creative media btec- unit 7 – the media sector (television)

UNIT 7 – UNDERSTANDING THE CREATIVE MEDIA SECTORBy Brandon Boyd

*PRIVATE OWNERSHIPS*

PRIVATE OWNERSHIPS (DESCRIPTION) A Private Ownership is a company that is not publicly traded on a securities

exchange. They are generally owned by an individual or a small group of individuals.

Offering securities to the public can be a good way to get large amounts of money. For Public ownerships, they require a considerable effort to ensure compliance with the security regulations. Public ownerships generally require a considerable amount of effort to comply with the security regulations and are generally impractical for medium or large organisations.

Ownership stakes in privately owned companies are said to be more difficult to sell or transfer, and they generally are. The security laws that are put in place, restrict selling private ownership stakes, since dealing with the securities are often much more complicated. Accounting records for example, may be inaccurate, unaudited and may or may not be in compliance with the GAAP (Generally Accepted Accounting Principles).

http://www.investopedia.com/terms/p/privately-owned.asp

PRIVATE OWNERSHIPS(FILM EXAMPLE- UNIVERSAL STUDIOS)

Sources of Income- They receive money through advertising, film making and production deals with other leading companies such as Apatow Productions, ImageMovers, Lava Bear Films and Silver Pictures.

Product Diversity- The staff are given training and often attend courses that are designed to help them think of unique ideas and have a passion for telling a story, before turning it onto a possible film.

Profitability of Product Range- One of their most recent movies called “Jurassic World” was a worldwide global sensation with over $524 million revenue of the tickets sold worldwide in order for people to watch the film. Other profitable films were the original Jurassic Park films as well as “Fast and Furious 7”, “Fifty Shades of Grey” and “Pitch Perfect 2” all receiving more than $500 million in revenue.

Organisational Objectives- Their main objectives are to ensure that they are targeting the right audiences with the new films that they release, and that the movie posters they spread on billboards are attractive to help bring in more money for the company. Their main aim is to get members of the public enjoying their movies again and ensuring that the film industry market doesn’t go bankrupt.

Licenses & Franchises- Universal Studios owns the licensing for it’s characters, the character’s personalities and traits, as well as video games. They also own any entertainment properties of the films, whether it be animation, graphics, logo designs, 3D creations of houses, the set and the props used.

Competitors- The main competitors for Universal Studios are “The Walt Disney Company”, the “CBS Corporation” and “Fox Films Entertainment”.

Customers- Universal Studios target mostly at young children. The reason for this is because most of their programmes, services or applications are children related, such as the Disney Channels, which are a sub-company within Universal Studios. Disney world is also a bit part of this organisation, as this is where most of the money comes from, and therefore more recognition is received.

National & Global Competitions: To celebrate the release of the new Harry Potter resort, they decided to offer a chance for people to win an incredible family trip for 4 to the sunny resort of Universal Orlando, in Florida. They were also able to claim a Harry Potter gift pack with a double sided poster/map and Interactive DVD with magical content from 6 of the published books.

Trends-Some of the main trends within the organisation was the 3-D Transformers ride that opened at Universal Studios in Orlando. The release of the ride was after the success from the transformer films. The filming for a new transformers film is set to begin in early 2016 and currently has no name. The reason that Transformers is a trend, is because people are often talking about it for a period of time, and then forget about it, and then it comes back into fashion again with a new name, logo, brand style./design, piece of merchandise, or in this case, a new movie.

PRIVATE OWNERSHIPS(TELEVISION EXAMPLE- ITV) ITV PLC are a British media company that hold 12 of the 15 regional

licenses that make up ITV as a network. They are oldest and largest commercial television network in the United Kingdom. The channels by ITV are branded by the company ITV PLC and they have branded alongside the BBC, otherwise known as the British Broadcasting Corporation for the status of being the UK’s most watched channel since the 1950’s, excluding 2005 in which they lost their crown of being at the top.

They were formed by a corporate takeover from Granada PLC, the “parent” company of Granada Television. 68% of Granada have acquired the controlling interest of the formed company, whilst Carlton have remained as the lower 32% in remaining shares. The company began trading on the 2nd February 2004 and there were a lot of merges between the franchise companies during the long process.

ITV PLC are also listed on the London Stock Exchange and they are constituent of the FTSE 100 Index.

SOURCES OF INCOME:

ITV PLC have increased their profits by nearly a quarter since that starting showing signs of progressing through evolution. The biggest free-to-air commercial broadcaster’s results from the 12 months of 2011 showed that the pre-tax profits had increased 24% from £321m to £398m.

ITV recorded earnings before interest, taxes and having to pay back money that they had either been lent to them, or that they borrowed by a bank, receiving £462m in 2009. The following year they gained £408m, and then decided to hail progress on their strategic priorities. Instead of the traditional spot of advertising as their main engine of growth, they decided to lower the amounts of advertising they did, in order to save their money, and also because the advertising market was “broadly flat” during several of their high profited years.

http://www.broadcastnow.co.uk/itv-profits-up-as-production-grows/5038622.article

PRODUCT DIVERSITY:

ITV are a diverse channel as they have many popular shows that are different to other channels.

ITV want to continue Maximising their audience, Growing internationally and building a global pay.

As you can see, the most popular programmes with the most views on ITV are “The X Factor”, “Coronation Street” and “Emmerdale”.

PROFITABILITY OF PRODUCT RANGE

The company ITV PLC have said that their interactive divisions, whether it be online or from the television itself have been very profitable after VoD requests jumped by over 25% every year. The commercial broadcaster results at the end of 2014 showed that ITV Player generated £726 million video requests over the last 12 month period, up-to the £577 million gained the previous year.

ITV PLC online, payment and interactive revenues have increased by 30% year on year to £153 million, an increase of £35 million from 2013 when they only gained £118 million. This result was also boosted by an £11 million increase in online revenue.

The Chief Executive of the company said that the combined division was delivering significant profit margins. Adam Crozier added that “If you look at the £33 million that was delivered, it was an incremental profit, and that it is a profitable area for them”.

To finalise his opinion, he further went on to say that; “If you look at the online terms of advertising, the CPM’s are 5 times what we charge for linear TV because it’s a more exclusive product where we carry less advertising”.

http://www.broadcastnow.co.uk/news/itv-online-very-profitable-after-vod-jumps-25/5083868.article

PROFITABILITY OF PRODUCT RANGE In October, the director of the online brands Paul Kanareck has

claimed that ITV Player are growing a lot faster in revenue than BBC iPlayer and they set out plans to supercharge the service as a live-streaming proposition.

As you can see from the table above, these are the results from ITV outages where the programme hasn’t been in service or the service had been extremely low causing people to complain. ITV’s particular product “ITV Player” had been causing many problems for members of the public, so they decided to update and upgrade all of the servers as well as the graphics that were being used, and the speed of the broadcasting software.

https://downdetector.co.uk/problems/itv

ORGANISATIONAL OBJECTIVES

ITV PLC as a company, ensure that they are dedicated to the work that they do, and work as hard as they can to ensure that customers continue to use their services. They outline their approaches, responsibilities, priorities and activity schedules that they need to work on, in order to deliver their “Corporate Responsibility strategy”, as well as providing latest information and updates on any campaigns that they are likely to run in the near future.

As a professional company, they intend to present their channel and brand name in a way that makes them be remembered in a positive way. They often present reflective information and data on their websites to see a summary of their progress and targets for the future, as well as targets they have been set by Ofcorn. The performance summary is also published annually each spring, so they have a year to make changes to their working ways, and strengthen their stakeholder pride and loyalty on television, as well as justifying the risks to their business and taking the required risks to be able to compete with other television companies.

LICENSES & FRANCHISES

ITV have 15 Regional Licenses and 1 General License providing them with access and rights to the national breakfast-time and afternoon services. The licenses are;

(Anglia ITV, Border ITV, London ITV, Central ITV, Channel Television, Grampian Television, Granada ITV, Wales ITV, LWT, Meridian ITV, Scottish Television, Tyne Tees ITV, Ulster Television, South West & West of England ITV, Yorkshire ITV and ITV Breakfast Broadcasting Limited).

A franchise is an alternative to building multiple stores of the same company to distribute goods, as it will avoid the investments and liability of a chain. The franchisor’s success depends on how well or how badly the franchised businesses are working.

Some of ITV’s franchises, include Carlton Television, GMTV and UTV. GMTV was a morning show shortened from Good Morning Television to GMTV, which has since been changed into a new morning show known as Good Morning Britain (GMB).

COMPETITORS

As ITV are a television company, they have a lot of competition that they are going to have to deal with in order to make more money and gain more customers. Some of the companies that they have to compete with are the BBC, which are their “chief rival” in the UK. Other competitors of ITV are Channel 4 & 5, S4C, Sky, UKTU, Viacom, Discovery Networks, Disney, Fox International Channels, Eurosport, BT Groups, AMC Network Zone and many others.

ITV PLC operate nearly 10 TV stations, including the largest commercial channel in the UK, ITV and the newest free to air lifestyle & reality channel, ITVBe. The channels all offer a range of entertainment, news and sports information and they have one of the leading producers in television programming for their own channels and other broadcasting channels. In addition to the broadcast channels, ITV distribute programming on the internet and through satellite services such as Sky PLC, and streaming services such as Netflix.

CUSTOMERS

As the largest television company, they are expected to get the most views and the best comments by members of the public. An aid to ITV for helping them get their results is Digital Sky, a service that presents comprehensive daily rating reports, covering overnight performances of both global and multi-channels.

Each of the ITV programmes or channels are aimed at specific audiences in order to attract different groups of customers. For example, shows like The X Factor and Big Brother, are likely to attract different groups of people due to the differences within the programmes. The X Factor is more family orientated, whereas Big Brother is more likely to bring more teenagers and adults into watching the show due to the rude humour, foul language and the time of day that the television show is aired.

ITV also try to communicate with the customers by using services that are available on computers, phones and other electronic products. Some services include Teletext, the ability to vote off housemates on the Big Brother app, and The Red Button app for The X Factor. Applications like this often attract more customers to want to watch the show, as well as maintaining the amount of customers that have already been interested in the show before.

NATIONAL & GLOBAL COMPETITIONS

Over the last few years, ITV have taken part in many competitions around the world, and many changes are being addressed in the media and the advertising markets.

Since 2003, many rules and regulations have been put into place with the competitions around the world, and the profits fell by £500m between the years of 2004 and 2008 according to Ofcom figures, having a negative impact on Britain’s creative sector and its ability to complete globally.

Examples of competitions that ITV have, are on television shows such as Lorraine, This Morning, Good Morning Britain, which allow members of the public to compete globally to win prizes such as cars, vouchers and money.

TRENDS

A “trend” generally shows what a company is doing well in the present, and ways in which they can develop and change into something bigger and better.

One of ITV’s main shows titled “Viral Tap” is a programme that gives members of the public a chance to win £1000 in cash by doing something “trendy” on camera. Some of the examples that have already been featured in episodes are;

“Getting your Grandma to twerk”, “Lion King-ing your cat” and “Mimicking your friend down the street are other programmes that have been trendy for long periods of time on ITV.

TRENDS Here is an example of one of the

episodes that was used on the programme Viral Tap. Rylan Clark, an entertainer made famous from The X Factor, and then BBOTS (Big Brother’s Bit On The Side), made a video of him doing funny actions and mimicking other people. The aim was to get other people involved and then the winner would receive £1000 in real cash for making themselves look foolish, and entertaining the nation.

Various other trends come in numerous ways, including an app called “Vine”, and also on social media such as Facebook, where “Facebook Famous” people create videos about issues and get their voices heard and certain topics trending.

*PUBLIC SERVICE MEDIA*

PUBLIC SERVICE MEDIA (DESCRIPTION) Public Service Media organisations are television programmes that are

made for broadcast for the public. These programmes include local news coverage, arts programmes and religious broadcasts. Public broadcasting can be national or local, and it often depends on the country and the station that is being used.

In some countries, public broadcasting is sometimes run by single organisations. Other countries have multiple public broadcasting software, and are therefore able to broadcast in multiple languages. Public broadcasting is also once of the most dominant broadcasting options for many countries, with the notable exception of the United States.

Commercial broadcasting now also exists in most countries and was established in the early 1920’s. Modern broadcasting is often a mixed commercial model, and companies like the CBC has always relied on the software from general revenues given by the government as well as funds for advertising to support their service.

