Mobile users drive strong growth of Indonesian online news portals

Similarly to Thailand, the newspaper business in Indonesia faces stagnation while online news portals like Vivanews.com enjoy healthy growth as they cash in on increasing penetration of mobile Internet users.

"Because an online newspaper needs different strategies to build advertisers' confidence, it should not be treated as a bonus to mainstream media," said Karaniya Dharmasaputra, founder and chief executive officer of Viva Media Baru, the operator of Vivanews.com. He was speaking to members of the Thai press during their visit last week to leading publications in Jakarta.

The media visit was part of a knowledge-enhancement programme for Thai journalists on reporting news related to the Asean Economic Community. It was organised by the Thai Journalists Association in association with Charoen Pokphand (CP), Thailand's largest agriculturally based conglomerate.

Dharmasaputra said his company had separated its sales team from the parent company, which operates a television station and print media, so that it was able to work closely with clients to create and design specific marketing channels such as multimedia ads and advertorials on websites or even on-the-ground activities.

Karaniya Dharmasaputra 

It is estimated that there are at least 55 million Internet users among Indonesia's population of more than 200 million. Dharmasaputra said 38 per cent of that number were mobile Internet users.

"Though 90 per cent of total income comes from advertisements, reader-centric content remains our strong selling point at Vivanews," Dharmasaputra stressed. The most popular categories are involved with constructive news such as science, technology and business.
He added that his company's 176 employees produced 300 to 350 news items daily for its website, on which 1.8 million users logged on per day.

He said he witnessed a significant increase in digital migrants since 2010 after he started Vivanews.

Though ad spending via the Internet remains low at 7 per cent of the total industry, the annual growth rate is strong - for example, a 70-per-cent year-on-year rise in 2010 and about 40-50 per cent last year as well as so far this year.

Likewise, though it has not yet reached its break-even point, the company says it is now satisfied with its financial performance, having already covered the monthly operating costs it its third year of operation.

After a US$300,000 (Bt9.4 million) initial investment to develop the site, the company can offer broader services, namely Vivanews, Vivabola, Vivalife, Vivalog, Vivaforum and Vivasocio to expand its reader base, said Ady Pangerang, director for information technology, research and development.

Pangerang said the company planned to offer more services on its portal site in the near future to attract younger readers. such as an e-commerce service. It is also co-producing TV and radio programmes for local broadcasters.

Meanwhile, Indonesia's newspaper business is facing stagnant growth in readership and advertising revenue.

Rikard Bagun, chief editor of Kompas, the largest daily paper in Indonesia, said that of total advertising volume, 60 per cent remained in TV and 13 per cent in newspapers.

Rikard Bagun, chief editor of Kompas

"As advertising contributes 80 per cent of our revenue, we must integrate our content with other media outlets in the group, including Kompas TV, partnered satellite TV channels, radio stations and its website," Bagun said.








WATCHIRANONT THONGTEP
THE NATION
Jakarta August 15, 2012 1:00 am
http://www.nationmultimedia.com/business/Mobile-users-drive-strong-growth-of-Indonesian-onl-30188316.html

Major Cineplex unit expects cinema advertising to take no 2 spot next year

Major Cineplex, the country's largest cinema chain

Major CineAd, a cinema advertising provider that is a wholly owned subsidiary of Major Cineplex Group, is optimistic that adverting expenditure via movie screens will become the second-biggest in the industry, ahead of newspapers, because of the expansion of cinemas in the provinces and big blockbusters coming in summer 2013.


Major Cineplex, the country's largest cinema chain, plans to establish 40-50 new cinemas next year, mainly in provinces such as Surat Thani, Nakhon Si Thammarat and Chiang Mai. Currently, the group has more than 400 screens in 54 locations across the country with different brands, namely Major Cineplex, EGV Cinemas, Paragon Cineplex, Paradise Cineplex, Esplanade Cineplex and Mega Cineplex.

www.majorcineplex.com

Movie-goers will also enjoy a number of blockbusters lining up for the summer next year, namely "Oblivion", "Iron Man 3", "Star Trek 2", "Fast & Furious 6", "Hangover Part 3", "The Lone Ranger" and "Thor 2". There will also be several attractive locally made films.


