Effective communication during the Corona crisis - #10 Impact of the Corona pandemic on
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Effective communication during the Corona crisis #10 Impact of the Corona pandemic on the German TV market (Stocktaking 16th April) Düsseldorf, April 2020 1
01 TV Performance Development Content Impact of Corona on program 02 planning and production companies 03 Summary & Conclusion 22
01 TV Performance Development Content Impact of Corona on program 02 planning and production companies 03 Summary & Conclusion 33
The current situation causes people to Free time in the pandemic is strongly limited to spend a lot of time in their homes. the own 4 walls I avoid bars, pubs or clubs. 88% I visit fewer restaurants, cafés or snack bars. 83% I leave the house/flat less often. 74% Question: And in what way has the Corona virus changed your way of life? For each statement, please indicate how much you agree or disagree with it. Base: All respondents, n=1,490. 44 Source: mScience Spotlight COVID-19: How is consumer life changing? Survey period 20-24.3.2020 | Excerpts
According to the AGF, the viewing time increased significantly in all target groups. TP 3+ M 20-49 F 20-49 TP 20-39 Kids 3-13 TP 14-19 Ø 249 Min Ø 171 Min Ø 185 Min Ø 139 Min Ø 84 Min Ø 66 Min Index 117 vs. 2019 Index 120 vs. 2019 Index 112 vs. 2019 Index 110 vs. 2019 Index 148 vs. 2019 Index 128 vs. 2019 55 Average daily viewing time in the period CW 12-CW 15 2020, Index vs. 2019Source Videoscope | AGF GfK data
TV reaches more people: weekly reach increased Index TP 14+ | Net reach Index vs. previous year week 125 While in the first 10 weeks of the year, 115 111 110 110 the total weekly reach of all TV advertising blocks averaged 97 vs. the previous year, it initially increased 105 101 101 drastically with the beginning of the contact ban. 100 99 99 100 95 97 97 98 98 97 In Easter week (CW 15) the reach is 90 96 currently at the previous year's level, which is still above the normal 85 development of the first weeks. A renewed increase after the holidays is 75 also expected. W1 W2 W3 W4 W5 W6 W7 W8 W9 W10 W11 W12 W13 W14 W15 Ø Channel week 66 AGF/GfK advertising block level, TA 01-30, 06-01 o'clock; change in reach Ø channel on the basis of result per individual channel, weighted with the channel's reach
Easter despite beautiful weather however also with Index viewing time increased viewing Easter 2020 vs. Easter 2019 time compared to 140 128 the previous year 121 119 122 120 100 80 60 40 20 0 Good Friday Easter Saturday Easter Sunday Easter Monday TP 14+ M 20-49 F 20-49 TP 20-39 TP 14-19 77 AGF/GfK advertising block level, TA 01-30, 06-01 o'clock; TV total = all channels included unweighted; Reach change of the Ø channels based on the result per individual channel, weighted with the reach of the channel
The feelings in the current situation fluctuate between Thoughts about the Cornonavirus create mixed concern and hope - feelings confidence and fear Sorge 63% Hope 50% Confidence 44% Sadness 40% Frustration 36% Fear 36% Question: To what extent do the following feelings apply to you when you think about the Corona virus? Base: All respondents, n=1,490. 88 Source mScience Spotlight COVID-19: How is consumer life changing? Survey period 20-24.3.2020 | Excerpts
...resulting in an increased need for information, but also a need for distraction and entertainment. At the beginning of the crisis, the need for information was dominant. 17% 24% 59% neutral Entertainment-oriented Information-oriented 99 Question: How would you describe your current media use? Basis: All respondents, n=1,490.