PUBLIC SERVICE MEDIA(FILM EXAMPLE- LIONSGATE)

Sources of Income- Lionsgate Entertainment get their income from their television revenue, which reached it’s highest at $579.5 million, as well as their cash flow increasing to $261.6 million.

Product Diversity- The Lionsgate Entertainment channels are diverse, as they have one off shows, including celebrity spin offs of P!nk and David Ortiz. They also have a range of reality shows and entertainment shows that attract wide audiences.

Profitability of Product Range- Lionsgate’s revenue lowered in the year of 2007, but by the end of 2012, the independent film studio generated total revenues of just over $1.59 billion.

Organisational Objectives- They continued making acquisitions during the decade in order to boost distribution and its library. On 15 December 2003, Lionsgate acquired Artisan entertainment for $220 million, and in 2004, Erik Nelson reacquired Termite Art, before renaming it to Creative Differences, helping to create a distribution company in Canada.

Licenses & Franchises- Lionsgate licenses are for the video distribution on their channels. Their library of film consists of work by companies such as Trimark Pictures, Vestron Pictures and Artisan Entertainment, in addition to their in-house material.

Competitors- Some of the main competitors for Lionsgate are AMC Entertainment, Bona Film Group limited, DreamWorks Animation and the RLJ Entertainment Inc.

Customers- Lionsgate Premiere will be releasing 15 new films this year, and will target younger audiences at theatres and digital outlets as part of a diversification effort. They are due to be aimed at teenagers and an advanced marketing team will ensure that the new films are distinguished by the provocative but original storytelling ideas. The marketing campaigns and forward-looking multiplatform and other release strategies are being used in order to maintain the leadership at the cutting edge of industry innovation.

National & Global Competitions- A competition that was available for people to take part in was the chance to win £25,000 where game makers would compete in a competition that would explore how interactive computer games can converge with and help to promote the theatrical release of feature films. The competition was hosted by Lionsgate Entertainment and was a way to gain extra revenue, as well as more acknowledgement in the film sector.

Trends- One of the main trends on the Lionsgate Entertainment scheme was the creation and release of Borderlands, Borderlands 2 with the antagonist Handsome Jack and the Hyperion Corporation head.

PUBLIC SERVICE MEDIA(TELEVISION EXAMPLE- CHANNEL 4) Channel 4 is an example of a Public Service Media company and

they began transmitting their programmes on 2nd November 1982. Although they are self-funded, they are ultimately publicly owned, and originally subsidiary of the IBA organisation, otherwise known as the Independent Broadcasting Authority.

The channel was professionally established to provide a 4th television service for the United Kingdom, in addition to the television license which was funded by BBC, allowing them to use 2 services, and the single commercial broadcasting network ITV, which stands alone.

Additionally, Channel 4 also began a trend of owning all of the copyright and distribution rights of the programmes that they air, and were in competition with the major Hollywood studios’ ownership of television programs that they did not directly produce. Channel 4 don’t produce programmes, they are seen to have “full property” of the programmes.

SOURCES OF INCOME:

Channel 4 receive no public funding, and are entirely funded by their own commercial activities. Most of the income comes from advertising revenue.

Channel 4 are a public company who are only funded by members of the public voluntarily. Original ideas are often made by members of the public and given as suggestions to the Channel 4 representatives.

Another way in which Channel 4 can make more money and gain more income as well as organising public events, is to take risks. Taking risks and producing programmes that they are unsure about is often a good tactic, because with Goggle box, it was said to have been an “accidental” show, which began as a trial. Clearly, Goggle box is a really enjoyed show now and was rated a 3/5 by Trip Advisor, 3/5 by the Telegraph and 7.5/10 by TVGuide.co.uk

Public who made original ideas. A place to take risks. Reviews and opinions can be said.

PRODUCT DIVERSITY:

Channel 4 are a channel that deal mostly with personal issues and stories. The issues often reflect on a broad range of religious and ethical issues, and sometimes cover aspects of people’s spiritual lives.

As you can see, the most popular programmes with the most views on Channel 4 are “8/10 cats does Countdown” and “Educating Cardiff”.

PRODUCT DIVERSITY:

Here is an annual report that outlines how we have delivered ourselves against this remit.

As you can see, these are some of the positive aspects of what the company has achieved over the past year. The achievements include Financial stability, their success creatively, and their innovation of programmes leading them to a more sustainable future in the television industry.


The profitability of Channel 4 has increased by £30 million to £938 since the year of 2014. They returned to our screens after taking two years away from broadcasting. In their annual report that was published a few months ago, it reveals that the broadcaster has met its planned three-year investment and break even business targets, and had reported an overall financial surplus of £4 million.

At a press conference today, the chief executive of Channel 4, David Abraham attributed the below par performance to the impact of the ITV, had dominated the Fifa World Cup’s income in 2014.

The return to Channel 4 was nothing something to celebrate as an achievement in itself. Expressing views consistently with other television companies and channels helped Abraham and his crew to avoid future years of deficit, and said in an interview; “I don’t think it would have helped us to get to where we are today creatively”.


Channel 4 have a “Statement of Promises” which they intend to follow, in order to retain the customers that they already have watching their channels, as well as trying to gain other customers to begin watching their shows. One of their promises is to encourage pluralism and provide a favoured place for the untried, encouraging innovations in styled contents on and off of the screen.

Their main aims as an organisation are the maintain salience of the remit and values in the new media programmes they create. Channel 4 also want to grow their strengths from the core of terrestrial broadcasting, to provide creative content across different media platforms, such as social media, leaflets, advertising on television and billboards.

They also state that they are a true company and hope to stay a unique role in UK broadcasting. They are commercial with a funding structure, with the service they are offering, to be provided to the public. Channel 4 state that they are often a benchmark of quality and innovation, providing competition to commercial and public sector broadcasters alike. Having ambitions for innovating British media that others aspire to meet, is another one of Channel 4’s greatest aims.


Channel 4 is the fourth national public service channel, and the license was granted in 2004, replacing the original one granted in 2022, ending in 2004. The main license for the Channel 4 public television broadcasting service is held by the Channel 4 television corporation C4C, a statutory body established to ensure the continued provision of the Channel 4 service.

The third part of the license states that there is a consultation on Ofcom’s proposals for the appropriate licence conditions and licence duration, and on related questions, in advance of renewal of the licence. Although they form important context, this consultation does not consider C4C’s portfolio of channels, its on-demand or online services, or its delivery against its wider public service remit. C4C and Ofcom have separate duties concerning delivery and reporting of these under section 198A-D of the Act.

COMPETITORS

Channel 4 are one of the leading television broadcasting companies in the UK and around the world, and their biggest competitors are ITV, BBC and Freeview.

BBC are the leading broadcasting company who have over 20,000 staff, 16,672 of which are in the public sector of broadcasting. They began broadcasting channels in 1932 and provided comprehensive television and radio shows that were in Arabia, Persian and 28 languages.

ITV are also another leading broadcasting company who already have a lot of successful shows including the various talent shows, reality shows and cooking shows. They are a competitor for Channel 4, as they have also created a lot of similar shows.

CUSTOMERSThe profile of the Channel 4 audience throughout the

day:

CUSTOMERS

46

70

42

56

4156

45

43

34

3740

20

16-34 35+

45

75

6147

30 57

44

40

24

2331

2366 59

“Do you watch any of the programmes

listed?”

The target audience for the Channel 4 shows are for people aged 16 and

upwards or family based programmes.

http://www.studentbeans.com/blog/wp-content/uploads/2009/08/bbc3_logo.jpg

http://www.studentbeans.com/blog/wp-content/uploads/2009/08/bbc3_logo.jpg


As a television company, you would expect the shows to want revenue coming into the business from a different angle. Channel 4 have a horse racing channel were you are able to bet on different horses to win races, and you can watch it along live on the television. This is a National competition, and anybody outside of the UK, or in Ireland, are unable to play the competitions. This is a good way to get their brand advertised as well as gaining more money and customers at the same time.


Channel 4 also have Global Competitions such as winning a holiday, a car, prize money, tickets to concerts, family day trips and other amazing offers. An example of this type of competition can be found during advertisements of well known shows, such as Deal or No Deal, The Million Pound Drop and Sunday Brunch. As the programme goes to advertisements, they give a phone number with a simple question and multiple answers, raising their revenue straightaway. If the prize fund is £20,000 and a car that’s worth about £100,000, they are getting a lot more than £120,000 from people texting in and calling in, using their phone credit.

Some of the winners can be found below, with more on the Channel 4 Broadcasting winner’s website.

http://www.channel4.com/programmes/competitions/articles/all/channel-4-broadcast-competition-winners




TRENDS

One Born Every Minute Tues, 21:00Inds: 3.8m16-34 Profile: 34%(6 profile points above YTD average of 28%)

My Big Fat Gypsy Wedding Thurs, 22:00Inds: 6.4mABC1 Profile: 47%(3 profile points above the YTD average of 44%)

Grand DesignsWednesday, 21:00Inds: 4mABC1 Profile: 57% (13 profile points above the YTD average of 44%)

Here are some of the most popular programmes/trendy programmes that people are watching on Channel 4. Some of the main genres of show on their channel are cooking shows, design shows, reality shows and anything that tends to give information about latest stories or headlining news on social media.

*MULTINATIONALS*

MULTINATIONALS (DESCRIPTION) Multinational corporations or organisations, otherwise known as MNC’s

own or control a production of goods and services in more than one country. They often own parts of companies in countries other than their home country, and can be referred to as “International Corporations”, “Transnational Organisations” or “Stateless Corporations”.

Multinationals often bring in and push out goods from a particular company in order to maintain the customer and revenue levels worldwide. They also help make significant investments in foreign countries, often at a cheaper price.

Another positive aspect is that it is easier for them to buy and sell licenses in foreign markets and engage with contract manufacturing in order for people to help produce a lot of products in multiple countries.

One of the first Multinational companies was based in India, and was called the “East India Company” who then changed their name to the “Dutch East India Company” as they merged with Germany and began a partnership company alongside one another. They were founded in 1602, March 20th, and didn’t realise that they would have become one of the largest companies in the world for nearly 200 years, still being spoken about today.

MULTINATIONALS(FILM EXAMPLE- PINEWOOD)

Sources of Income- They get their money from advertising and the films that they create.

Product Diversity-

Profitability of Product Range- Their revenue from 2013 was approximately £61.4 million with their Net Debt of £40.2 million excluding the money that they had to spend on loans.

Organisational Objectives- Their aims are to be able to create the UK’s leading films, televisions and in the media destination. They also wanted to enhance their brand heritage and exceed our customers’ expectations through our commitment to professionalism, quality of service and offering a sustainable advantage to increase the value for the company and the stakeholders.

Licenses & Franchises- Pinewood Studios have a UK expansion in the making as well as large yards for advertising that they would rent out. Some franchises of their company include innovating into a cinema brand, as well as a television brand and an accommodation renting out space.

Competitors- The main competitors of Pinewood are Cinecitta Luce Spa, IM International Media and Protel Center SRL.

Customers- The main target audience for the company are young adults that are 18 and over. Most of the films have been rated 18+ and have violent or sexual themes. An example of one of their films are “The Diary of a Teenage Girl” which encountered a girl called Minnie who had a complex love affair with her mother’s boyfriend.

National & Global Competitions-

Trends-

MULTINATIONALS(TELEVISION EXAMPLE- BBC) An example of a Multinational organisation is the BBC. Some

companies such as the BBC decide to become multinational companies as they want to increase their market shares around the world and need somewhere else to broadcast their products or services. Coca Cola are another example of a company that decided to do this in order to get more customers and become “trendy”.

As well as the British BBC channels, they have released a new Scottish television channel called BBC Alba. It was launched in September of 2008 and is also the first multi-genre channel to entirely come from Scotland, with almost all of their programmes made in Scotland. The service was firstly made available by satellite but since June of 2011, they have been available to viewers in Scotland on Freeview and cable television.

SOURCES OF INCOME: This statistic displays the BBC's income in the United Kingdom (UK) from the fiscal year ended March 31, 2010

to the fiscal year ended March 31, 2015. In the most recent year, the BBC had a licence fee income totalling over 3.74 billion British pounds.

In the United Kingdom, households consuming live television via any technology must hold a television licence. The bulk of the BBC's income is generated through the television licence fee paid by UK citizens.

From 2010 and 2011, you can see that the amount of income that the BBC are gaining has increased as they are producing a lot more shows that the public actually want to see, and they have teamed up with smaller companies to invest in the new creations of better shows.

