TV is not dead, and networks can’t afford it to be
The advertising industry has almost taken the decline of traditional broadcast TV as a given. But Nine’s earnings yesterday show that TV is still alive, and also prove that networks can’t afford to let it die.
Nine’s total TV revenue for the 2023 financial year was $1.2 billion, down 2% year-on-year. Nine has assets across television, publishing and audio – but the TV share was close to 45% of the total group revenue.
Meanwhile, its competitor, Seven West Media, attributed 88% of its group revenue to its TV division Seven Network. Its other assets are limited to WA-based publications.
Media is perhaps the only thing deflationary in an inflationary economic climate.
If media vendors keep fighting for share by discounting, many will be stuffed when the inevitable recession comes around in a year or two.