ITV Revitalised Strategy
ITV is is the largest commercial broadcaster in the UK and one of the leading vertically integrated producer broadcasters in Europe. In December 2022 ITV relaunched their online service ITV Hub as ITVX in an attempt to bolster their position in the market and target one of their three core strategy pillars “Supercharge Streaming”. ITV have a revitalised strategy to take advantage of their current market position as the advertising, content and viewing market changes around them. The additional two pillars include “Expanding Studios Globally” and “Optimise Broadcast”, with the future strategy including advertising and streaming revenues. Advertising revenues come through linear addressable revenues, AVOD (catch-up related to broadcast and standalone AVOD content including TV series and Movies) and FAST channels.
Supercharging Streaming
Supercharging streaming includes adjustments to their windowing strategy (between on demand and linear), growing their addressable advertising platform (Planet V) and growing users, viewers and subscribers through ITVX. Previously they have invested in their SVOD service Britbox in the UK and this is now absorbed into the Premium subscription offer available on ITVX. In addition to an increased AVOD library (including over 250 movies) and more pre-linear on demand premieres they have launched their own line-up of FAST Channels.
ITVX FAST Channels
The ITVX live experience includes retransmission of ITVs six traditional linear channels plus around 20 dedicated FAST channels. The channels are fully integrated into one platform, with ITV claiming the service also uses data-driven personalisation and targeting.
Since launch in December 2022 there have been a number of channels that have been removed but 14 have remained constant. Notably these include Single IP Channels for three of ITVs most successful Drama series; Midsomer Murders, Vera and the World of Morse (including some of the spin-off shows). Balanced with its Drama output - a big focus of ITVX in all areas - are high profile Entertainment and Reality TV shows, one True Crime channel, one mixed genre Signed channel dedicated to visually signed versions of ITV shows and an ambient mindfulness channel.
ITVX have ‘popped up’ channels over the last few months, with additional channels live in May including dedicated channels for comedy, movie, gameshow and period drama genres, as well as one mixed genre 90s channel.
FAST Channels Categories
Of the 28 channels we have tracked over the last few month over 50% of the channels are scripted TV or Movies, with this number remaining relatively constant over the period. 32% channels have been Single IP, however this grows to 42% of channels live in May 2023.
Excluding the Sign Language and Ambient Meditation channel only two other channels are Mixed Genre, with all other channels either Single Genre or Single IP, with the proposition remaining very focused and clear.
Wrap-up
ITV own all of their FAST channels in the UK currently and it remains to be seen if they will launch additional channels from third party providers in the future. ITVs channels include the Single IP channel for long running drama series Midsomer Murders that has had 23 series on ITV since 1997. In global markets this series has long been a feature of FAST Services, with All3Media International having sold the series in some instances for other operators to use in their channels, and more recently having launched their own version of the channel that they have then distributed to services such as Roku in the US.
ITV’s operation of the Midsomer Murder channel is reflective of the different dynamics potentially facing FAST in markets outside of the US. Outside of the US the Free TV broadcasters can see the growth of FAST in the US market and arguably have more control of the advertiser economy and a greater hold over the rights of key TV shows. All this may contribute to Free TV broadcasters taking a bigger role as FAST grows.
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