PRODUCT DIVERSITY: From the 20th September 2015, the top 10

programmes on BBC1/2/3 and 4 were recorded and processed for analysis. As you can see, The Great British Bake Off is the most watched programme with 12,347,000 views over a 7 day period, with University Challenge, Eastenders and BBC Four Sessions, topping the chart for BB2/3 and 4.

Another weird thing that I found out about the BBC broadcasting channel, is that the same show had been aired on different BBC channels, which is a way that their programmes are different, because it meant that people could watch multiple of their favourite programmes at the same time.

PROFITABILITY OF PRODUCT RANGE Top Gear was one of BBC’s greatest shows, alongside big brands

such as Doctor Who and Lonely Planet. They each helped the BBC to gain over £200 million in revenue and more than £40 million in profits for the company.

As well as the television programmes, the channel also started to do live events, DVD’s and magazines from the Doctor Who brand, as well as an umbrella for the BBC Earth channel. The products helped to raise the profit of the BBC by £147.3 million by the end of March in 2010.

More recently, the organisation have had an increase in 19% from the views that Lonely Planet is bringing in, as well as the branding being risen to almost £200 million. Lonely Planet is now available in seven international editions and has seen its digital revenues grow by 37% year on year, turning their £3.2 million loss into a £1.9 million profit by the end of 2013.


Here you can see that there are more ways that the BBC improved their revenue over the years, financially and creatively.

“Through focusing on transformation and investment in 2014/15 BBC Worldwide delivered a solid performance, including record returns to our parent, the BBC, which remains our primary objective. Mindful of the ever-changing and competitive marketplace in which we operate we made a number of decisions to secure our future performance. This included entering into a significant partnership with AMC Networks for BBC AMERICA, which can be seen in our results this year”. The above quote has been written by Tim Davie, who was the Chief Executive and BBC Worldwide Director.


The four objectives are:

>Make distinctive, world-class content

>Transform our offer for younger audiences

>Develop a more personal BBC

>Demonstrate value for money in every area of our work


Some of the other objectives of BBC are to make themselves distinctive and well known, as well as trying to bring the same quality and range of television show to our screens. As an organisation, they also intend to make more of their programmes aimed towards younger audiences and help develop more of a “personal bond” with the public, by making stories more personal, audience-focused and helping people to sort out their problems on air.


The BBC license fees are collected primarily by the BBC, and they are also used to fund the radios, televisions and services that they provide as an organisation. The type of tax that they are collecting, for the one particular purpose, is known as a hypothecated tax. The “License Fee” collection is also the responsibility of the BBC’s finances and business divisions.

A franchise is when a “franchisee” buys the right from a franchisor to copy a particular brand or business format, with the “franchisor” giving them the access to do so.

The new "Independent Television" network, named due to its independence from the BBC who had a monopoly on broadcasting in the UK, was made up of numerous companies providing a regional television service and would also generally provide programmes to the network as a whole. Each individual company broadcast on 405-line VHF and was responsible for providing a local service, including daily news bulletins and local documentaries, and for selling advertising space on their channel: this measure ensured that all the ITV companies were in competition with each other and that no single broadcaster could gain a monopoly over commercial broadcasting.

COMPETITORS BBC’s main competitors are ITV and Sky. A total of 16% of BBC’s programme

hours were made by independent production companies in which another broadcaster has had at least a 25% stake, according to figures for 2014 and 2015 published in August of 2015. This gives us the idea that the changing nature of global television production has seen a rapid change over the years, and there will be new evolved programmes to come.

The producer of the broadcasting services “Poldark”, “Mammoth Screen” and “So TV” are majorly owned by Sky, with some of the revenue going towards the BBC.

Last year saw further consolidations with All3Media, maker of Inspector George Gently and Horrible Histories, bought by Discovery and Liberty Global, and the tie-up of Endemol and Shine in a new company 50% owned by Rupert Murdoch’s 21st Century Fox.

Currently the BBC guarantees 50% of its hours for in-house production, 25% for independent producers and 25% in a so-called “window of creative competition”, or WoCC, open to all.

CUSTOMERS

BBC are able to watch shows that are designed specifically for them; usually a wide variety of different shows to suit wide audiences. This is generally because the BBC run on what the public want. A disadvantage of using BBC is that you would have to sign up to companies such as Sky, and pay them money, rather than just paying a TV license that funds for one channel.

The BBC are also able to gain a lot of customers as they generally use social media such as YouTube and Facebook to promote their own shows. Some reviews that they have from customers state that they feel that “the website goes from strength to strength to offer a respectable amount of video based content with a helpful categorised based system for easy navigations, along with the amazing quality of shows that are available to watch on the television”.

NATIONAL & GLOBAL COMPETITIONS An example of a competition that the BBC have run, is the

“Musical Memorabilia” competition. The BBC had asked viewers to share their most cherished musical possessions to help tell “The people’s history of pop” through a unique appeal.

An online archive is being created for a new BBC4 series which will tell the story of British rock & pop music from the 1950s to the noughties - but without the traditional narrative from chin-stroking “experts”.

Instead ”The People’s History of Pop” will use photos, ticket stubs, teenage diary entries, fan club gifts, school band recordings, wrist bands and rare footage to trace the rapid turnover of youth movements which made being a pop fan an exhilarating experience for millions of Britons.

Viewers are invited to create a profile on History pin, a web platform which runs projects with communities to collect memories online, then take a picture of their memorabilia and upload it. Audio and video can be embedded too.

TRENDS

One of the main trends from the BBC broadcasting channel is “The Great Chelsea Garden Challenge” which is a weekly show getting inspired garden designers to compete against each other with a budget, to create a garden for a particular place. The theme was different every week and there were 6 applicants in each series, meaning that the show lasted for 6 weeks.

TRENDS Around 81% of individuals in

the UK watch BBC television each week (figure 3). 14 BBC television’s reach has fallen from 84% in 2010-11, at which point it had been almost static for several years – it was 85% in 2004-05. In 2013-14, the audience reach of all BBC channels fell.

BBC television programmes aren’t reaching younger people as well as they do for the older viewers. They have tried to vary their audience for the different types of programme they have, but it has come clear that most of their shows are watched by adults 55+, with just a few percent less who are 45-54 years old.

*INDEPENDENTS*

INDEPENDENTS (DESCRIPTION) Independent companies or businesses usually consist of privately owned

establishments and are different to public companies in the way that they are owned by investment shares on the stock market. In most cases, the independent businesses usually take the shape of individual proprietorship companies.

A basic setup for an independent business is to maximise the responsibility of the proprietor and make it easy to use. If the proprietors of a company cannot pay their finances, whether it be for electronics or the building premises, then creditors can come after the personal belongings of the proprietor, including their house, car, properties and family bank accounts.

The finances for an independent business and the proprietor are both classed as one cost. The business is not usually taxed separately, and the sole proprietorship income of the business, is generally the income of the proprietor. The lowest amount from the profit or loss method automatically transfers to the business as a personal tax return. This means that it is the proprietors responsibility to withhold and pay for all of their income taxes, including self-employment and estimated taxes.

INDEPENDENTS(FILM EXAMPLE- OCTOBER FILMS)

Sources of Income-

Product Diversity-

Profitability of Product Range-

Organisational Objectives-

Licenses & Franchises-

Competitors-

Customers-


Trends-

INDEPENDENTS(TELEVISION EXAMPLE- TIGER ASPECT) Tiger Aspect productions are a company that belong to the brand Endemol.

They are known as one of the most successful international television producers. They are also an independent company that focus on Children’s shows, Animation, Comedy, Drama, Entertainment, Factual and features as some of their main genres of programme.

They have a wide range of award winning programmes for their major and non major global broadcasters. In addition to their creative output of shows, they are now enjoying high profile commissions for major foreign network shows that they either produce or are in partnership with producing.

Their services are built on relationships with companies that they have in the UK, and believe that if they continue to nurture and support the creativity of the channel, that they will keep attracting their customers, as well as new customers that may want to have a look at some of their stuff. In the future, they hope to produce more world-wide sensations as programmes, as well as keeping the attractiveness on-screen, in their writing, such as books and vlogs/blogs, as their production talent, in theatre, cinema and school productions.

http://www.tigeraspect.co.uk/about-us/

SOURCES OF INCOME:

Tiger Aspect’s main source of income was when Endemol bought them in a deal alongside two other companies, called Darlow Smithson and Tigress IMG worth between £30 million-£40 million. The annual turnover for the company reached around £250 million.

As Tiger Aspect are a television company, they have a range of drama, comedy and factual programmes on their channel bringing in money to the company, as well as the advertisements that they produce to bring more revenue for the company.

PRODUCT DIVERSITY:

One of the main differences with Tiger Aspect, are that they are an independent company who’s job roles may cross each other. The branding manager, Clare Israel, is in charge of the creative developments for the children and family brands for non-television related extensions.

The shows on Tiger Aspect range from comedies, dramas and factual programmes, including Benidorm, Harry & Paul, as two of their most popular family related/adult targeted shows. Charlie & Lola and Mr Bean are also topping the Tiger Aspect viewing chart, being two of the most watched and loved children’s shows for over 10 years. The branding strategies and management is important every single day, so that they are able to make strong relationships with the industry partners who help license the brands and get given a percentage of the profit.

PROFITABILITY OF PRODUCT RANGE Tiger Aspect is another one of the leading television broadcasters with

their weird and wonderful mix of programmes. Their most popular and successful shows allow them to build strong bonds with companies who want to merge and create other shows. An example of when this has happened, is their merge with the company called “Shine”, who decided to help create another series of the show on a one-off period.

Collaborating with other companies is something that Tiger Aspect like to do. Sophie Clarke-Jervoise, the managing director of the company had said that she wants to bring back the culture of “collectivism” from when she began her role back in 2012, paying her dividends creatively.

The heads of each department, as well as the production staff are working on some crossover projects that might quickly become a trend with the public and a calling card for Tiger Aspect.

ORGANISATIONAL OBJECTIVES Tiger Aspect Productions are a company that hope to provide the

general public with enjoyable and educational programmes. They have already received an International Emmy Award for the success of their drama programmes, and hope to continue this trend by winning future awards for some of their other programme genres, including their reality shows, comedies and documentary shows.

As you can see, the drama programmes that were short listed for the 2015 Emmy Awards included the E4 Series of “My Mad Fat Diary”.

LICENSES & FRANCHISES Tiger Aspect have been granted licenses for some of the largest independent programmes, including;

(Battle of the Network Stars, Trans World Sports, SuperStars, American Gladiators, The Skins Game, FIFA Futbol Mundial, Super Bowl’s Greatest Commercials and ESPN’s long-running show, World’s Strongest Man).

IMG was the first external production show who were granted the licenses for programming any NFL related programmes. They have also developed major network sport programmes, including reality series’ and awards shows.

One of the most popular and attracted franchises that the company have released was the “Charlie & Lola” brand.

COMPETITORS Some of the main competitors for Tiger Aspect are “Carnival Film &

Television Limited”, “Shed Media Limited” and “Shine Limited”.

Carnival Film- The company are able to celebrate the best programmes across the film and television sector. They are producers of some of the most critically acclaimed television shows, mini-series’ and films in both the UK and the U.S. Some of their main shows are “Agatha Christie’s Poirot”, “Jeeves & Wooster” and “Traffik”.

Shed Media Ltd- They are an edgy channel who often have a daring approach when releasing new programmes for people to watch. The company has released shows such as “Bad Girls”, “Supernanny”, “Who do you think you are?” and “Footballers’ Wives, distributing their shows across major broadcasters such as ITV, BBC and the U.S channels ABC, NBC and Bravo.

Shine Ltd- They are a leading UK producer and have released shows such as Kudos (“Spooks”) and Princess (“The Sunday Night Project”). They are also known outside of the UK for their reality-based and documentary programming with imported shows such as “The Office”, “The Biggest Loser” and “Ugly Betty” from the U.S networks.

CUSTOMERS Tiger Aspect are mainly an organisation that deal with trying to

release programmes and merchandise aimed at children. The shows are often influenced by creative dreams and ideas that the workers come up with, which is then thought into a story and broadcast on television.

Some of the examples of shows that are most notably aimed at the children are the “Mr Bean” series, “Tinga Tinga Tales” and “Charlie & Lola”. These are 3 of the main children aimed shows on the channel which also have merchandise available for purchase.