A recent media survey by Nielsen Thailand found that advertising via cinemas in the Kingdom in first half jumped by 63.25 per cent year on year to Bt5.44 billion from Bt3.33 billion in 2011. Spending via this medium in the same period was ranked as the third-highest in the industry, followed by via television with Bt32.98 billion and newspapers with Bt7.46 billion.


"Given these factors, we believe that ad spending via cinemas will possibly become the second-biggest next year," Niti Pattanapakdee, general manager at Major CineAd, said yesterday.


He explained that newspapers were moving into digital services to cash in on younger readers as well as new revenue sources while spending via newspapers seemed to be slowing.


He added that Major Cineplex's ad earnings currently accounted for 70-80 per cent of overall cinema ad spending. This year the firm expects to see advertising revenue increase by about 10-15 per cent from Bt766 million last year. This accounted for 14 per cent of the group's revenue.


To attract more spending from advertisers, Major CineAd offers a Live Ad service, providing total marketing activities such as performance shows while screening the client's ad in the cinema. Meanwhile the company also focuses on new clients upcountry. Currently its ad earnings from upcountry cinemas accounts for 30 per cent of total ad income. By next year, it is projected to be 40 per cent.


WATCHIRANONT THONGTEP
THE NATION July 25, 2012 1:00 am

http://www.nationmultimedia.com/business/Major-Cineplex-unit-expects-cinema-advertising-to--30186911.html

In West and China, Thai entertainment firms see an opportunity

Dr.Tan Jirayuth Chusanachoti ,CEO at Shellhut Entertainment

Due to the global economic slowdown, Western production companies are eyeing Asia for new ideas to introduce to their viewers. In response, local content producers are focusing on exporting their content to these high-potential markets.




Jirayuth Chusanachoti, chief executive officer at Thai-owned 3D-animation producer Shellhut Entertainment  (www.shellhutentertainment.com), told The Nation that over the past couple years, the media and entertainment industry in the West has been affected by the economic slowdown, so some of them have moved their production bases to Asia. China, Malaysia, Singapore and South Korea are particularly popular destinations.


In China, Western production houses are interested in co-production with local production companies as they want to air their programmes in prime-time slots in local media outlets.


Likewise, Pramote Chokesirikul-chai, president of Thai Digital Enter-tainment Content Federation or TDEC (www.tdecthai.com), said that though the Chinese government welcomed investment from Western countries, particularly in the US, media content - so-called cultural content - must be controlled by the state.


China seeks a good balance of cultural content from overseas; for example, it has increased time slots for Japanese and South Korean TV content to balance Western shows. But once J-Pop and K-Pop gained popularity among Chinese viewers, Beijing eyed the Asean market to re-balance things, Pramote said.


"This is also a huge opportunity for Thai TV drama series to export to China," said the TDEC president.


A media industry observer said that BEC's ThaiTV3, as well as BBTV Channel 7 and GMM Grammy had already stuck more than 10 deals with broadcasters to sell their TV drama series in China.


Apart from TV drama series, Workpoint Entertainment, the country's leading game-show and TV-programme production house, is focusing on exporting its key television formats as production companies in Western countries, mainly the United States, are seeking new ideas to introduce to their viewers.


Chalakorn Panyashom, vice president for creative marketing, said his company had surveyed overseas demand since last year by attending key international TV content trade shows where representatives and executives from global media agencies, production houses and programme traders and distributors gathered.


The company offers two kinds of in house-designed TV formats - game shows and TV dramas - to both international media agencies and production houses. Key game shows are "Fan Pan Thae", "Luang Lab Tab Taek", "Kon Aud Pee" and "Chomrom Kon Hua Look".


It was recently reported that Octagon Entertainment Productions and Los Angeles-based Smoke & Mirrors Creative plan to introduce "Fan Pan Thae" to the US audience under the working title "Obsessed".


In the case of the "Fan Pan Thae" deal, production firms in the US were looking for something different from what had been offered there, so TV formats in Asia such as in Japan, South Korea and Thailand became their targets.


WATCHIRANONT THONGTEP
THE NATION July 23, 2012 1:00 am

Broadcast licence fee set at 4% of revenue: Thailand's NBTC

The TV broadcasting licence fee has been set at 4 per cent of the licence holder's annual gross revenue, Natee Sukonrat, vice chairman of the National Broadcasting and Telecommunications Commission (NBTC), said.


