Development trend of TV advertising media

I. Potential competition between CCTV and provincial satellite stations;

I) CCTV advertising volume rose in absolute terms and declined in relative terms.

CCTV's advertising revenue climbed from 4.1 billion in 1998, reaching 5.36 billion in 2000, 6.45 billion in 2002, and surpassed the 8 billion mark in 2004, with a net increase of 1,001.43 million from 2003, reaching 8.6 billion in 2005.

On November 18, 2006, CCTV's 2007 advertising tender for prime resources (CCTV-1 News, Weather Forecast and Focus Interview) drew to a close with a total of 6.79562 billion yuan. This was a net increase of 925.86 million yuan, or 15.77%, from the high base of 5.869 billion yuan in 2006.

While the total advertising volume of CCTV has continued to rise, the growth momentum is not as strong as it was in recent years due to provincial satellite TVs, and the proportion of CCTV's advertising revenue in the national TV advertising revenue has been declining year by year.

Hunan TV's advertising revenue in 2008 ironically exceeded 1.5 billion yuan, and the expected revenue in 2009 is 1.8 billion."

1. News

News programs have always been the foundation of CCTV.

However, with the expansion of provincial satellite TVs in recent years and the rise of people's livelihood news, CCTV's dominance in the field of TV news is being shaken.

In 2004, in the national news program viewing market, the combined market share of provincial satellite channels and provincial non-star channels was 31.8%, while the market share of central-level channels was 53.1%.

In 2005, the market share of provincial TV channels and provincial non-superstar channels rose to 34%, while that of centralized channels fell to 48%, a drop of 5 percentage points.

Taking Anhui TV's Economic Life Channel as an example, the channel's average viewership in the 18:30-19:30 time slot in June 2003 was less than 1%, while CCTV's average viewership in this time slot was basically more than 15%;

July 2003 Economic Life Channel launched the "First Time" program in the 18:30-19:30 time slot.

In July 2003, the Economic Life Channel launched the program "First Time" at 18:30-19:30, with an average viewership of 26% in Hefei, and an annual advertising revenue exceeding RMB 50 million, while CCTV's average viewership in Hefei dropped to about 8%.

In the Shanghai TV market, local Shanghai TV stations continue to strengthen their news programs, grabbing 72.4% of the local audience share of news/current affairs programs, with CCTV holding only 22.9% of the audience share.

In the Suzhou market, Suzhou TV's five channels had a total market share of 43% throughout the day, while its market share was as high as 53% in the evening prime time slot of 18:30-22:30. CCTV's local market share in Suzhou is only about 25 percent.

2. TV series

Before 2003, CCTV's share of the TV series market was not satisfactory, with TV series contributing less than 14% of CCTV's viewing hours.

"Theaterization" strategy

After CCTV revamped a set of programs in May 2003 and September 2004, it took "theaterization" as the main direction of CCTV's restructuring, and greatly expanded the broadcasting time of TV dramas.

The revamped CCTV set opened four major theaters every day, and increased the number of prime-time evening dramas from one to two episodes per day.

In May 2005, CCTV 8 expanded its evening prime-time theater to three consecutive episodes and its morning theater to six consecutive episodes, which made many big dramas, high-quality dramas and other high-quality TV resources concentrated on CCTV.

CCTV, in accordance with the operational idea of "channel specialization" to "channel branding", has built up the degree of specialization of the eight all-day theaters and the channel as a whole, increased the brand value, and established the position of the first brand in the TV drama ratings competition.

By 2006, six of CCTV's 16 channels were broadcasting TV dramas of varying lengths.

"Exclusive Drama" Strategy

In March 2005, CCTV began to plan its "exclusive drama" strategy. In October of the same year, CCTV's TV drama channel aired the first exclusive drama in the history of Chinese television, "The Lotus Lantern".

According to CSM's National Gauge, "Baolian Lantern" achieved a nationwide average rating of 5.43%, accounting for 14.6% of the time slot's audience share. During the broadcast, CCTV-8's overall ratings share for the whole day exceeded 10%, setting an all-time record.

In 2005, CCTV broadcast CCTV's second solo drama "Beijing Smoke and Cloud" on CCTV-1, with an average rating of 8.21%, accounting for 21.0% of the time slot's audience share, and the highest single-episode rating was as high as 12.6%, which drove CCTV's overall audience share to remain high at more than 36% for three weeks in a row.

After the Spring Festival in 2006, CCTV Comprehensive Channel launched CCTV's third exclusive drama "Qiao Jia Da Yuan", which took up 18.7% of the time-segment ratings market with an average rating of 7.83%.

The strategy of "exclusive dramas", which gathers the best resources under one banner, is actually a kind of "the strongest is always strong, the strongest eats all" approach, which will greatly squeeze the survival space of the weak and the small.