One of the main competitions that Tiger Aspect hosted, was in partnership with the organisation Triforce Creative Network. The aim of the competition was to look for new comedy writers and people that would allow their voices to be used in future animation shows aimed at children.

The winner would receive a paid development commission with the comedy department as well as being mentored by the senior comedy team to boost their writing skills and innovative ideas.

TRENDS A trend that was featured on their channel was a documentary

show for the BBC based around Muhammad Ali and Michael Parkinson’s “My Kind of Music” for an Australian Radio Network.

Susan Lee was originally from an OB background with an experience in live events and recorded events, who has most recently worked in the programming sector. She helped to plan and direct the documentary about Muhammad Ali and gave an in depth view into his life, his family, his work and his boxing.

*CONGLOMERATES*

CONGLOMERATES (DESCRIPTION) A conglomerate company is a combination of businesses that

are a collaboration of different genre programmes, merging under the same corporate group. This tends to involve a “parent company” with subsidiaries. Conglomerates are often a multi-industry company, meaning that they are often investing in risk taking.

Expanding into different industries sometimes counter balances the positives with the negatives, and give the company more opportunity to gain revenue and customers in a quick and easy way. Conglomerates also tend to show how much you are likely to be able to acquire, as well as giving you an idea of which shares in the company are more discounted that it’s own.

CONGLOMERATES(FILM EXAMPLE- BBC FILMS)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

CONGLOMERATES(TELEVISION EXAMPLE- STV) STV are Scotland’s leading digital media company, and they

reach approximately 3.6 million viewers within the first month of broadcasting a new show. Some of their best programmes are “Emmerdale” and “Coronation Street”, which are big drama productions, and obviously “The X Factor” and “BGT” which are two of the strongest competitions on television.

STV is a “chained company” and they branch off from ITV and UTV, but all work under the same corporation.

Their platforms range from digital services that provide all of the latest news, offers, pictures and videos to free services including apps that are available to download. STV apps are available to download on phones, any of the Apple Brand devices, and are supported by iOS, Android Devices and desktops.

SOURCES OF INCOME:

STV are a company that were formed in 2006, but replaced the original franchise company STV Scotland. In 2013, STV won the licenses to launch local television channels in Glasgow and Edinburgh, and on 2nd June 2014 they re-launched themselves.

They gained their first bit of income by merging brands with Grampian as well as their early advertising of the brand that brought a lot more customers to watch their programmes.

STV entered a new affiliation deal with ITV plc, which led to a new, friendly relationship between the two companies, and STV were being funded by ITV plc helping them to make their business grow quicker and broadcast more often. The “parent” company of STV had also owned several radio stations alongside STV, and the income that was coming into the company through advertising and shares, were being handed down to STV.

PRODUCT DIVERSITY: As you can see from

the print screen on the left, the most popular shows on STV are “Days of Honour” which is a documentary show about the polish wars and the Nazi's, followed by a football show hosted by Peter and Roughie. The programmes are diverse to other channels on television, because Channel 4 mostly specialises in cook shows, ITV in reality shows, and the BBC on news and documentaries.


STV’s profits were down by 2% over the course of 3 years, at only £56.6 million, and the pre-tax profits included exceptional items, that dipped 19%, making profits rise from £6.8 million to £7.8 million in a few months. The broadcasters STV have reported lower revenues and profits for the last six months of 2014.

The programme “Taggart” helped to raise the profits for STV by 25%, but as soon as the programme stopped being aired on television, the broadcasting channel saw an instant decrease in their viewers and their profits soon lowered also.

STV also saw a £800,000+ loss from their city television stations in Edinburgh and Glasgow as their profit dipped 7%, from £8.4 million to £7.8 million. To this day, the company are still not as profitable as they were many years ago, but Director of the headquarters, Mr Woodward has confirmed that the business are working on an internal project entitled “Metropolis” to bring the online news and entertainment offerings into an updated and expanded package to become known again. He indicated that the likely launch for this new invention would be released in the first 4 months of 2016.

ORGANISATIONAL OBJECTIVES As an organisation, STV’s aims and objectives are similar to all businesses, to be successful

and to improve the programmes that they have as well as the broadcasting times and areas.

Organisers of the Scottish organisation have previously outlined four key objectives, based on consultations with other local businesses as being the key in order for them to strive.

>Growth through marketing, events and promotions are a way that they can get themselves more well known around the world, as well as gaining more revenue from events such as professional talks where the fee may be a few pounds.

>Managing the streets and making sure that there is improves safety and security around where the offices are. They need to ensure safety of their staff, and build the premises into something bigger and better with the revenue that they receive, keeping staff for longer periods of time.

>Having an enhanced trading environment, meaning that they can trade in all circumstances, and are not putting themselves in a position to doubt whether they should go along with an original plan, or go with their backup idea.

>Looking after the business aspects, ensuring that the customers are getting what they deserve, and the best that they can get. Trying to compete with other big broadcasting companies is difficult, but with the right tools, anything is possible.

ORGANISATIONAL OBJECTIVES There was a bidding that

happened on behalf of STV as to whether the company were able to have a “Business Improvement Development” (BID) over the course of a week, including the premises, the local area and higher staff pay from merging companies who had a part in the company originally.

As you can see, they had some backing from a consultant named Nicola Donnelly from another leading business, who was hoping for the improvement to be voted for.

There were 440 eligible voters who had been sent to the voting poll to cast their vote. “The voting poll acts as a working collective, giving the business community a strong voice, not the mention a whole host of benefits”, was a quote by one of the businesswomen who voted in the poll.

LICENSES & FRANCHISES STV had three licenses that were awarded by the broadcasting

regulator Ofcom. They had local television services in Edinburgh and Glasgow, and said that the new services that were going to made available to them would be in partnership with local colleges.

The new franchise broadcasting channels that they were going to ask for, were to be in Aberdeen, Ayrshire and North East Scotland. A quote from one of the managing directors said that they wanted to “learn and train in a live television environment, and provide the needs for everyone, everywhere”.

STV Glasgow was launched in June 2014 with STV Edinburgh’s release following in its footsteps by January 2015. Mr Hain, one of the managers of the company said that “STV are always committed to delivering content for the viewers of Scotland, and the award of three additional television licenses will serve the existing customers well, online and on their mobile devices”

COMPETITORS

The main competitor for STV, is BBC Scotland, as the show does justice in Scotland, just as much as it does in the United Kingdom. BBC Scotland is also alongside their studios, at the Pacific Quay in Glasgow.

BBC Scotland is the division of British Broadcasting, and is also a publicly funded organisation. They have 3 main television channels in Scotland, entitled BBC One Scotland, BBC Two Scotland and BBC Alba along with 2 main radio stations.

Even though BBC Scotland covering the Southern parts of Scotland, the channels still link, so viewers anywhere in Scotland are able to watch regional programming channels and services. BBC Scotland is also able to separate their third digital channel BBC Alba into Gaelic, 7 hours a day. This channel is a joint partnership between BBC Scotland and MG Alba, and is able to be viewed across the UK on satellite services only. Before digital switchover was released, the Gaelic programmes were carried over to BBC Two Scotland, but this option of broadcasting dropped, due to the switchover being invented.

CUSTOMERS

STV are able to communicate with their customers on various social media networks and operate a mini site on BBC Online consisting of a portal to Scottish news, sport, programming and items of cultural interests through BBC online.

As STV mainly broadcasts in Scotland, the audience is therefore generally for people who live in Scotland or people that may have travelled there for a short holiday trip. BBC Scotland had also previously offered a podcast download for the top news items of the week, and online streaming was one of the main key sections of output for people to use.

Following the widespread introduction of the BBC iPlayer service, allowing free streaming and download of nearly all BBC programmes, including the latest news, the apps were discontinued and they gained information on their customers by their purchases and viewings on the television.


STV are mergers with UTV and ITV when it comes to talent shows such as The X Factor. One of the main involvements that STV has when it comes to the show, is the “Big Red Button App”, which is a Global competition allowing viewers around the world to vote for the artists as they are singing during he Live Show stages, as well as the Auditions and Boot Camp sections of the show.

Other competitions include “This Morning” and “Loose Women”.

Some of the National competitions that STV host, are things such as “Christmas Party Nights out”, “Meals for 6”, “Holidays Abroad”, “iPod Nano’s and selections of chocolate and electronic items. This is where they get the majority of their revenue from, after their main way of gathering money through their broadcasting.

TRENDS One of the main trends that occurred on the STV channel, was the

Salmond and Darling political debate that was aired on the 5th August 2015. The #ScotDecides phrase was trending worldwide on Tuesday night, after the live clash was filmed between the first minister Alex Salmond, and the “Better Together” leader Alistair Darling.

The programme was repeated on Wednesday at 1:30pm and was able to be viewed on multiple channels, including Sky, Virgin and Freeview.

TRENDS Another trend that people were talking about was the new television show called

“The Lie”, involving members of the public to listen to statements and decide whether they were truths or lies. Susan Calman was the presenter for the show, and the show ran for a few months before its departure. It was a trend so it wasn’t expected to last for long, it was just a “one of a kind show” said David Rade, and a “fantastic opportunity to take part in”, said Gary Chippington.

Gary Chippington further went on to explain that it was a unique game show with the chance to win big. The show was a joint effort that included good tactics and team skills as well as encouragement from the audience, in order to raise their confidence.

*VOLUNTARY*

VOLUNTARY (DESCRIPTION) A voluntary organisation otherwise known as “unincorporated

associations” or “common-interest associations” are a group of individuals who work together to think of a plan and arrange a mutual agreement to form themselves as an organisation and accomplish a purpose to help a particular marketed group of people.

Some examples of voluntary companies can include trade associations, trade unions, learned societies, professional organisations, environmental groups and other various types of smaller organisations. The membership is not usually voluntary, meaning that they have to pay in order to show their appreciation to the group, as well as showing that they are loyal. There is also a rule as to the minimum amount of people that are able to create a voluntary group, and in many cases, some jurisdictions also require each of the registered members should also inform police, other local groups and the general public, in order to test out their organisation and plan changes. This idea is also a plan to protect the economy from fraudsters, such as people that may be making these groups just to claim money, benefits, or doing it in retaliation for something that could have not been sorted out in their lives by the government for example.

VOLUNTARY(FILM EXAMPLE- PATHE FILMS)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

VOLUNTARY(TELEVISION EXAMPLE- MULTICHOICE) MultiChoice TV are a company that offer DStv services both

locally and nationally across the African continents, and in other countries such as Spain, France, India and Greece. They formed in 1986, and collaborated with the organisation M-Net. In October of 1993, M-Net was then split into two separate companies, one dealing with the delivery side of the television broadcasting, and other dealing with subscriptions, the management of the subscriptions, signals, distributions and phone operations.

MultiChoice South Africa and MultiChoice Barbados are two of the most highly recognised channels around the world, with the South African channel growing out of the subscription management division. They are the leading television operator in South Africa and the services are used by over 5 million customers globally.

SOURCES OF INCOME:

The owner of the MultiChoice brand is “Naspers”, who are a public company in the genre of media. Their headquarters is in Cape Town, South Africa, so MultiChoice was obviously going to be broadcast somewhere in Africa. The main places of broadcasting for MultiChoice are both locally in the UK and across the African continent.

With the online retail, classifieds, online shopping services and easy-to-visit marketplaces, the revenue is getting bigger and better for the company with over $500 million being earned every year. The company is now worth over $66 billion and is the largest broadcasting company in Africa, with parts being broadcast in the UK and other local countries.

PRODUCT DIVERSITY:

MultiChoice are a diverse company as their programmes are significantly more different to ordinary broadcasting companies. To begin with, they have more MNet channel and SuperSport channels which aren’t all available in the UK.

The company also ensure to train and develop their staff so that they are able to think of new ideas for better shows. They also try and integrate work life from normal life and offer services to take care of daily responsibilities outside of the workplace, such as nursery’s, tutoring, baby sitters or insurances for houses and cars.

Managing the diversity of the organisation helps MultiChoice attract publicity and retain that publicity for future customers. It also helps more people want to actually watch the shows, meaning that the productivity of the staff rises, as they want to ensure that no customers are lost.


DStv are the main owners of the MultiChoice brand and therefore create the packages for the specified audiences. Some of the shows that were originally featured on the MultiChoice global channels were removed due to not enough people being interested in the show, or bad publicity of the programme due to copyright reasons which cannot be named either.

