The recently issued CRTC Broadcasting Policy Monitor Report 2002 indicates a slight increase in total revenue for private conventional English-language TV to $1.52 billion in 2001, almost all derived from the sale of advertising and commercial airtime. Revenues for conventional TV have remained essentially flat since 1998, while revenues for English-language pay, pay-per-view and specialty TV continue to grow steadily, increasing to just over $1.2 billion in 2001, a 17% hike over 2000.
In the case of specialties, close to 40% of revenues comes from advertising, with the balance from subscriber fees. The number of pay, PPV and specialty channels in Canada has increased from 20 in 1996 to 45 in 2001.
Private French-language conventional TV had total revenues of $366 million in ’01, including close to $300 million in advertising. Revenue growth has averaged 4% a year since 1996. French pay, PPV and specialty revenues increased to $272 million in ’01 (about 25% from advertising in the case of specialies), an 18% increase from $230 million in 2000. The number of services in ’01 was 16.
The profit margins for English conventional TV appear to be steadily in decline, while new growth is coming from pay, PPV and specialities. Aggregate profits before interest and taxes (PBIT) declined from 14% in 2000 to 3% for conventional TV in ’01, while PBIT for pay, PPV and specialties hovered around the 18% to 19% level for both 2000 and 2001.
The CRTC report includes detailed information on eligible Canadian programming expenditures in all genre categories for private and specialty TV, CBC and Radio-Canada. The report also includes listings indicating the number of subscribers, total revenues and profit margins for all English- and French-language specialty channels.
The top English specialties by revenue in the 12-month period ending Aug. 31, 2001 are The Sports Network ($170.9 million), Rogers Sportsnet ($81.9 million), YTV ($78.5 million), CBC Newsworld ($64.3 million), Discovery Channel ($52.6 million), Teletoon ($48.7 million) and MuchMusic ($41.8 million).
The top French specialties by revenue in the same period are Reseau des Sports ($58.9 million), Reseau de l’Information ($39.8 million), lifestyle channel Canal Vie ($23 million), Canal D ($22.3 million), youth service VRAK-TV ($16 million), TV5 ($15.3 million) and MusiquePlus ($14.2 million).
The 130-page Broadcasting Policy Monitor Report measures the evolution of the Canadian broadcasting system in all aspects including TV, broadcast distribution, radio, the Internet and social issues.
-www.crtc.gc.ca