Free-To-Air TV channels’ market in the Czech Republic, once traditionally dominated by local television groups, has now piqued the interest of multinational giants such as AMC Networks and Warner Bros. Discovery. AMC Networks made their entry into the Free-To-Air TV market last year with their launch of Spektrum Home, a channel dedicated to home, living, and gardening. This year, Warner Bros. Discovery followed suit with Warner TV, granting the Czech viewers movies and series from the Warner Bros. production. Why do the multinational TV conglomerates, formerly exclusive to the Czech Pay-TV channels’ market, suddenly venture into the realm of Free-To-Air channels? What kind of benefits do these channels actually bring them? And what lies ahead in their future on the Czech TV market landscape?
Transition to DVB-T2 and the outcomes of the WRC-23 World Radiocommunication Conference both succinctly explain why do these multinational groups now penetrate the Free-To-Air TV channels’ market. The shift to DVB-T2 has opened up opportunities and paved the way for new Free-To-Air channels, which both players effectively seized upon. Moreover, the World Radiocommunication Conference has assured these, as well as other players, that terrestrial broadcasting will remain unimpeded until at least 2031.
Goal: To Reach Out to the Entire Czech TV Audience
Let’s explore the second question – what do these Free-To-Air channels offer the global heavyweights such as AMC Networks or Warner Bros. Discovery, who have both already been significant players on the Czech market for many years. AMC Networks does run a diverse lineup of Pay-TV channels, with six of them included in the official audience measurement (AMC, Film+, Minimax, Spektrum, Sport 2, TV Paprika), while Warner Bros. Discovery boasts nearly twenty Pay-TV channels, including three which are being officially measured (Discovery Channel, Eurosport 1, TLC).
Both players’ Pay-TV channels have so far been able to reach approximately half of the Czech TV population – according to our recent Atmedia Index survey research study, Pay-TV is specifically being used by 57% of Czech TV viewers aged 15–69. However, these players had not been able to reach out to the other half of the Czech television audience, who exclusively watch Free-To-Air channels. That is precisely why AMC Networks and Warner Bros. Discovery launched their Free-To-Air TV channels – to reach the entire Czech TV population. Moreover, these channels also enable them to connect with Czech viewers in a new and more personalised manner. While Pay-TV channels often broadcast the same content across multiple markets, Free-To-Air TV channels are designed specifically to cater to the Czech audience. These channels curate their content to meet the tastes and preferences of viewers within our unique cultural and social context. This means they often feature carefully selected programming and produce local shows that resonate with Czech viewers.
Free-To-Air TV Channels: Beyond a Mere Marketing Tool
The second rationale behind multinational TV groups launching their Free-To-Air TV channels is primarily driven by a business strategy. Simply put, it is a quite logical move. Firstly, giants like AMC Networks and Warner Bros. Discovery boast extensive libraries of existing content that can be strategically repurposed for their additional platforms. Secondly, Free-To-Air channels do serve as potent marketing tools. They enable these players to effectively promote and bolster their other products – whether we’re talking about their Pay-TV channels or paid VoD services, which have, in recent years, enjoyed a significant traction among Czech audiences. The success of the MAX streaming service only underscores this dynamic. And thirdly, the introduction of new Free-To-Air TV channels also promises a larger market share.
New TV Channels: What Lies Ahead
So what does the future hold for the new Free-To-Air TV channels on the Czech TV market? Do they actually have a shot at success? One critical factor is undoubtedly their audience share, crucial for generating advertising revenue that’d at least cover the cost of broadcasting on digital multiplexes. Despite being newcomers, both Spektrum Home and Warner TV have swiftly carved out a niche and cultivated a loyal Czech audience. However, discerning the future of both TV channels is a multifaceted challenge that requires a panoramic view. Spektrum Home and Warner TV aren’t solitary ventures – they’re integral parts of expansive portfolios wielded by global juggernauts on the Czech TV market. These players span a gamut of products, ranging from Pay-TV channels to coveted VoD services. Both Spektrum Home and Warner TV do perceive their Free-To-Air channels as strategic augmentations to this intricate tapestry, filling a pivotal void that had previously been unoccupied. Their assimilation has the potential to bolster the overarching framework, endowing both entities with a fortified stance in the dynamic Czech media arena.
Michaela Suráková, Managing Director, Atmedia Czech