MultiChoice as an organisation offer a lot of Packages which are filled with various shows aimed at families, children and older teenagers, a variety for people to enjoy. Some of their popular packages can be found below, and they are often used to attract new customers, and will differ, depending on the country that the package is being offered in.

PROFITABILITY OF PRODUCT RANGE Some of the most popular MultiChoice shows, are aired on MultiChoice

Africa, MultiChoice Greece, in Greek, MultiChoice India, in English and Indian, and obviously MultiChoice UK. One of the most profitable shows is called “Hotel Majestic” which you can see a screenshot of below. The show is a debut of Oge Okoye, Sadiq Daba and Bukky Ajayi and is about a family, known as the Emeni family, fighting one another and the outside world to protect a hotel that has been part of their family for decades.

Wangi Mba-Uzoukwu, the regional director of the show, said that “Hotel Majestic is yet another addition to the exciting content line up on the African shows. This new and exciting telenovela features a fresh storyline, and the tension caused makes it more interesting to watch. The show has been getting lots of good reviews and it brings all of the best established names in Hollywood, into a film series with suspension, ambition and betrayal which people must watch”.


The show even has its own Facebook page where people are getting involved in conversations about what the episodes are about, and giving their opinions. The targeted audience for this show is mainly for people who live outside of the European zone, such as in places like Africa.

Green line- People in Europe Blue LINE- People not in Europe ($ is profit for the company and the dates at

the bottom is when they are working out how much revenue they are getting each date).

ORGANISATIONAL OBJECTIVES One of the aims for MultiChoice are to increase the amount of

advertising they produce so that they can boost their revenue across the African continent. “Stats 2 Go” provides potential advertisers with comprehensive data of the viewer profiles, including information such as the socio-demographic profiles, key viewing measure, social media usages, most watched programmes, people’s viewing preferences and “headspace attitudes”.

Brenda Wortley, director of the research and strategies at DStv Media Sales said that the strategic match between advertiser and the correct channel was often missing in the market, and that’s why she decided to think of a new way to boost profits.

MultiChoice are also trying to aim for the middle market, meaning that they are able to save money but still provide the 11 channels that they usually do. “It’s a risk, but a calculates one” said Nolo Letele, the African chief executive for MultiChoice, but it the only way that they are going to make themselves more stable.

LICENSES & FRANCHISES MultiChoice don’t have any franchises but they have become

subsidiaries with Internet media companies, Television companies, Internet Providers and Print media companies, the percentages can be found below.

MultiChoice received their first proper license in 1991 following the positive reactions to their broadcasting in Namibia. This quickly followed in a host of other countries, which is why Naspers sub-created a company called “MultiChoice Africa”. This was created in 1996, and held 3 million subscribers within it’s first 6 months of broadcasting.

Other countries that have the MultiChoice channels and use the services, are India and Portugal. The Indian franchise in Dubai, and the Portuguese franchise in the Southern and Northern regions of Portugal.

COMPETITORS Some of the main competitors for MultiChoice are e.Sat, e.tv, Walking

on Water, Telkom Media and TopTV.

E.sat and E.tv are Ethiopian Satellite Television Broadcasters who could be a rival for MultiChoice in South Africa, following their three newly released channels as well as the new demand channel, allowing users to watch previous episodes of shows that have already been broadcast on television. They also host shows such as The Sopranos, Six Feet Under and Curb Your Enthusiasm which are shows that are gaining a lot more popularity as the weeks go on, and obviously the shows are competing for more viewers and revenue.

Walking on Water has 19 video channels and 8 radio station channels as well as a 3 year subscription of broadcasting regulations which they paid for from 2006-2009. WOW also had a 14 day period where they would see if other companies wanted to buy programmes and air them in their own country, and Germany, Austria, France, Ireland and Namibia were the only 5 countries that wanted to “borrow some shows”.

COMPETITORS

These are the television broadcasting channels that were bought and used by Germany, Austria, Ireland and France.

CUSTOMERS

MultiChoice TV is a broadcasting company that try and aim their products are a wide audience of people. According to the 2008 Media productions study, 48% of South African adult’s, over the age of 16, watch the programmes that were on offer by the company. 36% were over the age of 50, and 16% were under the age of 16 years of age.

State broadcasting channels noticed that over 22 million people watch television in the world, but on the African population scale, 70% of the African adult population watch the channel SABC1, with 60% watching SABC2, 57% watching e.tv, 47% watching SABC3, 6.4% watching Mnet and 16% watching the DStv channels.

DStv’s subscribers reached the 2 million mark in November of 2007, and has almost doubled since then.


MultiChoice TV obviously have lots of rewards and give people just as much chance to win prizes and money like other well known companies, and here are some examples.

The first prize was to allow users into the best series’ and movies as well as sporting highlights and international entertainment for a cheaper prize. R10,000 per monthly winner when they started paying with their credit card.

The Hollywood experience would give them the chance to spend 7 days in Los Angeles, and a visit to Universal Studios Hollywood with 2 friends.

The final prize was a DStv Explora, along with other merchandise related to the channel, and puzzle games for the family.

TRENDS One of the most well known television shows around the world has

been added to MultiChoice as a new pop up channel. Star Wars had such an amazing turnout as a film series, that a channel was made especially for it on MultiChoice TV, with all of the original movies from the 31st August up to the 13th September 2015. Premium members will be able to watch these movies on the special Mnet channel 109.

Ngoza Matakala, the general manager of MultiChoice Zambia said the following quote about the new channel;

http://www.techtrends.co.zm/newsfeed/m-net-multichoice-launch-dedicated-star-wars-channel-dstv

*CROSS MEDIA OWNERSHIP & REGULATIONS*

CROSS MEDIA (DESCRIPTION) A company that class themselves as a Cross Media organisation, are generally

organisations that have business relationships and often own stock in the companies which the given company does business with. Some heavy cross ownerships are often referred to as a “circular ownership”.

Cross Media ownerships began in two main countries; Japan and Germany, and now is a major part of both of their business cultures. Positive aspects of these types of owner are the fact that you can closely tie each business to the economic destiny of the partners and also encourages a slow rate of stock, in case of an economic change.

Examples of Cross Media can be found in the media forms that we have today, such as books, newspapers, social media and films. The term “cross-media” basically means that there is a main company, with a sub company as its “sister”, if you put it in family terms. The New York times for example are the former ownership of WQXR Radio. The WQXR Radio also have a sister-like relationship with WGN-TV, the television network.

The FCC; Federal Communications Commission don’t allow cross ownership, as it will prevent them from having too much local media ownership. They would only be allowed to cross their ownership, if they obtain a license, such as a “waiver”, like the News Corporation and the Tribune Company of New York have.

CROSS MEDIA(FILM EXAMPLE- DISNEY FILMS)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

CROSS MEDIA(TELEVISION EXAMPLE- OPRAH WINFREY) Cross media is also a form of promoting any media through more

than one service to target a specific audience. An example of cross-media marketing for a brand, is Oprah Winfrey’s promotion of her television show, books, magazines and her official website.

Cross promotion involves two or more different types of media or two separate companies promoting the same service or product. For example, a mobile phone network may work together with a popular music artist, and package some of their songs as exclusive ringtones, benefiting the network and the artist.

Companies like Oprah Winfrey are benefitting from cross promotion/cross media because the cost of promoting is often cheaper than a normal organisation, and it is always a win/win situation for both parties, such as Oprah Winfrey and her book/magazine company for example. Out of all the marketing strategies, cross promotion marketing is the easiest and often one of the most successful marketing strategies.

SOURCES OF INCOME:

Oprah Winfrey specialises in conveying meanings through different media platforms, and she may have wrapped up her talk show for a year after having 25 years of success, but her empire still sails on.

Through her “Harpo media” productions, she still has her hand in Dr. Phil, Rachael Ray and the Dr. Oz Show, as well as her magazine and her satellite radio stations.

By the age of 19, Oprah Winfrey became the co-presenter of a low rated morning show, and her emotions got to the public straightaway. She had the ability to open up about personal situations at all costs, and it became the most frequently watched and talked about show, which is why it was then renamed to “The Oprah Winfrey show” and it nationally syndicated.

SOURCES OF INCOME: Another way in which Oprah can get income, is by having her own

foundation/charity. The money doesn’t go to her, but goes to people in Africa, on behalf of her establishment, who don’t have as much support and help as we do in our better established countries. The foundations provides support for the Leadership Academy for Girls in South Africa.

PRODUCT DIVERSITY: Oprah Winfrey is a woman who has changed the way that people think

and live all around the world. The show was originally targeted at people in America, but ended up being a worldwide sensation. She has helped many people to accept who they are and learn new things about other people.

Talk shows weren’t a common thing a few years ago, so having a show like Oprah helped people to emerge from their shells and speak up about their problems, hence why we have more modern talk shows such as “The Jeremy Kyle Show”, “Jerry Springer” and the “Steve Wilko” show.

Before 1960, there were talk show hosts such as Johnny Caron and Mev Griffin, but they were stuck with celebrity guests and often spoke about politics, music, movies and aspects of culture, which people didn’t really want to watch, because they could find this information online.

PRODUCT DIVERSITY: Oprah has also said to have changed the way we look at Journalism,

quoted by McNamara. He went on to say that “She became part of the audience and part of the people she was interviewing. She blurred everything together”.

Another difference in Oprah’s organisation, is that she was able to deal with people weight issues, and was able to hire frequent trainers to give weight loss and diet suggestions, which many people were inspired to use and learn from.

She also helped people who had limb dysfunctions to be able to walk and read, and during 14 years of her 25 years airing her show, she had her own book club, and fans bought copies of her 65 “suggested books”, which not only raised awareness about those books, but got people listening to the messages that she was trying to convey.


The data chart showed that over 770,000 people had tuned in for the first hour of OWN on New Years Day of 2014, and almost 1.2 million households watched two prime-time episodes of “Season 25: Oprah Behind the Scenes”, a reality show about the last season of her show being active on television. Programmes that did NOT feature Ms. Winfrey didn’t attract as many viewers, but a one off show “Ask Oprah’s All Start”, a special show featuring Dr. Phil McGraw and others, attracted just over 968,000 viewers on the Sunday night.

Oprah has a lot of segments to make up her company, such as the books, magazines, satellite channels and her talk show, but Oprah’s broadcasting provider “OWN” has officially been successful again.

Her network provider turned a profit and her company now has a positive cash-flow and is now able to pay down the investments that they weren’t able to pay for before, such as the release of a new television chat show which is due to be released in 2017.

ORGANISATIONAL OBJECTIVES Oprah has obviously become a huge success around the world,

especially in her home town of the U.S.A, but the factors that led her to this massive success, included:

A GOAL-ORIENTED FOCUS: She said “You become what you believe”. “You are where you are today in your life, based on everything you have believed”.

THE ABILITY TO OVERCOME DIVERSITY: Having experienced as much abuse as Oprah did when she was a young child, she managed to develop the skills of how to survive from an early age. She realised that if she wanted to stay alive, as well as making something of herself, she had to fight back.

THE ABILITY TO RECOGNISE AND SEIZE THE OPPORTUNITY: She said “I don’t believe in coincidences”. She began hosting from a young age, began acting and using social media to bring herself alive and become known. She listened to her inner voice and grabbed every opportunity that she believed was necessary to achieve her goals.

http://www.evancarmichael.com/Famous-Entrepreneurs/514/How-She-Did-It-Oprahs-Success-Factors.html

ORGANISATIONAL OBJECTIVES A SENSE OF RESPONSILITY TO OTHERS: Early on in her career, she

asked herself “How can I be of service? How can I use television as a service?”, and since then she has almost certainly demonstrated that to the best of her ability. She had been awfully dedicated to the causes that she believes in and has had the open passion which she portrays when talking to her audiences. This is why she is a diverse woman and different to any other television personality.

THE COURAGE TO FOLLOW HER PASSION: She says “I was called to talk, to use my voice in some way” and then she discovered her natural self and her passion for broadcasting. Her energy was pushed forward to achieve that passion, and that’s why she has been so successful until this day! She conveys authenticity, allowing people to get a glimpse into her as a real woman, and they acknowledge the trust between her and the audience. She is loved by many, hated by a few, maybe because of jealousy, but she enjoys communicating with people and has a lot of self belief in her “true calling”. She propelled herself to new heights, and she is still climbing up the ladder today.

http://www.evancarmichael.com/Famous-Entrepreneurs/514/How-She-Did-It-Oprahs-Success-Factors.html

LICENSES & FRANCHISES In 1996, The Oprah Winfrey network was given a license by the

Canadian radio-television and telecommunications commission (CRTC) in order for Oprah to provide “formal and informational educational programs on a wide range of topics” in return of the favour.