According to the draft regulations for broadcasting licensing approved by NBTC's board yesterday, of the total fee, 2 per cent will be for the licence itself and the other 2 per cent will be apportioned for the commission's research and development fund for broadcasting.


The draft covers three types of licences - broadcasting network provider, broadcasting facility provider, and broadcasting service provider - all covering terrestrial digital TV service to cable and satellite TV service. This approval will pave the way for NBTC to launch the broadcasting licences by October. It will soon hold a public hearing on the draft.


The board also approved the regulations for a trial of digital TV service in Thailand, which is expected to be published in the Royal Gazette next week. It will allow all interested TV operators to request to conduct the trial, which is expected to take place around October.


The board also approved holding more public hearings on the "must carry" draft regulation, which is expected to be published in the Royal Gazette before July 27, when the Summer Olympic Games begin.


The regulation will allow viewers to see free-TV channels on any platform, from satellite to cable and terrestrial digital TV.


USANEE MONGKOLPORN
THE NATION
July 19, 2012 1:00 am

Thailand-based Workpoint looks to export TV shows

Thailand-based Workpoint Entertainment, the country's leading game-show and TV-programme production house, is focusing on exporting its key television formats as production companies in Western countries, mainly the United States, are seeking new ideas to introduce to their viewers.


Chalakorn Panyashom, vice president for creative marketing, yesterday told The Nation that his company had surveyed overseas demand since last year by attending key international TV content trade shows where representatives and executives from global media agencies, production houses, and programme traders and distributors gathered.


The company offers two kinds of in house-designed TV formats - game shows and TV dramas - to both international media agencies and production houses. Key game shows are "Fan Pan Thae", "Luang Lab Tab Taek", "Kon Aud Pee" and "Chomrom Kon Hua Look".


In the case of the "Fan Pan Thae" deal, production firms in the US were looking for something different from what had been offered there, so TV formats in Asia such as in Japan, South Korea and Thailand became their targets.


"Fan Pan Thae" offers special mechanics, which is a term describing copyrighted format in TV shows such as the contestant must answer a question in three minutes after seeing a picture, or guess who or what is behind the puzzles. Production companies can attract sponsors and advertisers by using topics related to their goods and products in the show.


Although Workpoint Entertain-ment cannot disclose the value of the deal for "Fan Pan Thae", normally the company quotes US$1,000-$10,000 (up to Bt316,000) per episode. The consultant fee is excluded. The client company also buys an average of 13 episodes per deal.


"Though the overseas market for exporting local formats seems to be difficult, there is more challenge and room to grow," he said.


Government bodies should lead and support local content producers to join international trade fairs or help conduct roadshows to high-potential markets like the US and Europe, Chalakorn said.


Octagon Entertainment Prod-uctions and Los Angeles-based Smoke & Mirrors Creative reportedly are introducing "Fan Pan Thae" to the US audience under the working title "Obsessed".


"With over 450 episodes already produced for the international market, we know that this draws on a broad array of topics, information and challenges with proven success in attracting a broad audience with richly diverse contestants," David Stanley, head of Octagon's new production division.


Darryl Trell and Howard Kitrosser of Smoke & Mirrors, said: "We have several interested buyers and are recruiting contestants and potential hosts for a pilot."


"Fan Pan Thae" builds much of its fame from the innovative concept. Each week unique characters, all with a shared obsession, are given impossible questions and inconceivable tasks. Using one of their five senses, they will rely on their ability to recognise pictures, solve puzzles and identify mystery objects as they compete for the prize if they can prove they really are the ultimate "hardcore fan" of everything from motorcycles to Barbie dolls in areas as diverse as sports, music, history, literature, science, geography and pop culture.




WATCHIRANONT THONGTEP
THE NATION July 19, 2012 1:00 am

Free-TV operators concerned over copyright implications of must-carry rule

While the TV broadcasting industry's opinion on the draft must-carry rule is generally positive, free-TV operators expressed concern yesterday that it might lead to their being faced with copyright-violation problems.


Their concern was aired at a public hearing on the must-carry draft at Bangkok's Century Park Hotel, organised by the National Broadcasting and Telecommunication Commission (NBTC) on Monday 16, 2012.


Speaking as the representative of the six free-TV channels, Surin Krittayaphonphun, executive vice president at BEC, suggested that the draft should specify that passed-through programmes should comprise the same content as that which is aired in real time.


