Fox foresees ad revenue boost from new networks

Corporate July 02, 2014 00:00

By Watchiranont Thongtep
The Nat

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Fox International Channels (FIC) aims for more advertising revenue after reaching a wider audience by adding four cable and satellite TV networks.

Asia’s leading content distributor mainly to local pay-TV operators is also seeking opportunities to supply famous television shows, series and sports programmes to the new digital broadcasters. 
Rujayarak Abhakorn, vice president for Thailand, said yesterday that after FIC changed its strategy from exclusively dealing with TrueVisions, the country’s largest pay-TV operator, to non-exclusive contracts to reach other pay-TV operators in the last two years, Fox had witnessed 300-per-cent growth in revenue. 
After sealing non-exclusive contracts with new cable-sat operators CTH, GMM Z and TOT’s MeTV IPTV, Fox’s Thailand unit can now reach about 4 million pay-TV viewers. 
It will begin offering inserts for local advertisers or brands on top of existing TV commercials sealed under regional contracts, starting next month with its own pay-TV channels Fox Sports, Fox Movies Premium and StarWorld. 
Currently only Fox Thailand and Channel V are ad-driven channels and available for this service.  Amid the change in the media landscape after the arrival of the 24 digital terrestrial TV channels, Fox is now in talks with three or four of the new stations to distribute its well-known shows, series, documentaries and sports content. 
FIC has secured the broadcasting rights to the German Bundesliga soccer seasons to 2019. The company will also select some live matches of this soccer league to telecast via the new digital TV channels. 
After the completion of the merger of the ESPN network and FIC, the company will rebrand ESPN channels to Fox Sports channels. 
However, subscription fees from pay TV remain the biggest source of revenue at 80 per cent, followed by advertising, broadcasting rights to terrestrial free TV channels and over-the-top service to telecoms. 
Last fiscal year, Thailand’s unit ended up with Bt700 million in revenue. It targets a revenue surge of about 30-40 per cent from the fiscal year ended last month. 

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