Oprah’s “feeding network” OWN was also given a license in 2011 by the same company, and it was to provide them with a high definition simulcast feed of the Oprah Winfrey Network, allowing broadcasts in the 1080i resolution format.

Oprah has also been involved in a few franchises where she opened her own E-store, to buy merchandise of Oprah, such as t shirts, cups and place mats. There was also a limited time only Oprah Tea collection where she was paid by Starbucks to use her face on the packaging of their tea. The final franchise was bringing Oprah to the U.K, where OWN in the U.S.A as well as the Discovery Networks, had partnered to launch a new programming block featuring OWN’s series of Oprah Winfrey, but in the UK.

https://en.wikipedia.org/wiki/Oprah_Winfrey_Network_(Canadian_TV_channel)

COMPETITORS Some of Oprah’s biggest competitors are “Maury

Povich”, “Ellen DeGeneres”, “Phil Donahue”, and “John Tesh & Leeza Gibbons”.

MAURY POVICH- The “Maury Show” first aired in 1991 and is a competitor for Oprah, as he also has a talk show, discussing various problems with the guests, as well as having a live audience to tame at the same time. He also uses the media to promote his show which can cause more viewers watching his show than Oprah’s

Luckily for Oprah, Maury’s show had been getting a lot of criticism as critics had said that it was the “worst talk show in history”, and that you shouldn’t be “fooled by his pressed shirt and pleated khakis”. Whitney Matheson wrote about the show in her column, and said that his talk show is the “worst show on television”. The show discontinued and is now only on once every few weeks, with hopefully less criticism.

COMPETITORS ELLEN DEGENERES- The “Ellen show” has been on television since

2003 and is also a talk show that deals with people’s weird and wonderful stories. The show combines comedy, celebrities, musical guests and interest topics which are turned into stories, such as things that cause a buzz on social media. She also does 12 day giveaways during the Christmas period where each of the winners get $1,000 over the 12 episodes. One of the other amazing things that Ellen does, is surprise fans and introduces them to their favourite celebrities, raising awareness and acknowledgement for the celebrities, but also making the show more interesting.

PHIL DONAHUE- The Phil Donahue show was another talk show, but ended in 1996, just as Oprah was to begin. He was a competitor as people still wanted to watch his shows and somebody had to bring out something new for people to enjoy. He was originally a news reporter, but changed to television broadcasting on his own show, introducing acts such as hip-hop artists and break-dancers to up the revenue for the show. The show lasted from November 6th 1967- September 13th 1996.

JOHN TESH & LEEZA GIBBONS- It began on June 14th 1993 but 7 months into the show, Josh Tesh decided to leave, hence the new title “Leeza”. The show lasted for 6 years between 1993 and 1999 and centred around celebrities, interviews and traditional questions from the public which would be shared on the show. Again, the show ended, just as Oprah was about to begin her 25 year career so she had to think of newer and better topics to talk about, so that she didn’t end up in “the bin” like Maury, Donahue, Tesh & Gibbons.

CUSTOMERS As you can see from the

charts here, the progression of customer visits and views had increased since 2012. In 2012, only 6.2 million people visited the channel, but through 2013 it increased to 8.1 million and during the months of 2015, 13.2 million. When Oprah and her company

originally started the business, her market was just to people in the U.S.A over the age of 18, but then younger people started getting involved in the show, and as more of her guests become younger, they lowered the target audience, which is why a lot more people are now tuning in, even if it’s just for a few of the stories featured.

The Blue shape is the amount of people watching it in the UK. The Grey shape is the amount of people watching it outside of the UK.


2 of the main competitions available are the opportunity to meet Oprah and have questions asked, etc. (left image), and the other was to win a trip to Costa Rica, paid for by Oprah’s company for you and a friend. She feels giving people the opportunity of a holiday in a lifetime will make them understand how giving she is. Costa Rica is a holiday destination where Oprah originally lived with her family, but then they moved to the U.S.A to have more of a stable life away from poverty.

TRENDS

Genevieve Piturro is the founder and executive director of the Pyjama Programme, which was a non-profit trend to provide new sleepwear and books for underprivileged children before they went to sleep in the shelters.

This was a trend that helped people around the world, as well as Oprah. It showed that Oprah had a strong mind, and had obviously known about Piturro’s campaign idea before she came onto the show, surprising her with over 32,000 pieces of nightwear. Oprah revealed that she had challenged audience members to contribute as many pieces of nightwear as they could and whoever donated the most would get a prize in return. This little bribe brought people from all over the world donating the nightwear items, and helped raise publicity of Genevieve Piturro’s cause on Social media networks such as Facebook, Oprah’s twitter page and various links on YouTube.

TRENDS Oprah’s other main trend was

her collaboration with Deepak, who were to connect with every individual who was to take part on this extreme course of events, bringing out the core in people and positively directing them through the life.

The aim was to embrace people’s beliefs and dissolve any unconscious beliefs that were holding people back. The 21-day Meditation experience lasts from November 2nd until November 23rd 2014, and there is a new 21-day period in 2015 also.

*DIVERSIFICATION*

DIVERSIFICATION (DESCRIPTION) Diversification is the process where a company have a corporate strategy to

enter into a new market or industry which the business is not currently working in, but also try and create new products for that new market of work. This is quite a difficult process of the Ansoff Matrix as the business has no experience in the new market and they don’t know if their product is going to be successful.

There are four main growth strategies that companies will use in order to boost their profits and get more acknowledgement in the business industry. Market Penetration, Market Development, Product Development and Diversification are named as the “Diversification Strategy”, but the Diversification aspect stands aside from the other three categories.

In involves adding additional components of newly made products to existing products that already exist on the market, whether it be re-manufactured or re-marketed. Expanding on the existing products with related products is a method that is adapted by many businesses. The process is often used to either extend their brand name to get more people to know about it and have more businesses buying their products in bulk, or to help the company increase the volume of their sales and the number of customers.

DIVERSIFICATION(FILM EXAMPLE- MAINSTAY FILMS)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

DIVERSIFICATION(TELEVISION EXAMPLE- DIVERSIFIED C’S) An example of a diversified company is Diversified Communications. They are

company that are around the world and have various company names such as Diversified Communications USA, Canada and the UK.

They are part of a rapidly growing successful trading company in media and television programmes, with their head office in the beautiful American city of Portland, in Maine.

They began their company running a few events and creations of a couple of magazines, but now they have 13 highly successful trade shows. The company also have over 80 motivated members and talented individuals that work in Brighton, Cotswolds, Peterborough and Leamington offices focusing on the best possible way to exhibit and visit the experience of customers.

They are a family owned company with a growing global network of media related events and divisions in the USA, Australia, Canada, India, Hong Kong, Thailand, Singapore and the UK. In 1949, Horace Hildreth Senior, the governor of Maine, launched the state’s first radio station and in 1953 launched their first television show which was appropriately captioned as “diversified”. They now organise over 150 trade and consumer exhibitions and conferences around the world, including international market leading events.

SOURCES OF INCOME: Diversified Communications are a company that began with a few

events and a magazine company, but are now hosting 13 highly successful trade shows in some of the leading sectors of the world.

This is a table that shows the profit of the company over a time period of three months up to May 2015. They expect £1,600 every 3 months from their channels.

This is a table that shows the yield percentage as well as the annualised volatility per 3 year period. As you can see they have a 4.5% yield, which means that the annual income from an investment as a percentage of a price at a particular point in time can be assessed.

SOURCES OF INCOME: On the diagram, you can see the income that Diversified communications

received during each of the 6 month periods listed. You can also see the investments into the company by the OE independent company.

PRODUCT DIVERSITY: Diversified Communications are a growing and highly successful company

with their head office in the beautiful U.S city of Portland in Maine. Their shows organise events and media productions in multiple countries including the U.S.A, UK, Australia, Hong Kong and India.

The organisation believe that they can only be as good as their previous events and don’t take anything for granted. Diversified Communications believe that they are always earning the trust and respect of the North American businesses and communities around the world.

An example of a unique programme on their channel was a trade events called “Casual Dining” which involved being in the dining sector, and attracted 3,655 people to the event. It won an award for the best trade show at the Association of Event Organisers.


o Diversified Communications have announced a new structure which will include the creation of two leadership teams. One will support the global divisions, and the other will lead the company into gaining more revenue from future shows.

o A quote from Ted Wirth, the President & CEO of the company says that “The organisational moves will enable Diversified US to grow in the important reliable North American market, and to also create additional career path opportunities, whilst also improving corporate governance across all our divisions”.

http://www.divcom.com/press-room/41-diversified-communications-reaches-tipping-point-announcing-new-structure-to-focus-on-us-division


o On the Diversified Communications website, the list of some of their programmes and documentary shows are listed. These are most of the programmes that they host, and they are also the most profitable.

ORGANISATIONAL OBJECTIVES Diversified Communications UK is a dynamic and innovative events organiser as

well as a television broadcaster, passionate about the communities they serve.

The main aims of their company are to be ETHICAL. ETHICAL is an anagram of the 7 key factors of their business and the things that they should be providing for themselves and their customers.

E- Excellence ensures that they strive to achieve excellence is everything that they deliver

T- Internally trusting all of the colleagues to be able to individually deal with the customers

H- One of the main priorities is to be honest and truthful to support the industries that they serve.

I- Innovate and be proactive to benefit the customers in the near future. C- Provide the industries with different channels of communication through trade

shows, publications and new media discoveries. A- Achieving success as an organisation so that they can be proud of themselves

and feel success when dealing with the customers. L- Loyalty is the final aim, to ensure that they stick to their values whilst

achieving targets legally and loyally.


Attractive income – aims to provide 4-6% p.a.* Sustainable income – global multi-asset portfolio seeking to

grow capital Lower volatility – historic volatility less than 50% of UK equities Tax efficiency – classified as an ‘interest-paying’ fund Actively managed – by co-Head of Multi-Asset John Stopford

and team.


Diversified Communications were able to begin their broadcasting company when Horace A. Hildreth, the former governor of Maine, president of the Bucknell University and U.S ambassador to Pakistan, purchased the license for their first radio station. In 1953, he launched this station in Bangor, Maine and Diversified Communications were being demanded 300% more than usual.

The locations that Diversified Communications is now situated in are the U.S.A, Australia (Melbourne), Canada (Ontario), China (Hong Kong), the UK (Brighton), the U.S.A (Boston), Thailand (Bangkok) and Asia (Singapore). These are the franchised companies, as they have bought the original company name and logo and have used it as their own, but in their home countries.

COMPETITORS The main competitors for Diversified Communications are the VIAD Corporation, GARTNER

Inc and the RELX public limited company group.

The VIAD Corporation offer various conventions and event services as well as exhibit designs, construction information, travel and recreation services. They operate under the name of GES, the Global Experience Specialists, and are provided with convention services to trade with other associations and exhibitors. They operate through the Brewster unit and the Glacier Park division, through the mountain lodge operator. They have operations across North America, Europe and in various other countries around the world.

GARTNER Inc also deal with IT, and help clients understand information and skills in the technology industry, helping people make decisions about IT products. They convey the appeal on television programmes, helping others to understand about competitive analysis reports, industry overviews, trending market data and evaluation reports. The technology and management consulting services are often watched by members of the public from their channels. The company also produce a number of professional conferences, seminars and other events aimed at the technology and media sector.

The RELX Group, previously recognised as the “Reed Elsevier Group” offer data services and publish trade magazines through the RBI scheme, (Reed Business Information). Revenue comes from subscriptions of customers, circulated sales whether on billboards or in magazines and newspapers, general television advertising and exhibition fees that people pay to learn about the types of business as well as the information around it.

CUSTOMERS

Diversified Communications mainly target customers who live in North America, Europe, Asia or Australasia, as this is where most of their programmes are aired. The 2 channels that they were awarded licences by are still being watched today. The channel is Bangor, Maine and Gainesville, Florida are still the most watched channels by Diversified Communications in the U.S.A.

CUSTOMERS

WABI-TV is the affiliated television station for Central and Eastern Maine, which is licensed to Bangor. Some of the most popular shows on this channel include “How I met your mother”, “The big bang theory” and the “Ellen DeGeneres Show”, among many others. The target audience is mostly for the people living in Bangor, but people elsewhere can still watch the channel, hence why the channel has been made public.