Transmission should not be allowed to result in copyright violation, while cable- and satellite-TV operators passing through such content should not be permitted to use it for commercial purposes, he said.


The country's current free-TV channels are BEC's ThaiTV3, the Army's TV5, BBTV's Channel 7, MCOT's Modernine TV, NBT and Thai Public Broadcasting Service (ThaiPBS).


Surin added that the six broadcasters were concerned about their existing terrestrial broadcasting rights, and would consider it to be a copyright violation if such copyrighted content were to be transmitted via other media channels such as cable and satellite TV.


To prevent such a problem, Surin said his company would revise its existing copyright contracts for broadcasting imported TV series and shows.


Meanwhile, Wichit Auraree-vorakul, executive adviser of the Thailand Cable TV Association, said the NBTC should allow free-TV operators to extend their broadcasting service from terrestrial to cable and satellite services, if necessary.


In response to the copyright concern expressed by free-TV operators, Natee Sukonrat, chairman of the NBTC's broadcasting committee, insisted that the must-carry rule would not violate copyright restrictions as it had already been jointly acknowledged and accepted that cable-and satellite-TV receivers were considered to be conventional TV antennas.


He said that under the must-carry rule, the NBTC was aiming to implement universal service obligation in the broadcasting industry, as transmission frequencies for radio or television broadcasting and telecommunication are considered national resources for the public interest.


Therefore, free-to-air TV operators must be responsible for providing public broadcasting services across the country on any platform, he said.


Moreover, those companies that hold media rights must be aware of this regulation before striking any deals with free-TV operators, he added.


The must-carry rules are expected to be imposed on both existing analog terrestrial television channels and coming digital services.


Once the NBTC issues licences for digital TV broadcasting, network providers must carry public broadcasting services, such as NBT and ThaiPBS. However, network providers will be able to select commercial channels voluntarily.


After this public hearing, the revised must-carry draft will be submitted for NBTC approval tomorrow, before the regulation is announced in the Royal Gazette.


WATCHIRANONT THONGTEP
THE NATION July 17, 2012 1:00 am

Thailand's ad spending in first half jumps 6% year on year

Advertising expenditure in the first half this year saw a 6-per-cent surge to Bt56.47 billion from Bt53 billion in the same period last year, a media survey by Nielsen (Thailand) found. 


 But ad spending via magazines continued to decline, by 13.82 per cent to Bt2.43 billion from Bt2.82 billion in the same period last year. 


 Nielsen reported that in the first six months advertisers spent the most on television at Bt32.98 billion, a 1.5-per-cent rise from Bt32.49 billion last year. This was followed by newspapers with Bt7.46 billion, a 4.38-per-cent increase from Bt7.15 billion; cinemas both in Bangkok and upcountry with Bt5.44 billion, a 63.25-per-cent spurt from Bt3.33 billion; and radio with Bt3 billion, a 5.23-per cent rise from Bt2.86 billion in the first half of last year. 


 The big jump in spending via cinemas was due mainly to an increase in movie screens, since 15 new cinemas were launched at Mega Bangna, eight at Terminal 21, 11 at CentralPlaza Grand Rama 9, and 11 in the provinces in April. 


 Meanwhile, advertising via outdoor media rose 6.06 per cent to Bt2.24 billion from Bt2.11 billion and transit media saw a 6.6-per-cent increase from Bt1.34 billion from Bt1.25 billion in the first half of last year. In-store media also witnessed a 56.34-per-cent surge to Bt1.25 billion from Bt808 million, while new media such as the Internet saw a 25.55-per-cent spurt to Bt285 million from Bt227 million.


 In the first half of this year, Unilever (Thai) Holding was the biggest advertiser, followed by Toyota Motor Thailand, Coca-Cola (Thailand), Total Access Communications, Beierdorf (Thailand), Procter and Gamble (Thailand), Tri Petch Isuzu Sales, L'Oreal (Thailand), Nestle (Thai) and Advanced Info Service. 


 Advertising expenditure in June alone jumped by 11.38 per cent to Bt10.11 billion from Bt9.08 billion in the same month last year, largely from automotive business such as Toyota and Mazda passenger cars, Isuzu pickups and Honda motorcycles. 


