TV Market Round-Up – December 2003

Five saw revenue increase by 8.9% year on year during December to £18.6 million as its ongoing attempt to distance itself from its downmarket image proved effective in attracting advertisers.

The channel recently dropped all remaining softcore pornographic content from the schedules and strengthened its science and history programming in an attempt to establish itself as the home of classic US dramas and arts documentaries (see Lygo Strips Channel Five Of All Adult Content).

The move has helped Five to increase its share of viewing over the last year and the ongoing success of key programmes such as Home & Away, CSI: Crime Scene Investigation and Law And Order have proved successful in attracting advertisers to the channel.

Things were less positive for ITV1, which saw revenue decline by 1.6% year on year to just below £123 million. The UK’s largest commercial broadcaster traditionally takes its foot off the peddle in the run up Christmas as BBC One pulls out all the stops to attract viewers over the festive period.

However, things look set to pick up for ITV, which is hoping to boost its programming budget by 7% to £849 million following the recently completion of the Carlton and Granada merger (see ITV Merger Leads To Increase In Programme Budget).

Meanwhile, Channel 4 experienced a slight 0.7% increase in revenue to £47 million and reports suggest the Government-owned broadcaster saw profits triple last year as its wide-ranging effort to reduce costs began to bear fruit (see Outlook Improves For Channel 4 As Profits Triple).

Satellite channels continued to go from strength to strength and revenue jumped by 17% to just under £46 million during December amid news that more than 50% of the population now receives digital television either through Sky Digital, cable or the recently launched Freeview digital terrestrial service (see Digital TV Now In More Than Half Of UK Households).

ITV Franchises

Carlton saw the most notable increase in its share of ITV’s overall revenue, which rose by 1.72% year on year during December to 15.39%. Central and Ulster also performed well with a 0.28% points improvement. However, LWT proved less fortunate with its share declining by 0.81% points during the same period to 10.14%.

Cost Per Thousand

ITV1 saw costs per thousands fall across the board in year on year analysis with a notable 5.4% decline in the Housewives category. Channel 4 and Five experienced significant gains in the Housewives with Children category, which was seen up by 25% and 9.9% respectively. Five also experienced a marked 7.6% increase in the ABC1 Adults category.

Commercial Impacts

Channel 4 saw commercial impacts fall across the board year on year during December, with the exception of the ABC1 Adults category, which rose by 0.3%. ITV1 experienced a 4% rise in the Housewives category and Five saw its Men category increase by 17.2% during the same period.

Industry News

BBC Comes Under Fire Over Coke’s Chart Sponsorship Duff Names Carlton’s Digby As ITV Sales Director Ofcom’s Airtime Sales Ruling Receives Mixed Reaction Freeview Tempts Up-Market Viewers From Terrestrial ITV And BBC Get Festive With Christmas Schedule Launches Channel 4 Restructures Interactive Operations Channel 4 Leads Drive To Promote Television Advertising BBC Bags Norton As Channel 4 Contract Expires BSkyB Loses Premiership Monopoly In Football Shake-Up Five Moves To Boost Science And History Programming ITV Rejects Former Vodafone Chief Executive As Chairman Pop Idol Final Proves Bigger Is Better For ITV Pop Idol Final Proves Bigger Is Better For ITV

Subscribers can access ten years of media news and analysis in the Archive