The channel in Gainesville was released in 1976, October 12th and continued to have it’s own station. The camera operators were remotely controlled, and the commercials consisted of 16mm film and 35mm colour slides. In the mid 1980’s the building was renovated and the management offices refurbished. They are currently working on an extensive renovation project which has included a new room for the news to be broadcast in, new offices for production and marketing research to be reviewed, as well as the rest of the building to receive a fresh and updated look. They switched to digital-only broadcasting and they also wanted to focus on aiming their shows at the people in Gainesville, the people living in the North and East of America, but anybody around the world could tune in.


Diversified Communications don’t have many competitions, but I was able to find a “Loyalty Competition” which was run by Diversified Communications in Australia, Melbourne. The competition can be seen to the right:

TRENDS Diversified Communications had 2 main trends

which drew attention to their organisation over the last few years. The first trend involved a 5 day IT Service Management Show (ISMS), where they announced the launch of the new idea “Women in IT Week”.

Organised by Diversified Communications, the hopes were to inspire more women to pursue a career in the technology and IT service sectors, promoting how important their contributions are in the industry.

From 1st June to 5th June 2015, a talk show was aired on one of their channels, and involved reading out blogs written by female IT leaders, to help draw attention to their success stories in the industry. The programme was also for women already working in the IT sector to share their stories under the title “How my journey in IT began”, inspiring others to join the job.

TRENDS Diversified Communications UK also decided to get involved with being

creative as well as making money for the company. During the Comic Relief period, they did a campaign for people to make funny face for money, and staff in Brighton were happy to join in with the fun. Diversified Communications were able to raise just over £100. They didn’t just raise the money because they had to, they raised the money so that people would become more aware of Diversified Communications, and the ways in which they try and positively promote themselves in any situation, especially when their bank hasn’t got much money.

*VERTICAL & HORIZONTAL INTEGRATION*

VERTICAL & HORIZONTAL INTEGRATION (DESCRIPTION) Vertical Integration is an arrangement in which the chains of a

company are owned by the original company. Each member of the chain will produce a different product or service to help satisfy the needs of the public.

It also uses management styles that bring large proportions of a company under the owner of a common ownership, but one corporation, such as in the 1920’s when the Ford River Rouge Complex began making their own steel, rather than buying it from the suppliers.

Horizontal Integration is the process where a company creates or gathers production units to help them compete with similar organisations. An example is a company acquiring competitors in the same industry, doing the same stage of production for the creation of Monopoly.

VERTICAL & HORIZONTAL INTEGRATION(FILM EXAMPLE- NETFLIX)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

VERTICAL & HORIZONTAL INTEGRATION (TELEVISION EXAMPLE- SONY/COLUMBIA PICS)

An example of a company that have aspects of Vertical & Horizontal Integrations are Sony/Columbia Pictures. Sony are a multinational conglomerate corporation that are based in Tokyo, Japan and are one of the world’s largest media conglomerates with revenue of over $78.88 billion US.

They developed from a company building electronic broadcasting and recording equipment to a company building the software to play and record onto, including Phillips, and therefore maximising their profits. They merged with other companies and took over other companies, allowing them to become vertically integrated.

Sony acquired Columbia Pictures Entertainment, the American Film and television company, and now make films with Sony equipment that can be watched in homes, cinemas or on Sony hardware. They have also developed the catalogue for Columbia, which was able to be released on video and DVD, soon to be available for use on Sony hardware.

SOURCES OF INCOME: Sony get their money from

advertisements. They advertise on behalf of companies such as PlayStation.

Sony also get their money from the purchases of televisions, the packages of television programmes, and get a percentage of the payment every time you buy a new iPhone from Apple. Sony provide the image sensors for digital camera, and have been quietly producing those items without much publicity. A quote from Kazou Hirai, the CEO of Sony had quoted that “Sony are trying harder than ever to profit from other companies’ innovations, such as the iPhone 6” and he continued to say that $20 from every sale of an iPhone, goes to Sony, as they have produced the sensors and other electronic functions on the phone. After the “selfie” craze, it has strengthened Sony’s grip on the market.

http://fortune.com/2015/04/29/sony-iphone/

SOURCES OF INCOME: These are some of the other ways that

Sony were able to promote themselves.

The advertising aspect meant via televisions or by word of mouth, and the personal selling included members of Sony going outside of their workplace and talking to members of the public face to face about the opportunities that could have.

Giving out free gifts was also another way that they were able to get money back in return. They would give out Play Stations, Cameras and Phones out to members of the public who subscribed to the organisation, for a fee, with a money back guarantee if they were to send the item back without it being ruined or lost. 90% of the “testers” ended up being bought fully by the customers. This was the way of impressing the customers, and therefore making them have no way of returning the item back to the company.

PRODUCT DIVERSITY: Sony as a company deal with electronics, financials and most

importantly, entertainment. The channel ranges from various genres of show, including dramas and comedies, such as “Hawthorne”, “Huff” and “‘Til Death”. Sony Entertainment also bring UK series such as “Hustle” and “Hotel Babylon”, along with the last ever season of Las Vegas.

Other movies that are shown on the channel are “The Da Vinci Code”, “All the King’s men”, “Marie Antoinette” and “Philadelphia”.


Sony Pictures Entertainment are a television and film producer and distributer. They have 12.5% box office market share, and in 2011 they were ranked the third highest profitable company. The group sales in 2010 were just over $7.2 billion.

In 2010, they were able to increase their profits again, as they introduced Sony Internet TV, powered by Google TV, which was the world’s first television with a Google TV platform. In the same year they also introduced the first e-book reader and a new digital music service, which was powered by Qriocity.

ORGANISATIONAL OBJECTIVES Sony’s main mission was committed

to developing a wide range of innovative electronic products and multimedia services that would be available to the public. They are constantly striving to create exciting new world of entertainment also.

Sony’s other aim was to become a worldwide global sensation. They want to become a broadband entertainment company and be as big as companies like Internet Explorer, Yahoo and Bing. One of the representatives stated that they wanted to “create exciting new opportunities for members of the public in order for them to experience a new online digital way to entertain themselves”.

LICENSES & FRANCHISES Sony had to license the DVD-RECORDABLE disc, DVD-ROM/Video/Audio disc, DVD

player/recorder and the Blue-ray Player/Recorder. The company was granted all of the licenses and they have been able to produce, play and record ever since the grant.

The company has produced many notable movie franchises, such as Spider-Man, The Karate Kid and Men in Black 3.

For the Spiderman franchise, Kevin Feige is teaming up with Amy Pascal for the 2017 release. Spider man will appear in an upcoming Marvel film and both Marvel & Sony Pictures are exploring opportunities to integrate characters from the MCU into the future Spider man film.

In a statement, Feige stated that:

COMPETITORS Sony’s have a lot of competitors in 6 of the main industries that

they deal wit as a company.

In the Mobile industry, the competitors are LG, Nokia and Samsung. In the IT & Computing industry, the competitors are IBM, Zenith

and Compaq. In the Portable Audio industry, the main competitor is Apple. In the TV & Accessories industry, the main competitors are LG,

Onida, Samsung and Videocon. In the Gaming industry, the main competitor is Microsoft Xbox. In the Car entertainment industry, the main competitors are

Kenwood and Panasonic.

CUSTOMERS

I was also able to find out that The Sony Bravia TV channels are aimed at middle and upper class families with people aged 20+, but obviously their main “target” is to be profitable and appeal to everybody, which is why they have so many different divisions of their company.

The targeted customers are females between the ages of 25 and 56 yeas old. The reason for this, is because from survey’s that they did on the public, this is the majority votes that comes back. It also backups their query about whether men like comedies and dramas as much as women, and the answer was no. The information was drawn from some charts of information.


One of the competitions that Sony hosts as a company is the Sony World Photography competition which runs every year. The competition is across 54 countries, from Australia to Argentina, and the judges representing each country vote on images sent in by the public with the winner receiving a prize fund and being able to attend the Sony World Photography Awards ceremony each April 23rd.


As the PlayStation had reached the first 20 years of being successful, Sony decided to do a mini competition with the PlayStation lovers of the public, and asked them to send in a picture of what PlayStation meant to them, whether it be a photo, a drawing or a digitally created image on Photoshop, GIMP or PicMonkey.

It was a way to help promote the brand in a positive way, and get a feel as to why people enjoyed play PlayStation, and improvements that they could make, to improve the quality of the actual system, or the games to be played.


These were some of the top choices with the most votes. The creativity of each of the images shows how different everyone feels about PlayStation Gaming, and how it can bring positive vibes in people, but in many different ways as shown below by a picture.

TRENDS One of the main trends of Sony, was creating game shows. They had

produced the popular television gameshows “Jeopardy”! and “The Wheel of Fortune!”

“Jeopardy!” is an American television game show which was created by Merv Griffin. The show featured a quiz competition where contestants would be given general knowledge clues, in the form of answers, and they would have to phrase their response in the form of a question.

“The Wheel of Fortune!” was also an American television game show, as well as a British show, both created by Merv Griffin, a chief director at Sony. The show was trendy from 1988 until 2001, when the show finally ceased.

*SHARE OF OWNERSHIP*

SHARE OF OWNERSHIP (DESCRIPTION) A shared ownership is a way of part-owning a property or part of

an organisation. A shared ownership can mean a number of things, such as distributing profits to shareholders, dividends and perhaps capital growth systems, enabling employees to sell their shares for more than they paid for them. If your company is a social enterprise, then this will not be a feature for the company, a perhaps a limited annual dividend will be used.

Shared ownerships can also determine who runs the company. Major constitutional issues can be a powerful reason for employees to focus on business improvements, but this doesn’t mean that the employees are taking over a business.

Shares can come in two different ways; Individual and Trust. You could either let employees acquire shares individually which they might later be able to sell, or you can arrange fore shares to be held on their behalf in an employees’ trust. This is a process than John Lewis use.

SHARE OF OWNERSHIP(FILM EXAMPLE- BUENA VISTA)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

SHARE OF OWNERSHIP(TELEVISION EXAMPLE- GRANADA PLC) Granada PLC is an example of an organisation that share their ownership.

They merged with Carlton Communications in 2003 to become ITV PLC.

In 2003, a merge was agreed between the two companies, with the Granada shareholders owning 2/3’s of the new company and ITV PLC owning 1/3. The new company was in effect and the takeover by Granada was admitted in their first annual report of the new company, ITV PLC. The Granada name remains as the name of the North West ITV franchise, and is used to brand productions of ITV PLC companies on channels other than ITV branded channels in the United Kingdom, where ITV Studios is used instead.

In all of the time that Carlton Communications were merged with Granada, they were mainly involved in the television business. They owned seven main television companies, as well as the ITV Digital Channels Limited television business, which at the time, offered two channels. ITV PLC has since taken full control of GSB and closed down archive channel “Plus” in favour for “ITV3”. Granada also owner 50% of the shares in ITV2 and the ITV News Channel, as well as a 20% share of the Independent Television News.

SOURCES OF INCOME:

Granada’s main source of income was from advertising, like most broadcasting companies and they wanted to keep their profits up by doing various company changes.

The first improvement that they wanted to make, was to build new studios rather than hiring old spaces or converting buildings, an approach favoured by other television companies such as the BBC. After all of the changes, and not much profit from television sales, Granada were at their lowest point of profit with financial struggles.

They asked the Associated-Rediffusion for help, who are a London week-day station, agreeing to pay Granada’s debts. Associated-Rediffusion, ABCD and ATV were making annual profits of up to £2.7 million by 1959, and Granada’s profits were under £1 million. With their increase of income, they tried to renegotiate the contract and asked for £8 million to send them in the right direction.

PRODUCT DIVERSITY: Granada are a diverse channel as they were the first television company to

promote live coverage of an election. The “Rochdale by-election” was aired in 1958 and also broadcasted 2 smaller candidate debates. They also hosted the first General Election debate among the leaders of three main political companies.

Their differences compared to other channels were seen in their ambitious documentaries such as “Seven Up!” premiering in 1964. It was a social experiment following the lives of 14 children aged 7, and tracked their lives during 7 year intervals to discover their hopes and aspirations for the future. It was also voted the greatest ever creation and the latest instalment of the programme “56 Up”, premiered in 2012.

