RS banks on 'social entertainment' for 20-per-cent growth

“Content integration through traditional and social media, so-called ‘social entertainment’, is the key strategy for the company in 2012,” chief executive officer Surachai Chetchotisak said yesterday.

He explained that social-media networks like Facebook, Twitter and YouTube as well as Internet TV would become key links to customers for its entertainment content, including music, digital download, show business and sports content; and media services such as satellite TV, radio and in-store media. 

The company is also targeting the young generation both in Bangkok and upcountry who are dedicated to social networks and new technology as a result of the high penetration of smart-phone users and developed 3G broadband connectivity. It is estimated that smart-phone users account for about 30 per cent of total mobile-phone users. The company will partner mobile operators to jointly market “Music Streaming”, which would allow customers to experience new digital music downloading. 

With this advanced strategy, Surachai believes the company will achieve this year’s target of Bt3.2 billion revenue, up 20 per cent from last year, and hit Bt5 billion by 2013, though the media and entertainment business faces slow growth in the first quarter of this year as many companies were hit hard by last year’s flooding. 

Also, he said many advertisers and product owners had slashed or postponed advertising, while at least 12 activities, including marketing events, concerts and roadshows, have been cancelled or postponed since October last year. 

Of this year’s target, the music and digital-download business will contribute the lion’s share of revenue with Bt950 million, followed by show business and concerts at Bt850 million, free and satellite-TV business at Bt550 million, radio at Bt340 million and sports at Bt230 million.

He added that the firm planned to organise at least 10 concerts this year after the success of “Raptor 2011 The Concert”. 

The company will also launch its first sports pay-TV channel via a satellite platform in the middle of this year to broadcast live soccer matches and related TV programmes of Spain’s La Liga, for whose 2012-2015 season RS has been awarded broadcast rights.

Apart from new pay-TV channels – Sabaidee TV, You Channel, Channel 8 Infinity and YAAK TV – Surachai said there was no further plan to add any new satellite channels this year. Meanwhile, RS’ radio unit plans to expand the broadcasting network of Cool93 Fahrenheit radio programmes to Chiang Mai in order to expand its listener base.