In 2005, in the TV drama competition, CCTV purchased TV dramas at a cost of up to 700 million yuan, such as CCTV's purchase of the exclusive broadcast of "Beijing Smoke and Mirrors" at a price of 730,000 yuan per episode, for a total of 35 million yuan, which is several times more than the average drama;

Some of the stronger provincial TV stations also invested more than 100 million yuan in their TV dramas.

In 2006, both Anhui and Zhejiang TV stations purchased TV dramas that were claimed to cost upwards of 200 million yuan.

The high threshold of capital investment excludes the relatively weak TV stations from the "exclusive drama" market.

With the development of the strategy of "exclusive drama", some local TV stations that are unable to bear the heavy burden of costs will further lose their viewing space, while the possibility of local TV channels surviving and growing in the TV drama market is very slim, and the competition in TV dramas will see a "Matthew effect" in which the strong will become stronger and the weak will become weaker. "

The TV channels will lose their viewership space.

The "exclusive drama" strategy is not an invincible weapon.

In 2006, Zhejiang Satellite TV purchased the national exclusive broadcasting rights of the ancient costume drama "Legend of Strife" at a high price of 800,000 yuan per episode, totaling 32 million yuan, in an attempt to catch up with Hunan Satellite TV and Anhui Satellite TV. But AC Nielsen's data show that during its premiere, "The Legend of Strife" received only 1.6 percent of the audience in Hangzhou, and even less than 1.0 percent in other areas.

The low ratings contrasted with the cost pressure of 1.6 million yuan per day, making Zhejiang Satellite TV the first victim of China's "exclusive drama" strategy.

Hunan Satellite TV and Anhui Satellite TV, the strongest media, reached a strategic cooperation agreement to swap exclusive dramas to reduce the risk of exclusive dramas.

For example, Anhui TV aired the Taiwanese idol drama "The Marriage of Heaven" in mid-August, which Hunan TV ceded the TV premiere rights to.

Through the cooperation, effective integration of resources will be realized, further consolidating the leading position of the two sides in local TV, posing a more threatening challenge to CCTV. At the same time, the exchange of resources is conducive to the two TV stations to reduce costs, rich sources of drama, in order to resource *** enjoy the way to maximize the utility of resources.

(2) The rise of provincial TV stations

They are striking out across the region, making the region, the whole country and even the world their target markets.

Taking CCTV's weak points as breakthroughs, they constantly launch flanking attacks on CCTV's weaknesses or blind spots.

According to CCTV-Sofre's data, from January to July 2006, Hunan Satellite TV's audience share was 2.58%, ranking third among all satellite channels in the country, after CCTV 1 and 5, and ranking first among provincial satellite TVs with absolute advantage. Anhui TV ranked second with a share of 1.27%, only half that of Hunan TV, and in third place was Beijing TV with a share of 1.05%.

Shanghai Media Group's total advertising revenue in 2006 is expected to grow by 10 percent on top of last year's 3.3 billion yuan, while Hunan Radio and Television Group is aiming to realize 1.3 billion yuan in advertising revenue during the year.

1. Hunan Satellite TV - "Going Out" Strategy

In 2003, Hunan Satellite TV changed its name to China Hunan Satellite TV. In 2003, Hunan TV changed its name to China Hunan Satellite TV, trying to realize "national viewership, national coverage, national brand, national influence" and compete for "national market".

Since 2003, Hunan TV has been launching annual national media promotions, gradually focusing on Beijing, Guangzhou and Shanghai from provincial TV stations.

In 2004, Hunan TV took the first step in the domestic television media by holding a 2005 promotion conference in Hong Kong, expanding its advertising target to many enterprises in the economically active Hong Kong. Several Hong Kong companies, including Kyoto Nien Ci'an, have joined the ranks of Hunan TV's advertising sponsors. The Hong Kong Investment Promotion Agency (HKIPA) and the Hong Kong General Chamber of Commerce (HKGCC) have also taken the initiative to invite Hunan TV to set up shop in Hong Kong.

In 2006, Hunan TV's promotional map was expanded to Taiwan.

2. Oriental TV--News Positioning

After Oriental TV started broadcasting in 2003, with the strength of SMG's news station, it broadcasts 17 news programs and 7 hours of news every day, not only Shanghai news, but also national and international news, and has carried out a lot of live news broadcasts and produced a lot of in-depth reports, becoming a provincial TV station. It has made a lot of live news broadcasts and produced a lot of in-depth reports, becoming the first provincial TV station to take a news-oriented approach to TV media with a small amount of success.

