TV Market Round-Up – February 2004
Total terrestrial television revenue increased by a solid 7.6% year on year during February to just under the £200 million mark as the sector showed further signs of emerging from the advertising downturn.
ITV1 experienced the most significant increase with revenue rising by 8.5% year on year to almost £125 million as its antipodean reality-TV show I’m A Celebrity Get Me Out Of Here provided advertisers with access to record audiences.
A peak of almost 16 million viewers turned to ITV1 for the climax of show, which proved that the UK’s largest commercial broadcaster is still successful as a mass marketing medium, despite increasing competition from mutlichannel broadcasters (see Almost 16 Million Viewers Watch I’m A Celebrity Final).
Channel 4 also showed ongoing signs of recovery with revenue increasing by a solid 7.3% during February to £49 million. The broadcaster saw profits triple last year after holding advertising revenues flat during 2003 and cutting non-programme costs to focus on its core business (see Outlook Improves For Channel 4 As Profits Triple).
Five continued to strengthened its position in the television advertising market with revenue rising by 3.2% to just under £18 million. The channel has been hit by the departure of it deputy chief executive, Nick Milligan, who left to take up a newly created role of managing director of BSkyB’s advertising sales operation. However, Zenithoptimedia predicts that channel will continue to see revenue increase (see BSkyB Confirms Milligan To Oversee Advertising Sales Arm).
Satellite broadcasters went from strength to strength with revenue increasing by 7% year on year to £49 million. Non-terrestrial channels are continually gaining ground in the battle for viewers and their combined audience share expected to rise from 21% in 2003 to just under 25% by the end of 2007 (see Freeview To Replace Sky As Top Multichannel Platform).
| Total Television Revenue – February 2004 | |||
| Total Revenue | % Change | ||
| ITV1 | 115,160,000 | 124,990,000 | 8.5 |
| C4 | 45,670,000 | 49,000,000 | 7.3 |
| Five | 18,170,000 | 18,750,000 | 3.2 |
| GMTV | 4,200,000 | 4,400,000 | 4.8 |
| Total Terrestrial (inc. GMTV) | 183,200,000 | 197,140,000 | 7.6 |
| Total Satellite | 46,170,000 | 49,400,000 | 7.0 |
| Source: Agency Estimates | |||
ITV Franchises
Yorkshire/North East experienced the most upward movement amongst the ITV franchises with its share of revenue increasing by 1.04% points year on year during February to 10.8%. Scotland also performed well with its share of ITV’s revenue rising by 0.70% points to 6.65%. However, North West/Border proved less fortunate with a 1.46% points decline to 9.96% and Carlton dipped by 1.02% points to 14.97%.
| February ITV Franchise Revenue Share Comparison | |||
| Station | Feb 03 | Feb 04 | % Point Change |
| Scotland | 5.95 | 6.65 | 0.70 |
| Anglia TV | 7.49 | 7.59 | 0.10 |
| Carlton | 15.99 | 14.97 | -1.02 |
| LWT | 11.50 | 11.44 | -0.06 |
| Central | 15.85 | 15.96 | 0.11 |
| North West/Border | 11.42 | 9.96 | -1.46 |
| Meridian | 11.95 | 12.25 | 0.30 |
| West Country | 1.98 | 2.09 | 0.11 |
| Ulster (UTV) | 2.30 | 2.48 | 0.18 |
| HTV | 5.81 | 5.82 | 0.01 |
| Yorkshire/North East | 9.76 | 10.80 | 1.04 |
Costs Per Thousand
Channel 4 saw costs per thousand fall across the board during February with the exception of its Men category, which rose by 2.4% year on year. ITV experienced a 1.9% increase in the ABC1 Adults category and Five saw a 1.2% rise in the Housewives With Children category.
| CPTs | ||||||
| ITV1 | % Ch YoY | Channel 4 | % Ch YoY | Five | % Ch YoY | |
| Adults | 6.1 | -0.8 | 6.45 | -2.1 | 3.52 | -3.8 |
| Men | 16 | 0.4 | 16 | 2.4 | 9 | 2.1 |
| Women | 10 | -1.7 | 11 | -5.2 | 6 | -8 |
| Hwvs | 9 | -1.6 | 10 | -1.9 | 5.35 | -4.9 |
| Hwvs/Ch | 37 | -2.2 | 49 | -2.6 | 24 | 1.2 |
| ABC1 Adults | 16 | 1.9 | 13.81 | -6.8 | 11 | -3.1 |
Commercial Impacts
Both terrestrial and satellite broadcasters saw commercial impacts rise across the board during February. ITV experienced an 11.1% increase in the Housewives with Children category, while Channel 4 and Five both saw upward movement in the Women category. Satellite channels experienced a notable 17.19% rise in the Housewives category and a 13.(% increase in the Men category.
| Commercial Impacts | ||||||||
| ITV1 Impacts | % Ch YoY | C4 Impacts | % Ch YoY | C5 Impacts | % Ch YoY | Satellite Impacts | % Ch YoY | |
| Adults | 24,842 | 9.5 | 9,205 | 9.5 | 6,451 | 7.3 | 15,787 | 13.7 |
| Men | 9,687 | 8.1 | 3,808 | 4.8 | 2,665 | 1.1 | 7,548 | 13.9 |
| Women | 15,155 | 10.4 | 5,397 | 13.2 | 3,786 | 12.2 | 8,239 | 13.6 |
| Hwvs | 16,010 | 10.3 | 5,843 | 9.3 | 4,250 | 8.5 | 8,856 | 17.9 |
| Hwvs/Ch | 4,056 | 11.1 | 1,202 | 10.2 | 954 | 1.9 | 3,287 | 9.1 |
| ABC1 Adults | 9,237 | 6.5 | 4,299 | 15.2 | 2,103 | 6.5 | 6,521 | 11 |
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