Other shows that were different on the Granada network channels were shows such as Coronation Street which began it’s 13 week, 2 episodes a week run from the 9th December 1960 and is still being broadcast today on ITV, a sub channel belonging to Granada PLC. “The Starts Look Down” from 1975, “Laurence Olivier Presents” from 1976-1978, “The Adventures of Sherlock Holmes” from 1984 and “The University Channel” which broadcast from 1962-1987 were some of the other unique programmes to be aired on the Granada channels, setting a theme of shows for other broadcasting companies to follow.

PROFITABILITY OF PRODUCT RANGE The profits for Granada are going up every year from the new but

popular shows they are releasing. Being as successful as they are, they have been able to own a string of hotel and holiday destinations across the UK, as well as few restaurant brands up and down the country.

Pre-tax profits rose by 15% for the company, to an incredible revenue gain of £315 million at the end of 2014, from the £274 million they received the year before. The results of their profit exclude the costs of “On Digital”, which Granada have spent £38 million on so far. This obviously brought their cash flow down, and to help them boost profits again, more advertising had to be done and they proposed for a two-for-one share split, helping them to increase their dividend to 5.9p.

Granada’s profits were also lifted by their strong franchising companies in the North West of England. They own channels in Yorkshire, Tyne-Tees and London, just over a third of the whole ITV company. Profits are also likely to jump by 20% in the 2nd half of this year, 2015.

ORGANISATIONAL OBJECTIVES Granada PLC have recruited a new line-up of senior workers that

they think will help boost the growth of the company in the digital age. One of their main aims is to enable ITV to focus more closely on the needs of their viewers and advertising companies.

They have been successful by delivering multi-channel thriving shows and improving their profits by almost double, but their next phase of development would be to adhere to the following three aims; building a broadcasting business and make people know about them, grow the production business in order to reduce the amount of advertising needed, and develop new revenue streams, so the money can come from other primary sources.

Ian McCulloch has become the Commercial Director of the company and he hopes that the company become one of the largest and successful digital channels, ensuring that ITV deliver the most valuable audiences and advertisers, the most attractive programming, such as news, sport, reality and trends.


In 1968, Granada’s contract changed from across just the northern part of England during the week, to the whole region of the north and the northwest throughout all 7 days in a normal week. They transmitted the broadcast from the Winter Hill transmitting station in Yorkshire, and was often defined as a separate region.

They retained the franchise in 1980 and invested in a multimillion-pound deal, with production companies who had released shows such as “The Jewel in the Crown” and “Brides head Revisited”. In the late 1980’s, the UK commercial broadcasters were considered too small to compete in the world market, and the ITV franchise companies began to create a single company brand name, creating a larger profit.

Granada has established a “collaborative company” alongside Carlton Television, and they were able to own all of the ITV companies in England and Wales. They franchised in Scotland, Northern Ireland and in the Channel Islands. (Scottish Television, Grampian Television, UTV & Channel Television).

COMPETITORS Some of Granada’s main competitors are BT TV, otherwise known

as BT Vision, Freesat, Freeview, Sky, Smallworld Cable, Blinkbox, Netflix, Amazon Instant Video and YouView.

They are the main competitors are the showing times sometimes clash, and sometimes the shows have one off trends which can often attract more viewers to their channels.

YouNow is a channel that often has additional features such as watching movies, film and catching up with series’ of television programmes on demand. This enables users to watch previous episodes of shows that are no longer being broadcasted on normal television.

SmallWorld Cable merged to become a part of “Virgin Media” in 2014, and the channel is available in South Western Scotland and North, Western and Eastern England.

CUSTOMERS Granada has a range of 12 different services around the world. They are

London, Central, Granada, Border, Tyne Tees, Yorkshire, Anglia, Meridian, West Country, HTV Wales & West, Scotland and Ulster. These are the main targeted customers for Granada, and they are also offered advertising time by shows such as Good Morning Britain to buy airtime regionally, although this is on a limited basis.

Granada’s multi-channels doesn’t allow for regional advertising, but it allows more specific and granular targeting on ITV’s main channels. It allows advertisers to target households specifically based on factors such as their age, location and life style, from a combination of customer data and consumer profile links on websites such as Experian. Some of the main ways that they target audiences is broadcasting shows such as “Housewives” which often gets the main shoppers of the house attracted to the show, such as if you want to target women who earn more than £30,000, then ABC1 Women would be a good channel for them to watch.

Granada’s process of doing this, ensures that they are getting the right audiences for the correct programmes, and if not, then they will just extend the audience for that specific programme.


One of Granada’s main competition channels was on GMTV, the morning show which was broadcasted every morning of the week, including the weekends. The show has recently been replaced by Good Morning Britain, hosted by Charlotte Hawkins, Susanna Reid, Ben Shephard, Kate Garraway, Laura Tobin, Ranvir Singh and Sean Fletcher.

TRENDS VIRALTAP was a programme that was broadcasted by Granada/ITV

and was hosted by Carly Smallman and Matt Richardson. The aim of the show was for them to give an example of a “Trend” that could be made possible, with people copying it and turning it into real life.

An example of one of the episodes, was for people to draw out images on a piece of paper and then for image to physically appear. The winners with the best edits would receive £1,000 as well as ITV merchandise.

*MERGERS & TAKEOVERS*

MERGERS & TAKEOVERS (DESCRIPTION) A merger is where a company are involved in two or more companies in order to

form one unit, and increase their overall efficiency. The shareholders of merged companies are offered equivalent holdings in their new companies and old employees are generally retained and trained again.

A horizontal merger combines direct competitors in the same products and markets, while a vertical merger combines suppliers and the company or customers and the company.

Takeovers are a quite a similar matter, but they tend to be a bit more difficult. A change in the control of a company, accompanied usually by a changed in the board of directors and senior management if the takeover is hostile.

In a friendly takeover, the management doesn't usually change, and the takeover works to the benefit of the target company.

In a hostile takeover there may be an attractive public offer for the shares, or unsolicited merger proposals for the management, accumulation of controlling shares through buying in the open market, or proxy fights. There are various methods of fighting off hostile takeover bids, with colourful names.

MERGERS & TAKEOVERS(FILM EXAMPLE- GAUMONT BRITISH EMPIRE)

Sources of Income-

Product Diversity-




Competitors-

Customers-


Trends-

MERGERS & TAKEOVERS(TELEVISION EXAMPLE- DIRECTV) DirecTV are an American organisation that broadcast their channels

in El Segundo, California. At the beginning of July 2015, they became a subsidiary of AT&T as they were given permission to merge.

The FCC approved the $48.5 billion acquisition of DirecTV, and decided to merge the largest national wireless carrier, with one of the largest satellite TV providers. They have around 26 million subscribers, making them the largest pay television company in the country, creating some concerns, but not enough to stop their deal.

AT&T merging with DirecTV was a benefit for AT&T, as it helped them turn into a formidable player in streaming videos. As the largest paying television provider in the US, it’ll have a newfound scale and bargaining power to help them license their content. AT&T became more of an appealing choice to those picking where to get their next Smartphone from. The benefit for both companies is that they teamed up to offer Internet and television bundles in a way that they could make customers happy.

SOURCES OF INCOME: The main sources of income for DirecTV

were the funds from customers who subscribed to the channel in the first place. The second main source of income was from their advertising and promotions on television and billboards around the world.

I was unable to find all of the information I needed, so I spoke to one of the representatives of the organisation who assisted me in telling me some non-personal information about the organisation. Liz S. is one of the main directors at the organisation.

PRODUCT DIVERSITY: I was also told that the company feel as

if they are diverse, because they are 100% with the programming through their new improved receivers. They also ensure to maintain the communications that they have with the networks to have a good channel line-up in place.

DirecTV are also a unique and diverse company, as they are able to give their customers amazing channels at a great price, as well as an NFL Sunday Ticket at no extra charge. Free premium networks for three months, and Free streaming of entertainment on computers, tablets and phones is one of the most popular packages that people buy. People can also customise their own package with the programmes that they want to watch, and wherever they want to watch it from. For example, the customer might be in the UK, but a film in the U.S.A might be interesting them. They would be able to view this over the transmission provided by DirecTV.


From research, and confirmation from one of the workers at DirecTV, I was able to find out that the NFLST programmes, as well as their movie channels were the most successful, bringing in the most revenue.

HBO, one of the leading movie channels has about 114 million total members with the subscription revenue rate going up by 4% annually. The income that they received over the past year was $4.9 billion, compared to Netflix’s revenue, who are one of the leading movie companies, only receiving $4.4 billion in profit during the same year.

Starz, otherwise known as “Fizz TV” is a digital satellite TV channel, owned by the C2C Media group and DirecTV. They launched on January 24th 2005 with the output of music videos and popular movies. They changed their name to Starz and were bought by Mushroom TV, before Mushroom TV went bankrupt, and the original deal of them being owned by DirecTV took action. Starz is now a successful public-interactive channel which has music videos from up to date artists, and allows the public to vote in for songs and pictures to be uploaded or streamed online.


Liz stated on behalf of her company, DirecTV, that they are not in the business for money. They aim to give 100% customer satisfaction with all of the products and services being provided as they are the ones at the end of the day who are paying for the services, and expect something in return.

One of their other main aims as an organisation are to ensure that any negotiations with collaborating companies are successful, and if any arguments so arise, that they are sorted out quickly to ensure a good relationship between the companies.


No Licenses were found, and No Franchises of the companies were made.

COMPETITORS

Comcast are an American multinational media company among some of the largest broadcasting and cable company in the world. With just over $8.19 million profit in 1999 and a $15 million profit in 2009, the revenue for the company has been growing increasingly. The return on capital has nearly tripled by 7%, and they reported their profit increases of 30% were reached in the year of 2012. The Sochi Olympics also helped the company bring in a massive $1.1 billion in revenue during the first 4 months of the year 2014.

DirecTV’s main competitors are DISH and Comcast. Miko Khalil P, one of the workers at the company also told me that they used to compete with U-verse, another broadcasting company, but since merging with AT&T, the competition ended.

DISH are an India based television operator that use MPEG 4, DVB S2 and MPEG digital compressive technology to produce the programmes available to watch. The manager and head owner of the business, Jawahar Goel is ensuring that his company provides features such as EPG, the Electronic Programme Guide, parental lock screens, games and over 400 channels, including interactive TV and movies on demand to watch later.

CUSTOMERS

While talking to Miko, I found out that they don’t have a specific audience of customers that they target their programmes to, but that they cater for all ages. He continued to say that they had been trying to reach more out to the children of the world, by providing DirecTV apps that are both educational and entertaining at the same time.

An example of an app that they have released is DIRECTV Kids, which is app allowing parents to control the programmes that their children watch, as well as making it entertaining for the children. The app is aimed for children between the ages of 4 and 10 years old, but can vary depending on the new films that are released.

Some of the main features in the app are a safe viewing zone, making sure that the content has been rated appropriately such as G, PG, TVG, TVY or TVY7 so that children can use the app independently without much supervision or parental control. One of the other features is that you can watch or stream the movies anywhere.

Personalisation is the third main feature, allowing the children to paint their own background with funky shapes, puzzle parts, letters or family photos, giving them the DIRECTV Kids experience of a lifetime. The final feature was the intuitive interface, making it easy for the children to understand, which fewer kids and quicker loading times. “Recently Watched” is also a good tool that allows the children to resume watching a film that they may have already started and not been able to finish.


DirecTV mainly specialise in making the correct programmes to be broadcast on television so are not often involved with competition making. I was able to get confirmation from Miko that they have had 2 main competitions on the channel, but they were one off occasions. The first competition was a Grand Prize, giving members of the public a paid trip to San Francisco for the Super Bowl 50 competition. The second competition was a raffle contest to see who the lucky members of the public were going to be, that would be able to watch the NFL show live.

Walmart were a collaborative company who helped to organise and raise money from that event, and they chose the lucky 500 people, who livestreamed the game and were able to comment, like, view and post on the forum to that particular episode.

TRENDS

I asked Miko if there were any trending shows on the channel, and he replied that it would depend on the feedback from customers, as they obviously have different programming wants and needs.

I decided to do some research of my own, and came across one of DirecTV’s websites. One of the popular trends from the channel was the fact that you were able to watch 8 sporting channels at the same time, which was an amazing offer especially if you are a true sports fan. This made DirecTV stand out from the crowd, and it helped them to bring a lot more revenue into the business through a simple service that was provided to the general public.

http://www.directv.com/technology/advanced_features#tabs-2

creative media btec- unit 7 – the media sector (television)

Social Media