs more than her as a brand, or it could literally live or die on her mortal existence. Suddenly they had an opportunity to snag another personal brand that was a compliment, and so they paid a good amount. When an editor talks to you about brand, understand that this is the type of grand notion he or she really wants. Having a blog alone won't do it. Earning a special degree or certification won't do it. Those are the barriers to entry to seem credible. Then you have to get people wanting you. If you can do that, the publishing world will look far more kindly on you than you thought was possible.
Now, if someone can only get Rachel Ray off the Wheat Thins cracker boxes.
So, why the deal? Remember back with me to late last year, when the Food Network decided to stop filming the show Emeril Live. Here you see an example of real platform. The EL show was fairly popular, got lots of people saying "Bam," and turned Lagasse into a very hot commodity. But while he would still have had the Essence of Emeril show, it was a low-key affair with no screaming audience members and, presumably, a lot less mojo. No inside info here - just what I've seen on the Food Network and from being a food fan.
But I'd argue that this makes business sense, and it shows you the Essence of Platform: screaming fans that want what you provide. Not expertise; the Food Network has been cutting out a growing number of the show hosts that were actually chefs. But when that driving force is taken away, the whole kit and kaboodle is suddenly a lot less desirable on its own.
However, MSLO has the television distribution and already deals with magazines, books, and products. This was a natural match, and a very smart one. Because while MS has platform, the company needs more than her as a brand, or it could literally live or die on her mortal existence. Suddenly they had an opportunity to snag another personal brand that was a compliment, and so they paid a good amount. When an editor talks to you about brand, understand that this is the type of grand notion he or she really wants. Having a blog alone won't do it. Earning a special degree or certification won't do it. Those are the barriers to entry to seem credible. Then you have to get people wanting you. If you can do that, the publishing world will look far more kindly on you than you thought was possible.
Now, if someone can only get Rachel Ray off the Wheat Thins cracker boxes.
Labels: brand, business, platform, publishing, strategy, television
posted by Erik Sherman | 6:31 AM
1 Comments:
I have ranted about the Food Network's declining standards in the past. I'm with you 100% on the Rachel Ray front but will not miss Emeril's "Bam!" I was never a big fan and refused to watch him once he started doing toothpaste commercials. I don't know about you, but I manage to get a meal on the table without a backup band.
The whole concept of platform and branding is intriguing and disheartening. When personality and catch phrases replace knowledge and skill, we will all be pouring EVOO on our pre-packaged Rachel Ray salads and chowing down on frozen celebrity lasagna -- providing we remember how to work a microwave.
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