In 2006, Dongfang Satellite TV began to make efforts in entertainment programs after SMG integrated its resources! Good Boys", "My Style, My Show" and "Dance Forest Conference" became the three "business cards" of Oriental TV to the national entertainment program market.

3. Anhui TV - "Drama in the World"

Anhui TV spent 200 million yuan in 2006 to increase the purchase of TV dramas with famous editors, directors and actors, especially to increase the number of nationally broadcast and exclusive imported dramas, as well as the exclusive nationally broadcast copyrighted dramas, as well as the introduction of exclusive nationally starred copyrighted dramas.

The evening primetime "Theater One" has arranged 100% of national first-run starring dramas, while the daytime theater has also arranged a high percentage of new dramas.

It has launched exclusive dramas such as "The Chronicle of Leaning Heaven and Dragonslaying", "My Savage Mother-in-law" and "Prince Turns into a Frog", among which "My Savage Mother-in-law" and "Prince Turns into a Frog" were aired in the sub prime time slot, achieving double the same time segment ratings, and coming out on top of the competition for the summer ratings market.

(C) City stations and provincial non-star channels are under attack

Central TV, provincial TV stations and city stations are the three-tier system, and city stations used to be widely favored, as their proximity and locality are unmatched by TV channels.

But with CCTV and provincial TVs soaring, the city stations that were once favored by everyone are gradually marginalized and declining.

The "local first, central later" model of trading and distribution invariably gave city stations the upper hand.

In 2004, TV series accounted for more than 40 percent of all TV programs on city TV stations, as the premieres of many popular dramas were sold to national city TV stations.

Since 2006, CCTV has owned many of the best dramas and no longer sells the second-run rights for them to local stations, reducing the number of excellent TV dramas available to city stations.

The scramble for exclusive broadcasting rights for TV dramas has led to a surge in TV drama prices in the market, which has increased the cost of purchasing films for city stations.

City TV's only advantage today is in livelihood news.

2vImbalanced regional development

The regionalization of China's economic development determines the regionalization of China's media development, and China's TV advertisements have also shown an imbalanced regionalization.

According to data from the SARFT in 2004, there is a clear stepwise distribution of east, middle and west in terms of the total amount of TV station advertising revenue. The eastern region accounted for 58% of the national provincial TV station advertising revenue, the central region accounted for 27%, and the western region accounted for 15%.

1. Beijing-Tianjin-Hebei, Yangtze River Delta, Pearl River Delta Economic Circle--Strong Media forged by Regional Economy

(1) The Beijing-Tianjin-Hebei Economic Zone has 120 million consumer groups, with the market capacity accounting for more than 10% of the national total, making it one of the regions with the largest market capacity in China.

2) The Yangtze River Delta and Pearl River Delta regions are both one of the most economically prosperous regions in China, where consumers have strong brand awareness and acceptance of high-end products. The huge advertising market provides a superior living environment for the media.

2. Moderately Developed Regions

Compared with the three major economic circles, the central and western regions, including Hunan, Anhui, Henan, Hubei, Chongqing, Sichuan, Guizhou and Guangxi, are relatively undeveloped economically and have no political advantages.

The television media in these regions are roughly divided into three categories, where those who are brave enough to make a breakthrough are ambitious, and those who are conservative and bland are confined to the ground.

(1) The brave challengers

One category is represented by Hunan TV and Anhui TV, the pioneers.

Hunan TV has become famous in China through its entertainment programs, and Anhui TV is notable through its movies and TV dramas.

Compared with TV stations in the vast inland area, the success of Hunan TV and Anhui TV can be said to have created the paradox of regional economy determining advertising revenue.

(2) Successful Followers

In August 2005, Chongqing TV repositioned itself from "China's Credible Channel" to "Spicy China Story Channel", and in 2005, Chongqing TV jumped into the top five in terms of advertising spending. In 2005, Chongqing TV's advertisement spending amount jumped into the top five in terms of testing data.

Chongqing TV's excellent performance has made Chongqing TV an active member of China's TV media.

Guangxi, an economically underdeveloped ethnic minority region (16th in GDP in 2003), positioned itself as China's No. 1 women's specialty satellite channel in early 2004.

Weak and weak alliance--Gansu TV and Guizhou TV

In late September 2007, Guizhou TV and Gansu TV joint venture Zhicheng Tonghui Culture Communication Co. The company, which is 51% owned by Guizhou TV, will be mainly responsible for the content and operation of Gansu TV's two channels (Gansu Satellite TV Channel and Gansu Cultural Film and Video Channel) other than news, including advertisement operation, TV drama purchase and promotion

The reasons for the smooth cooperation between Gansu TV and Guizhou TV:

I. Guizhou TV's new program this year, "China's Migrant Workers".

Two, the drive of economic interests.