Y.Bhg Datuk Kamal Khalid, COO, Group Shared Services of Media Prima Berhad
Q: What are the threats that Media Prima faced in 2012?
A: 2012 was a challenging operating year due to economic problems in various economies around the world. Although the domestic economy in Malaysia was relatively healthy, we have a very open economy and we are not immune to global uncertainties. As a result, advertisers were cautious with their spending and we had to work harder to sustain our profitability. We are thankful that we succeeded in recording moderate growth for 2012.
Q: What challenges did you encounter over the past year and how was it handled?
A: Operationally, the media landscape is changing rapidly and consumption patterns are moving away from traditional means. The increasing popularity of smart devices and greater broadband penetration means that people rely less on linear scheduling and linear viewing because they have access to more content, whenever and wherever they want it.
Having said that, there are several things working in our favour. Firstly, we have reach and still a significant share of the market – our four channels command about 46% of viewer share. Secondly, we are platform agnostic and available everywhere – via traditional analogue means, via satellite, cable or internet. Thirdly, we have been fortunate to compile a good track record of creating content that people want to watch. One of our key strategies, therefore, is to continue to invest in quality and compelling content.
Q: What are Media Prima’s plans for the future?
People still watch TV. It’s just that they may not be watching it on TV. Because of this, we have invested in our video portal, Tonton, which we launched in mid-2011. Initially, it functioned primarily as a catch-up site for our programmes. But increasingly, we are making content exclusives available on it. For a small fee, viewers can also access our libraries, which stretches back over 28 years and has more than 70,000 hours. We have been encouraged by the response – we have over 2.7 million registered users and regularly record up to 11 million page views a month.
Another area of focus is distribution of content. We have, throughout the years sold our content to over 30 countries worldwide, and we want to expand our business in this area. For example, we launched our first subscription based channel, EMAS, with TM here in Malaysia last year. The experience has been positive and we’re looking at the possibility to work with platform owners around the region, either to carry our channels or work with them to produce pan-Asian content that would have a wider appeal in the region.
Q: Was there government funding you could tap on?
A: Unlike our government station counterparts RTM, we do not receive any government funding, so it’s important that our regulator ensures that the operating environment is conducive and business friendly. We’re happy that our regulator, the Malaysian Communications and Multimedia Commission is open and consultative. We have a constructive relationship with them and they have always been happy to listen to our views and inputs.