DISCA Discovery Inc

By Alexandra Bruell 

Discovery Communications Inc. is eyeing growth through digital content for platforms like Snapchat, as well as international expansion, the cable network-owner said Tuesday at its annual event for the kickoff of the "upfront" ad sales season.

Discovery, which recently announced a new deal to develop shows for Snapchat's Discover platform, said it will add a Snapchat channel for Eurosport, the sports network it controls/owns, that will include content around the Winter Olympics.

The company also is adding a new wedding-focused Amazon channel, "Say Yes," that will feature moments from the "Say Yes" franchise, as well as new content.

David Zaslav, Discovery's chief executive, said the company is pivoting from a focus on channels to a focus on "IP," or content that the company owns and can distribute on the platforms and in the geographies it chooses.

"We have to figure out IP that can be on every device," Mr. Zaslav said.

The company also said it can help advertisers customize their ads running on Discovery's linear TV channels for content on other social digital platforms.

Discovery has increased its investment in content from $400 million to $2.3 billion over the last ten years, the company said. It also continues to add new and existing programming abroad.

The company last year i nvested $100 million in Group Nine, a network of digital media sites including The Dodo and Thrillist.

Multi-platform viewing is a major focus. Discovery says streaming on its channels' GO apps, which enable subscribers to stream TV content on various devices, is growing at a healthy clip. The company is expecting 1% incremental ad revenue per quarter from the apps.

As the company invests in digital content, ad buyers want metrics that account for viewing across all devices and formats.

Discovery's plan in that area involves a partnership with comScore and Symphony, as well as the creation of its own system to "provide unduplicated measurement across all platforms," meaning the avoidance of counting the same viewers more than once.

Measurement giant Nielsen also has developed its own product that can deliver a "total content rating" for a show across TV and digital platforms, including mobile. That is still being adopted in the industry.

"Right now, it's an incomplete solution," said Discovery's Mr. Zaslav.

Virtual reality videos are also gaining steam, with 126 million VR streams to date, the company said.

In addition to new content partnerships, the company is betting on a new slate of programming, and bringing back old hits like "Trading Spaces."

Discovery Channel is launching a new series called Darkness, which follows a few people who spend days underground while navigating cave systems and abandoned mines. Investigation Discovery is releasing its first scripted limited series, The Von Bulow Affair, as well as its first scripted movies, Dating Game Killer, starring Guillermo Diaz, and Final Vision, starring Scott Foley.

ID "is growing everywhere in the world," the company said.

TLC, meanwhile, is looking to cash in on a "middle America" moment. "After the Trump election, we went back in the field and spent time talking to the TLC audience," said Mr. Zaslav. "TLC is middle America."

Write to Alexandra Bruell at alexandra.bruell@wsj.com

(END) Dow Jones Newswires

March 28, 2017 15:41 ET (19:41 GMT)

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