Slide1: SINCE THE 1950s, NO INDUSTRY HAS BEEN MORE CRUCIAL TO THE SUCCESS OF THE OLYMPIC GAMES THAN TELEVISION BROADCAST….


Slide2: … THE GROWTH OF THE OLYMPIC MOVEMENT OCCURS IN DIRECT PROPORTION TO THE INCREASE IN THE NUMBER OF INDIVIDUALS WHO ARE ABLE TO WATCH THE OLYMPIC GAMES


Slide3: … BROADCASTERS MAKE THIS INVESTMENT BECAUSE THE OLYMPIC GAMES,……,DRIVES TELEVISION AUDIENCES AND IN TURN ATTRACT ADVERTISERS...


Slide4: … TELEVISION IS A GREAT PARTNER OF SPORT AND THE OLYMPIC MOVEMENT….IS THE ENGINE THAT DRIVES THE WORLDWIDE PROMOTION OF THE GAMES HE Juan Antonio Samaranch IOC President - 1999


Slide5: MORE IMPORTANT THAN THE NUMBERS, IS THE SPIRIT OF THE OLYMPIC GAMES, THE IMAGE… AND THE ROLE TELEVISION IN COMMUNICATING THAT SPIRIT AND THAT IMAGE…


Slide6: OLYMPIC BROADCASTERS SHARE IN THIS SPIRIT - AND WHEN YOU COMMUNICATE THE IMAGE… THAT IMAGE IS REFLECTED BACK ON YOU. Mr Richard W Pound IOC First Vice President 1999


OLYMPIC BRAND: OLYMPIC BRAND TELEVISION IS THE BASE OF THEIR MARKETING PARTNER - GROWTH FOR THE SPORT AND DRIVES ITS PROMOTION - BROADCASTER SHARE IN SPIRIT UNDERSTAND DRIVERS - AUDIENCES AND ADVERTISERS IMAGE REFLECTS ON PARTNER ASSIST BROADCASTER IN MAXIMISING RETURN


Slide8: DEVELOPING COUNTRIES - RADIO EQUALLY IMPORTANT ROLE LSM 1- 4 (53% OF POPULATION) ONLY 39 % HAVE TV SETS. (ICASA-Aug 2002)


MENU: MENU ELECRONIC MEDIA MEDIA MARKET PROGRAMMING DRIVERS CREATING PARTNESHIPS CONCLUSION


ELECTONIC MEDIA: ELECTONIC MEDIA PRIMARY MEDIA - TV AND RADIO REVENUE PROVIDER BRAND BUILDING EVENT SPONSORSHIP AND OTHER REVENUE DRIVER IMAGE OF THE SPORT INTERACTIVE


ELECTONIC MEDIA: ELECTONIC MEDIA SECONDARY - INTERNET INFORMATION EXCITING MOMENTS BRAND ENHANCEMENT INTERNET AND TELEVISION INTERTWINED MAXIMUM INTERACTIVE


ELECTONIC MEDIA: ELECTONIC MEDIA TERTIARY MEDIA - TEXT, VIDEO AND AUDIO NEW MEDIA EXPERENTIAL AND INFORMATION INTERACTIVE ENHANCE LOYALTY INCREMENTAL REVENUE


MEDIA MARKET: MEDIA MARKET MEDIA ADSPEND R8.4 B IN 2001 COMPARED TO R8.2B IN 2001 THUS 2.5% GROWTH TV AND RADIO GREW BY 2% RADIO SHOWED NEGATIVE GROWTH


MEDIA MARKET: MEDIA MARKET MEDIA INFLATION GREW BY 11.2% ADVERTISING BUDGETS NOT INCREASING WITH MEDIA INFLATION NOR CPI MEDIA OWNER REVENUE IS DECREASING PREDICT OVERALL NEGATIVE GROWTH 2002/3


MEDIA MARKET: MEDIA MARKET PRINT 36.4% TELEVISION 30.7% RADIO 17.49 % CINEMA 0.93% FAST GROWING OUTDOOR 4.4% FASTEST GROWING


MEDIA MARKET: MEDIA MARKET BIG SPENDERS RETAIL BUSINESS TO BUSINESS TRAVEL AND TRANSPORT (HIGHEST GROWTH) BANKING HOW MANY ARE SPONSORING SPORT?


