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Latest Satellite News Discussion, Fragmentation driving down value of UK TV at General Satellite News forum; Fragmentation driving down value of UK TV Joseph O'Halloran | 16-07-2012 New research from IBISWorld has concluded that the fragmentation ...

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Fragmentation driving down value of UK TV - 16-July-2012, 14:20

Fragmentation driving down value of UK TV

Joseph O'Halloran | 16-07-2012

New research from IBISWorld has concluded that the fragmentation of audiences between free TV, pay-TV and digital TV in addition to increased competition, has made TV advertising less appealing, driving down subscription values.
The result, as predicted in Television Programming & Broadcasting in the UK: Market Research Report, will be that revenue will likely grow by an annualised 0.4% in the five years through 2012-13, reaching 12.9 billion. This includes a forecast 3.0% increase in 2012-13.

The analyst believes that even though it is dominated by a few major namessuch as the BBC, ITV, Channel 4 and Channel Fivefragmentation of the media has led to a proliferation of new companies rushing to fill the void created by the advent of new viewing technologies. Yet it argues that traditional networks have found that they are now unable to satisfy public demand for video content leading to the industry likely to post modest growth coming years.
Commented IBISWorld industry analyst Arna Richardson: The fragmentation of audiences between free TV, pay-TV and numerous digital channels has made TV advertising less appealing to companies, driving values downin coming years, the industry is likely to post modest growth, as revenue from internet-based advertising for TV on demand and programmes viewed online is included more completely in the industry's income.


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