Ad agency categorises TVs into 3 tiers
Mindshare Thailand says the arrival of digital TV is dividing the Bt70-billion broadcasting industry into three main tiers, suggesting that advertisers and brands gain a deeper understanding of them before spending their money.
“We categorise them [broadcasters] by audience ratings, advertising rates, audience and revenue share, and content,” said Phayao Thamteersoonthorn, head of TV trading at Mindshare Thailand.
The first tier consists of market leaders with strong content and a firm audience base. Channel 7 and Channel 3 are included in this group. Their average advertising rates appear to be the highest in the market, at least 450,000 per minute.
Expecting high competition from new rivals that offer value for money offers, both of these top channels could find it difficult to raise their advertising fees in the coming year. Among key strategies to keep ad revenue coming in, they might create on-the-ground activities to promote their TV programmes for their clients.
The second tier consists of new players with high growth potential, as they anticipate good responses in terms of viewership and advertising revenue. These TV broadcasters are RS Channel 8, Workpoint Creative TV, Thairath TV, One HD, Nation TV and Mono 29. This group also includes analog channels such as MCOT’s Modernine TV and the Army’s TV5, because their ratings are at the same level as leading digital terrestrial channels.
The third tier consists of developing players. Phayao suggested that this group was attempting to build on its uniqueness, attracting brands that identify with specific audiences. Some of them are newcomers in the TV broadcasting sector, so they need to focus more on producing quality content and building brand awareness to create an audience base.
Meanwhile, Khanokkhan Prajongsangsri, business director for investment and knowledge at another key media and advertising firm, IPG Mediabrands, said Channel 7 and Channel 3 needed to maintain their audience ratings and revenue as they faced new rivals.
She said Channel 7, which has a stronghold in the provinces, was now turning its focus towards urban audiences. This popular TV channel is planning to assign new production houses to make programmes targeting those viewers.
On the other hand, Channel 3, which is the favourite among viewers in urban areas, also plans to expand its audience base nationwide.
Khanokkhan suggested that the birth of digital TV also opened more doors for marketers and brands to join with broadcasters to co-create branded content in a bid to make their channels different from others.