MEDIA MARKET: MEDIA MARKET DECLINING BEVERAGES HOME 2 (TELECOMS, FURNITURE, CLOTHING ETC) HOME 1 (HOUSEHOLD APPLIANCES, CLEANING) - MAJOR IS SPORT CAPTURING THIS LOSS?


MEDIA MEASURES: MEDIA MEASURES TARGET MARKET USING LSM 1-10 LSM 1 - 6 78% 0F POPULATION : LSM 1-4 53% ONLY 39% OF LSM 1-4 HAS TV AND 83% OF RADIO SETS MEDIA BUYERS CHASING IN MAIN LSM7-10 - EARNERS OF AVERAGE ABOVE R5400 PM IMPLICATIONS FOR SPORT ON TELEVISION


MEDIA MEASURES: MEDIA MEASURES AUDIENCES - AR PER TARGET MARKET (1AR = 139 000) RAMS FOR RADIO - AVERAGE DAY; QUARTER HOUR; PAST SEVEN DAYS COST PER POINT - ADVERTISER COST PER PERSON WATCHING A PARTICULAR PROGRAMME PER TARGET MARKET


PROGRAMMING: PROGRAMMING AUDIENCES - CURRENCY WETHER ADVERTISER OR SUBSCRIBER SCHEDULE - MENU AUDIENCES CONSUME AT THE TIME THEY WANT COST OF PROGRAMMING - RIGHTS PLUS PRODUCTION (COST PER MINUTE) CONSISTENCY AND QUALITY


PROGRAMMING: PROGRAMMING PLAN IN SIX MONTHS CYCLES MINIMUM DECISION - TARGET AUDIENCE ; PLATFORM FIT; PUBLIC SERVICE; COST VS REVENUE BRAND POSITION VS PROGRAMME POSITION CONTENT FIT TO PLATFORM FIT


PUBLIC SERVICE: PUBLIC SERVICE MASS AUDIENCE APPEAL NATIONAL INTEREST AFFORDABLE PROGRAMMING LOCAL CONTENT - SPORT IS NOT COUNTED


PROGRAMMING: PROGRAMMING 3 MINUTE INSERT COST SHOOTING - R7000 EDITING - R2200 OTHER - R300 FINAL MIX R600 R10 100 = R3000 PER MINUTE LOCAL MAGAZINE R2400 PER MINUTE EXCLUDES RIGHTS


PROGRAMMING: PROGRAMMING LIVE - 4 CAMERA SHOOT EQUIPMENT R65 000 STAFF R15 000 TOTAL R80 OOO = R26 000 PER MINUTE TOP LOCAL SOAPIE R5800 PER MINUTE EXCLUDES RIGHTS, STUDIO, EDITING ETC


PROGRAMMING: PROGRAMMING AUDIENCES WATCH CONTENT - PRODUCT OFFERING IS KEY ADVERTISER LOOK AT PROGRAMME AS WELL - BRAND ASSOCIATION COUNTS SPORT FOR ADVERTISERS IS BRAND BUILDING AND LOYALTY DRIVER


MEDIA REVENUE: MEDIA REVENUE AUDIENCE - CURRENCY BROADCAST SPONSORSHIP CLASS ADVERTISING SUBSCRIPTIONS TV LICENCEES IS YOUR SPORT AND AUDIENCE DRIVER WHICH AUDIENCE VS ADVERTISER/SUBSCRIBER ARE YOU SPACE FILLING THEN CONSIDER PRODUCTION VS OPPORTUNITY COST


CREATING PARTNERSHIPS: CREATING PARTNERSHIPS SPORT PRODUCT AND BRAND ESTABLISHMENT UNDERSTAND EACH OTHERS BUSINESS MEDIA IS LAST IN SPORT VALUE CHAIN - DECIDE NATURE OF PARTNERSHIP


CREATING PARTNERSHIPS: CREATING PARTNERSHIPS SPORT SUPPORTE MUST COINCIDE WITH AUDIENCE AND TARGET MARKET TARGET THE CORRECT PLATFORM ADDED VALUE TO EACH OTHER - CLEAR PARAMETERS


CONCLUSION: CONCLUSION ELECTRONIC MEDIA IS IN NMAIN ABOUT ENTERTAINMENT AND INFORMATION PEOPLE HAVE WIDE CHOICES NATIONAL INTEREST IS NOT STATIC


TO SURVIVE SPORT MUST CARVE ITS NICHE IN EACH OF THESE AREAS: TO SURVIVE SPORT MUST CARVE ITS NICHE IN EACH OF THESE AREAS