Another factor that reportedly boosted last month's ad spending was the live broadcasts of the Euro 2012 soccer tournament and related sports marketing activities.

 WATCHIRANONT THONGTEP

 THE NATION July 11, 2012 1:00 am 

Thailand's Broadcasting Watchdog Agrees 'Must Carry' TV Broadcast

The National Broadcasting and Telecommunication Commission of Thailand

In a bid to ensure that almost 7 million satellite-TV viewers have access to live broadcasts of the Summer Olympic Games in London, the National Broad-casting and Telecommunication Commission (NBTC) yesterday approved "must carry" rules, which will be put before a public hearing on July 16.


The aim is to announce the regulations in the Royal Gazette before the Games begin on July 27.


Of 22 million households nationwide, about 6.8 million that watch free-TV programmes via satellite receivers are currently at risk of missing out on the Olympics after TV Pool and the Public Relations Department's National Broadcasting Television (NBT) said they had acquired the rights from the Asia-Pacific Broadcasting Union (ABU) to broadcast using a terrestrial signal only.


The TV Pool comprises |BEC's ThaiTV3, the Army's TV5, BBTV's Channel7 and MCOT's Modernine TV.


"The coming must-carry rules will considerably guarantee Thais' basic right to access all free-to-air TV content in the Kingdom, without any conditions," Natee Sukon-rat, chairman of the NBTC's broadcasting committee, said.


With the panel having approved the draft rules, they will go before a public hearing at Century Park Hotel during the afternoon of July 16. The revised draft will then be submitted for NTBC approval on July 18, before the regulations are announced in the Royal Gazette.


Under the must-carry rules, transmission frequencies for radio or television broadcasting and telecommunication are considered national resources for the public interest.


Therefore, free-to-air TV operators must be responsible for providing public broadcasting services across the country on any |platform.


Moreover, those companies that hold media rights to such events as the quadrennial Euro soccer tournament must be aware of this regulation before striking any deals with free-TV operators.


The must-carry rules are expected to be imposed on both existing analog terrestrial television channels and coming digital services.


Once the NBTC issues licences for digital TV broadcasting, network providers must carry public broadcasting services, such as NBT and ThaiPBS. However, network providers will be able to select commercial channels voluntarily.


Meanwhile, Supinya Klangna-rong, the NBTC member in the watchdog's subcommittee for consumer protection, has discussed the issue with Prime Minister's Office Minister Woravat Auapinyakul, whose office is responsible for overseeing NBT, in a bid to open negotiations with the ABU over extending the current rights or acquiring further rights to broadcast via satellite TV, if needed.


Speaking as chairman of TV Pool, Lt-General Chatchai Sari-kulya, president of the Royal Thai Army Radio and Television Station, last week confirmed that the pool would bring the main live competition during the Olympics to all Thais, as its members had done four years ago when the Games were held in Beijing.


In a separate matter, the NBTC's broadcasting committee yesterday also approved the draft authority to import, produce and distribute set-top boxes to pay-television operators, as well as draft regulations governing licences for digital terrestrial broadcasting for three types of licences - for providers of infrastructure, networks and services.


Natee said the two drafts would go before a public hearing soon, and would come into effect within the next couple of months.


WATCHIRANONT THONGTEP
THE NATION July 10, 2012 1:00 am

Thailand-based GMM Grammy faces challenges despite Euro 2012 boon

Although its live broadcasts of the Euro 2012 soccer tournament created large profits, Thailand-based music and entertainment giant GMM Grammy faces challenges, particularly for its coming pay-TV services, according to a media analysis.


GMM Z, the satellite broadcast unit of GMM Grammy, plans to launch exclusive content to spur another 1 million sales of its set-top boxes during the rest of this year after Euro 2012 ended on July 2 with more than a million boxes sold.


Dew Waratangtagoon, managing director for platform strategy at GMM Z, told The Nation that in the middle of this month, the company would launch new exclusive content to be screened on its three special channels: GMM Z Hits, GMM Z Theatre and GMM Z Genius. Customers will get access to these channels for free.


Though Dew declined to provide details about this new content, he said he strongly believed the material would be adequate to retain its existing customers as well as lure new ones.


The company has retained its sales target of 2 million set-top boxes by the end of the year. Revenue from selling another 1 million boxes will mainly be offset by the cost of operating cost the exclusive channels.


