Arab TV broadcasters to find their niche



The Arab television market is set to launch more 'niche' stations, according to a regional media consultant.

More channels geared towards specific countries and demographics are set to grow the industry, according to Jayant Bhargava, a principal at the consultancy Booz & Company.

While satellite-TV is dominant in the region, Mr Bhargava says television distributed via the web - such as internet protocol television (IPTV) and over-the-top (OTT) services - are also gaining ground.

The National asked Mr Bhargava for his predictions for the TV market in 2012.

Q. Will advertising revenues in the Arab world rise or fall in 2012?

While the overall trend for TV advertising is positive, the ad market is expected to remain flat in 2012, with a possibility for a slight decline.

Q. What will be the most important trends driving the industry this year?

The Middle East broadcast sector has seen a gradual evolution from general entertainment stations towards local thematic channels (drama, movies et cetera) over the last few decades.

The next stage of this evolution would be demographic segment orientations such as women- or youth-focused channels. In addition, we will also see a rise in non-linear viewing - such as video on demand and time-shifted television - as IPTV and OTT distribution channels becomes more mainstream.

Q. Two Arabic-language TV-news stations - Alarab and Sky News Arabia - are set for launch this year. Do you think there is room for more TV stations in the market?

Over the past few years, big broadcast networks have consistently launched channels to enhance overall reach of their portfolio. While the pan-Arab TV market remains quite crowded and fragmented, this trend is expected to continue, wherein there will be new launches with niche innovative propositions by the big broadcasting groups.

In addition, the trend of international channel launches should also continue, albeit at a slower pace. This trend should be accompanied by potential closures of low-viewership channels with outdated propositions.

Q. Many Arab TV stations are pan-regional, with no localised advertising. Do you see that model changing this year?

Pan Arab TV stations are beginning to introduce market-specific pricing for local advertisers to increase utilisation of inventory. This is most valid for inventory on non-prime time slots or for second-tier stations. The advent of IPTV also provides a good opportunity for top broadcasters to introduce geo-targeting and local market specific ad inventory.

Q. Is there space in the market for more localised TV stations?

It depends from market to market. In some markets like Kuwait and Egypt, local TV has thrived, providing stiff competition to pan-Arab stations. Many markets such as Qatar and UAE still lack strong local TV channels to provide local advertisers with local reach with minimal spill over.

Launch of high-quality local stations in such markets could result in overall spike in TV advertising as local marketers could substitute television over other local advertising platforms such as newspapers or outdoor.

In numbers

1,000 tonnes of waste collected daily:

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Two conveyor lines treat more than 350,000 tonnes of waste per year

25 staff on site

 

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Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille

Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm

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Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”

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TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013 

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