With The Golf Channel; Goal TV, Neo Sports and Eurosport aiming to make in-roads into the Asia Pacific region, new channels dedicated to individual sports, and digital media, are just two of ESPN STAR Sports’ (ESS) emphases for the coming year. Exactly which other sportsspecific channels can be expected are still under wraps, but ESS’s September 2007- appointed MD Manu Sawhney highlights the success of STAR Cricket, which became the network’s fifteenth channel upon its June 2007 launch in India. The 24-hour cricket channel catering to the Indian market, contributed 28% to a 66.5% combined channel share with sibling ESPN, during the telecast of ICC World Twenty20. STAR Cricket, along with ESPN, achieved TVRs as high as 21+ during the telecast of ICC World Twenty20 and contributed close to 9 TVRs. “Even for female audiences, the channel share of STAR Cricket was higher than all of the general entertainment channels,” Sawhney says. ESPN Star Sports is looking to recoup the US$1.1billion spent on acquiring the rights for the International Cricket Council (ICC) including the next two World Cups. Apart from the ICC, other cricket acquisitions include the England and Wales Cricket Board and Cricket Australia. Asked whether this signals an increasing focus on cricket and India, possibly to the detriment of other sports and other markets, Sawhney points to the other significant rights acquisitions secured in 2007. “India is a very significant market in the region for anyone, but we remain very much a pan- Asian network with pan-regional strengths. The extensive lineup of acquisitions that we have successfully secured is a testimony to our commitment to sports fans across Asia, these include Barclays Premier League (in 22 countries out of 24 in the region); the FA Cup, England Internationals and The FA Community Shield; Australian Open tennis; NBA; MLB; and UEFA Euro 2008 for South Asia.” And ESS boosted its number of channels to 17 in the region, with the August 2007 launch of ESPN Malaysia and STAR Sports Malaysia. New original programming initiatives in the region include the launch, in conjunction with Malaysia’s Ministry of Youth and Sport (KBS), of ESPN’s fifth localized version of SportsCenter. On STAR Sports, Caltex Score Today enables news-hungry sports fans to catch the overnight action from around the world every morning; and ESS announced its collaboration with Electronic Arts on cyber-gaming program Game. Fans are offered the opportunity to demand what they want to see via interactive offerings Paula’s Perfect 10 & Jamie’s Greatest Hits; while Score Tonight is an half-hour entertainment-focused sports news bulletin offering Asian viewers thorough coverage of the latest scores and results. “Sports is very unique,” explains Sawhney, “not only from a programming point of view – in that is has very unique scheduling challenges, such as when a match goes to extra time, or a major event is rained off. But also in the uniqueness of the fans’ passion and desire to consume the content, which is why we are focused on serving the fan any time, any place via any pipe and any device. The lines between platforms are blurring, disappearing, so fast that we don’t have the luxury to sit back and think just in terms of TV any more.” Favoring the term digital, rather than ‘new’, media, December 10, 2007 saw the launch of STAR Sports Mobile, an extension of ESS’ mobile service offering. mobileESPN was launched in Asia May 2006, in the run-up to that year’s FIFA World Cup soccer finals. The service is currently available to 78.3million subscribers via eleven mobile operators in the region. Indonesia became the first market to gain access to STAR Sports Mobile with the launch of SPORTesia, PT Bakrie Telecom’s newest sports mobile content platform. Including exclusive content from Arsenal and Liverpool Football Clubs, STAR Sports Mobile content also includes video highlights from original programmes such as ACE by Sony Ericsson, Engine Block, Golf Focus, Game and Top Corner. Also available are wallpaper images of STAR Sports presenters, themed ring tunes and Java Games. “We recognize that sports fans are not a homogenous audience and thus have worked towards developing different kinds of offerings for different sports fans across platforms,” he said. Asked whether disappointment with mobileESPN had in any way delayed the launch of STAR Sports Mobile, Sawhney said that revenues are growing on a year on year basis. “The potential is definitely there. (We) can’t afford not to be on any medium, especially as the die-hard sports fan wants that information available whenever and wherever they are.” And while subscription revenues may still be immature, mobile is becoming of increasing importance to program sponsors. “Advertisers want an integrated offering, or some may just want internet or mobile – it’s about flexibility,” he says. Other ways of gaining exposure for advertisers and sponsors is via in-house developed sporting properties, as the X Games Asia was staged