Dew said the company's new pay-TV service might be launched in the final quarter of this year but would be offered as an a-la-carte package under prepaid conditions.


In a previous interview, Thana Thienachariya, chief executive officer of GMM Z, said his company would offer prepaid service to registered customers who want to access pay-TV content on its 10 special channels. For example, the package that costs Bt300 monthly offers five or six sports channels, and the package that costs Bt200 monthly offers four entertainment channels. With this new service, the company expects to have 100,000 subscribers by the end of this year, said the CEO.


However, GMM Grammy might revise its strategy for pay-TV services after its rival RS launched its "Sunbox" satellite TV set-top boxes, which will allow each buyer to access live coverage of La Liga, the most popular soccer league in Spain, from the 2012-13 through 2015-16 seasons.


Under RS's aggressive marketing effort, it aims to have 500,000 subscribers by end of the first season of La Liga by offering a Bt1,200 annual subscription fee, calculating that its customers pay only Bt100 a month.


An analysis by Kiatnakin Securities found that with the strong competition, GMM Grammy would face another challenge in the pay-TV business as its operating cost for its exclusive channels is about Bt1 billion a year.


Though GMM Grammy might see a surge in its results for the second quarter of this year due to the Euro 2012 soccer tournament, the second half cannot be predicted, as so far its pay-TV service via GMM Z box remains unclear, according to the analysis.


Additionally, Kiatnakin estimated that GMM Grammy would enjoy about Bt200 million to Bt300 million in profit from the 1 million to 1.1 million set-top boxes sold during Euro 2012, lower than the target of 1.5 million boxes. In the meantime, GMM Grammy probably gained revenue from sponsorship of about Bt300 million to Bt400 million.


WATCHIRANONT THONGTEP
THE NATION July 9, 2012 1:00 am

EURO LICENSE DRAMA TURNS THAI FOOTBALL FANS TO ONLINE STREAMING

Summary Info

- Online viewership increases by 22 percent compared to Euro 2008

- Nationwide Euro live broadcast TV ratings declines by almost 25 percent from 2.23 in 2008 to 1.68 in 2012; while "Big Match”: England versus France is the most-watched

- "The Red Fury" receives the most "buzz" owning more than a quarter of all online mentions of football teams in a span of a month

According to Nielsen TV Ratings, the most-watched match during Euro 2012, surprisingly, was not the final between Spain and Italy, but an all-time favourite England versus France on June 11 with the ratings of 4.05. The final came in second at 2.99. Overall TV ratings for Euro 2012, excluding viewership via GMMZ box, clocked in at 2.73 in Greater Bangkok, whereas nationwide ratings declined to 1.68; both numbers showed a significant drop of 15 percent and 25 percent respectively compared to previous Euro cup ratings in 2008.

“The Red Fury” Spanish football team received the most mention on Thailand’s online platform, owning more than 25 percent of all conversations about various football teams in the Euro Cup 2012. Italy, the Euro runner-up, also came in second at 20 percent, followed by England and Germany at 17 percent.

"Due to increased limitations in television broadcasting of Euro 2012, Thai football fans had no choice but to get creative and start looking for other alternatives. This is where mobile and online services come in handy," commented Sinthu Petrarat, Nielsen's Managing Director of Media. "Given that this Euro cup situation has, one way or another, educated Thai consumers of various connectivity and multimedia functions on their devices - be it Internet TV or Mobile High-Definition Link (MHDL), with the right marketing plan and infrastructure support, it is possible for online content providers to become one of the broadcasting contenders during the World Cup in two years."

According to Nielsen Smartphone Insight study, close to 25 percent of smartphone users in Thailand are already watching television or video content at least once a month via their mobile phones. Moreover, seven out of ten Thais are planning to buy an Internet television by the end of 2012.

The complications surrounding Euro 2012 television license significantly pushed online viewership up during the football tournament compared to the previous Euro 2008; while the Spanish football team received the most online buzz yet lost the TV ratings battle to England-France match, according to a recent Nielsen survey.

Resorting to online broadcasting, 22 percent more of Thai consumers, compared to 2008, bypassed television black screen phenomenon and viewed Euro 2012 football matches through content streaming via websites. Not only online sites were seeing a surge of visits, content viewing via mobile phones also increased during the football tournament by 20 percent compared to four years earlier. Nevertheless, although television viewership was affected by the dispute, it remained Thailand's undisputed dominant viewing platform during Euro 2012 with the reach of 46 percent of all Thai households with television.

According to Nielsen TV Ratings, the most-watched match during Euro 2012, surprisingly, was not the final between Spain and Italy, but an all-time favourite England versus France on June 11 with the ratings of 4.05. The final came in second at 2.99. Overall TV ratings for Euro 2012, excluding viewership via GMMZ box, clocked in at 2.73 in Greater Bangkok, whereas nationwide ratings declined to 1.68; both numbers showed a significant drop of 15 percent and 25 percent respectively compared to previous Euro cup ratings in 2008.

“The Red Fury” Spanish football team received the most mention on Thailand’s online platform, owning more than 25 percent of all conversations about various football teams in the Euro Cup 2012. Italy, the Euro runner-up, also came in second at 20 percent, followed by England and Germany at 17 percent.

"Due to increased limitations in television broadcasting of Euro 2012, Thai football fans had no choice but to get creative and start looking for other alternatives. This is where mobile and online services come in handy," commented Sinthu Petrarat, Nielsen's Managing Director of Media. "Given that this Euro cup situation has, one way or another, educated Thai consumers of various connectivity and multimedia functions on their devices - be it Internet TV or Mobile High-Definition Link (MHDL), with the right marketing plan and infrastructure support, it is possible for online content providers to become one of the broadcasting contenders during the World Cup in two years."

According to Nielsen Smartphone Insight study, close to 25 percent of smartphone users in Thailand are already watching television or video content at least once a month via their mobile phones. Moreover, seven out of ten Thais are planning to buy an Internet television by the end of 2012.

Source: Press Release by Nielsen (Thailand), 5 July 2012 

Thailand: Nielsen plans new TV-audience measurement survey

To open a new chapter in the advertising and broadcasting industry, Nielsen (Thailand) is launching a television audience measurement survey for cable and satellite TV.

"The new television audience measurement, to be kicked off today, will be added both in the national database [or TV rating database] and analytical reports divided by channels," managing director Sinthu Peatrarut said last week.


The cable and satellite TV industry has been operating in the country for more than a decade. The first turning point came in 2006, when the Public Relations Department - which was responsible for granting and renewing broadcasting licences for cable and satellite TV stations - agreed to let them show up to six minutes of commercials per hour to help them operate a sustainable business.


Penetration grew sharply from 2006-10 and last year hit 50 per cent or 20 million households. This includes TrueVisions and cable and satellite TV. Some advertisers also began spending on those media outlets. Besides the change in broadcasting regulations was the sharp fall in the prices of KU- and C-band satellite dishes and set-top boxes. This coincided with affordable LCD TV sets entering the market.


Nielsen has been conducting establishment surveys with a sample size of 6,000 to monitor the trends in the cable and satellite TV business for 12 years. After witnessing a big jump in penetration over the last five years, Nielsen embarked on a pilot project last year to design a proper TV audience measurement for cable and satellite operators to ensure that advertisers can have confidence in allocating budgets to these media outlets.


This can be considered as a big step forward for the industry, where cable and satellite TV operators, advertisers, advertising agencies, content producers and providers can officially trade common currency in the Kingdom. Nielsen uses advanced people-meter measurement technology to gauge the viewing habits of cable and satellite TV audiences. It will detect from satellite frequencies when people tune in and watch each channel. This will be a part of the measurement.


Once the National Broadcasting and Telecommunications Commission grants licences for digital terrestrial TV developers and operators and they begin running programmes, the firm will promptly apply this technology to digital terrestrial TV broadcasting.


Ad spending via cable and satellite TV is about Bt3 billion, equivalent to only 5-6 per cent of Bt60 billion via free TV - ThaiTV3, channels 5 and 7, Modernine TV and NBT.


Although cable and satellite TV stations have their own rating measurement, that does not mean that ad spending from free TV will be allocated to both platforms as much as their penetration grows, due to two key factors. One is the affordability of satellite TV dishes and sets and cable TV sets and the quality of TV programmes and the other is the progress to full penetration or closer to the current state of free TV.


According to the latest survey of Nielsen Thailand, the country has more than 500 satellite TV channels and more than 300 cable TV channels.