in China for the first time. Under the umbrella of a three-year agreement with the government in Shanghai, the KIA X Games Asia 2007 showcased 200 of Asia’s and the world’s best action sport athletes from over 20 countries and five continents in front of an 33,900 strong audience at Shanghai’s KIC Jiangwan Sports Center. The Guinness 9 Ball Tour, offered record prize money and expanded to six stops on the Tour; and the Premier Hockey League successfully completed its third year, continuing to grow and draw participation from audience, media and trade. Sawhney says another significant shift this year has been brand differentiation. “We have been tracking our audience and their evolving needs with regards to sports and entertainment. Through our research, we have been able to recognize that sports fans like any other consumer group are not a homogeneous audience and thus we have worked towards identifying these different kinds of sports fans and their distinct needs when it comes to sports viewing.” “ESPN continues to be the ‘expert & credible voice’ on sports that informs, educates and inspires fans and the programming & presentation of ESPN reflect the same. Our offering on STAR Sports is targeted at that group of sports fans who want to engage with their sports in an entertaining and interactive manner. This is the guiding principle for our programming and presentation strategy which is reflected in our differentiated offering on ESPN and STAR Sports.” As for the key drivers of growth for ESS in 2008, multiple brand touch-points are very much at the core of the company’s strategy moving forward. “Serving the fan – by creating and distributing the best sports programming: any time, any place via any pipe and any device and thus making ESPN and STAR Sports a core part of his or her daily life.” He says the network is also looking at introducing more new channels and is exploring opportunities for expanding the bouquet of offerings to viewers and business partners. “We are Asia’s number one sports broadcaster, but it’s not only about being at the forefront, but also about increasing the gap. (We are) strengthening our leadership position by investing in programming & partnerships through a healthy mix of acquired and original content thus continuing to remain relevant and meaningful to our audiences and business partners. And the evolving digital environment presents a huge opportunity for us to bring the best sports programming to our viewers. We continue to invest in developing products where the goal is to reach our audience at any time, any place through new media platforms. Along with our (mobile services) we will continue to provide a wide bouquet of services to sports fans and more opportunities to our business partners. In addition, we will continue to strengthen our multilingual sites such as espnstar. com, espnstar.com.cn and espnstar.com.tw.” Commencing February 1st 2008, Road to Beijing features competitions leading up to the Olympics, such as athletics, all pool sports and gymnastics. Beijing Dreams showcases news and updates on how China is preparing for the event, with venue profiles, event reviews, and profiles of the mascots, athletes and teams, as well as the hottest medal contenders. “In addition, back in August 2007, we started doing weekly updates on each of our five SportsCenter editions and these will continue through till the start of the Games in August 2008. The reports will increase in frequency from July 2008 onwards and will become daily in the two weeks leading up to the start of the Games.” Are You Ready is a weekly 30-minute Olympic lead-in show for North Asia markets – particularly China and Hong Kong in Mandarin and Cantonese. Primarily focused on Chinese preparations for the Games, it also includes a weekly round up on international athletes and news leading up to the Games. And during the event itself there will be nightly 30- minute SC Olympic Specials. Sawhney’s perspective on the potential for growth in the region, not just for ESS, outlines a “Healthy scope of possible growth – by exploring and maximizing potential from new platforms; by offering new services to fans and business partners; by reaching out to new markets; and by launching new tailor made offerings to existing markets.” The challenges: escalating rights costs; regulatory issues; and anti-siphoning legislations. “You can’t wish rising rights costs away, as a broadcaster you need to become very clear on what exactly constitutes a ‘must-have’. As in any business in today’s vibrant market place and economy we are facing challenges which continue to emerge and change with time and they relate to various aspects of business – escalating acquisition costs, government regulations and policies, changing audience preferences, increasing competition and likes. However, the essence of any successful business is to strive to be continuously on top of these challenges ensuring sustainability and growth.”
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