WATCHIRANONT THONGTEP
THE NATION
April 2, 2012 

Ad firms turn to social networks in Thailand

Seeing increasing potential in the digital arena in Thailand, leading global advertising and communication agencies are looking at recruiting and nurturing young talent to increase brand engagement with social-networking consumers. 


Though Thailand is experiencing a rapid rise in the number of Internet users via personal computers and smart devices, return on investment in online media remains low. Creating brand engagement and interaction with target customers would be valuable for digital advertising agencies in Thailand, as elsewhere in the world. 


Nick Brien, chairman and chief executive officer of McCann Worldgroup, said his firm was planning to launch a “McCann Social Central” in Thailand this year. This unit, which kicked off in New York, is meant to be a hub for a global network of social thinkers, experimenters and doers. 


A Facebook service is one of McCann Social Central's offerings, which involves three key steps. First is storytelling for brand development, timeline design |and experience, content strategy and development and content creation. Second is brand timeline management including community management, content or story amplification, and insight and performance management. 


The final step is customer engagement. Meanwhile, Y&R, a full-service advertising agency and member of the world's largest communications service group WPP, is planning to launch a program called “Spark Plug” in its Bangkok office this year to understand local insights and capitalize on the reform of digital technology in the country. 


David Sable, global CEO at Y&R, said: “This is part of Y&R's ambition to strengthen our local boutiques in Asia, where we see the fastest growth in the global advertising industry.” The program was recently launched in Singapore and will be kicked off in Thailand some time this year. Under this program, the agency will provide working areas at its office for local entrepreneurs with appropriate talent in the digital and telecommunications business. 


By Watchiranont Thongtep, 
The Nation 
April 11, 2012

Thai Cinemas see growth in ads

A leading cinema operator predicts an increase of at least 15 percent in advertising earnings at theaters across Thailand this year, after a positive first-quarter performance.

According to a Nielsen survey, ad earnings by cinemas in the first three months rose 37.35 percent year on year to 2.1 billion baht (US$68.3 million). This expenditure was ranked the third largest in ad spending, after television commercials with 15.9 billion baht ($517.4 million) and newspaper ads with 3.7 billion baht ($120.4 million).

Niti Pattanapakdee, general manager at Major CineAd, a subsidiary of Major Cineplex Group – the country's largest cinema chain – told The Nation that his media agency was responsible both for selling ad space and TV commercials in theaters, as well as organizing events for film sponsors and product owners.

Major CineAd manages advertising and events at all branches of Major Cineplex Group, namely Major Cineplex, EGV Cinemas, Paragon Cineplex, Paradise Cineplex, Esplanade Cineplex and Mega Cineplex.

Niti said that with the parent's more than 400 screens across the country, the agency's ad earnings accounted for 70 percent of overall cinema ad spending.

The company expects that this year cinema ad billings will see at least a 15-percent increase over last year's level.

He said there were two key contributing factors driving this year's billings. First, there are numerous international and local blockbuster films in the pipeline, which makes it easy to attract movie-goers and make money.

"I would say a film that generates more than 100 million baht ($3.25 million) in revenue could attract more than a million viewers. This number of eyeballs is big enough to make advertisers and product owners confident about spending marketing budgets through cinemas," he added.

Second, advertisers and media buyers are looking to new media that can access the young generation and first-jobbers, and cinema ads are among such high-potential media.

Besides businesses, government agencies such as the Energy Ministry and Thailand Tobacco Monopoly are also increasingly advertising via cinemas.

Additionally, with the focus on business expansion upcountry, cinemas will become more of a mass-media channel, providing yet more room for growth, said Niti.

In an earlier interview, SF president Suwat Thongrompo said his company had earmarked about 800 million baht ($26 million) for 30 to 40 new cinemas in five provinces: Suphan Buri, Ubon Ratchathani, Maha Sarakham, Surat Thani and Udon Thani.

SF currently runs more than 260 cinemas across the country – 126 of them in Bangkok – under the SF World Cinema, SFX Cinema and SF Cinema City brands.

It also operates SF Strike Bowl and SF Music City.

Of the total, 30 per cent are digital cinemas.

SF recently partnered with Suzuki Motor (Thailand) in promoting the new Suzuki Swift eco-car through its cinemas across the country this year.

By Watchiranont Thongtep 

The Nation

05/02/2012