TV serves both needs equally 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% News 2% 30% 65% 3% Special reports on the Corona crisis 2% 26% 63% 9% Information & education Documentation 3% 63% 26% 8% Movies 4% 68% 22% 6% Series 4% 63% 22% 10% Magazines 5% 51% 17% 27% Talk Shows 5% 45% 17% 33% Advice programmes 5% 57% 15% 23% Casting Shows 7% 35% 5% 53% Entertainment & distraction Reality Shows 7% 30% 4% 59% Quiz shows 7% 55% 9% 29% Entertainment shows 8% 42% 7% 42% Sports shows 26% 36% 4% 35% Fewer Unchanged More frequently I do not use Question: To what extent has the use of the following TV content changed for you? Basis: respondents who watch television or use media libraries, n=1,462. Source mScience Spotlight COVID-19: How is consumer life changing? 10 Survey period March 20-24, 2020
This is also reflected in the top 10 programmes - with the focus shifting more to entertainment TP 14+ KW 12 KW 13 KW 14 KW 15 RG Sender Program/Break RW in Mio Sender Program/Break RW in Mio Sender Program/Break RW in Mio Sender Program/Break RW in Mio SARAH KOHR - 1 ARD TAGESSCHAU 12,13 ARD TAGESSCHAU 10,77 ARD TAGESSCHAU 10,84 ZDF 8,52 TEUFELSMOOR TATORT: NIEMALS TATORT: KRIEG IM TATORT: DIE ZEIT IST MARIE BRAND UND 2 ARD 10,98 ARD 9,42 ARD 9,51 ZDF 8,17 OHNE MICH KOPF GEKOMMEN DIE LIEBE ZU VIERT 3 ARD TAGESSCHAU 9,37 ARD TAGESSCHAU 8,65 ARD TAGESSCHAU 7,67 ARD TAGESSCHAU 7,93 ANSPRACHE DER 4 ZDF 8,67 ARD TAGESSCHAU 7,87 ARD TAGESSCHAU 7,61 ARD TAGESSCHAU 7,79 BUNDESKANZLERIN ARD EXTRA: DIE IN WAHRHEIT: STILL 5 ARD 8,52 ARD TAGESSCHAU 7,68 ZDF 7,11 ARD TAGESSCHAU 7,31 CORONA-LAGE RUHT DER SEE ARD EXTRA: DIE NORD NORD MORD - DIE TOTEN VON TATORT: SUMM, 6 ARD 8,02 ZDF 7,55 ZDF 6,73 ARD 7,27 CORONA-LAGE SIEVERS UND DIE SALZBURG - WOLF IM SUMM, SUMM ARD EXTRA: DIE 7 ARD TAGESSCHAU 7,90 ARD 7,35 ARD TAGESSCHAU 6,72 ZDF SOKO WISMAR 7,10 CORONA-LAGE ARD EXTRA: DIE ARD EXTRA: DIE 8 ZDF WETTER 7,82 ARD TAGESSCHAU 7,13 ARD 6,59 ARD 7,09 CORONA-LAGE CORONA-LAGE ARD EXTRA: DIE 9 ARD TAGESSCHAU 7,49 ARD 7,10 ARD TAGESSCHAU 6,53 ZDF HEUTE JOURNAL 6,79 CORONA-LAGE 10 ARD TAGESSCHAU 7,33 ZDF UNTER VERDACHT 6,99 ARD TAGESSCHAU 6,47 ARD TAGESSCHAU 6,66 News Corona Special 11 AGF GfK data, programme reach, period of time KW 12-15 2020, all programmes between 6-1 pm
The young target group in particular is increasingly watching entertainment programmes - shows, films and series. TP 14-19 KW 12 KW 13 KW 14 KW 15 RG Sender Program/Break RW in Mio Sender Program/Break RW in Mio Sender Program/Break RW in Mio Sender Program/Break RW in Mio GERMANY'S NEXT GERMANY'S NEXT GERMANY'S NEXT 1 PRO7 0,25 PRO7 0,39 PRO7 0,38 SAT.1 FACK JU GÖHTE 3 0,46 TOPMODEL - BY HEIDI KLUM TOPMODEL - BY HEIDI KLUM TOPMODEL - BY HEIDI KLUM GERMANY'S NEXT 2 PRO7 STAR WARS: DIE LETZTEN JEDI 0,20 PRO7 THE MASKED SINGER 0,21 ARD TAGESSCHAU 0,21 PRO7 0,21 TOPMODEL - BY HEIDI KLUM DEUTSCHLAND SUCHT DEN 3 PRO7 THE MANDALORIAN 0,19 ARD TAGESSCHAU 0,16 RTL SUPERSTAR - DAS GROSSE 0,20 PRO7 DEADPOOL 2 0,21 FINALE 40 JAHRE 'VERSTEHEN SIE PROMIS UNTER PALMEN - 4 PRO7 THE MASKED SINGER 0,19 PRO7 SUICIDE SQUAD 0,15 ARD SPAß?' - DIE GROßE 0,17 SAT.1 FÜR GELD MACHE ICH 0,21 GEBURTSTAGSSHOW ALLES! 5 SAT.1 SAT.1 WETTER 0,17 SAT.1 THE VOICE KIDS 0,15 SAT.1 THE VOICE KIDS 0,15 SAT.1 SAT.1 WETTER 0,20 HARRY POTTER UND DER HARRY POTTER UND DER 6 RTL DER LEHRER 0,17 SAT.1 ZOOMANIA 0,15 SAT.1 0,15 SAT.1 0,17 GEFANGENE VON ASKABAN ORDEN DES PHÖNIX HARRY POTTER UND DIE PIRATES OF THE CARIBBEAN: 7 SAT.1 0,16 PRO7 RED. 0,14 PRO7 RED. 0,15 PRO7 0,16 KAMMER DES SCHRECKENS SALAZARS RACHE PROMIS UNTER PALMEN - 8 VOX ANT-MAN 0,16 SAT.1 THE BIGGEST LOSER 0,14 SAT.1 FÜR GELD MACHE ICH 0,14 SAT.1 SAT.1 NACHRICHTEN 0,16 ALLES! HARRY POTTER UND DER HARRY POTTER UND DER 9 SAT.1 0,15 ARD TAGESSCHAU 0,14 RTL LET' S DANCE 0,13 SAT.1 0,14 STEIN DER WEISEN FEUERKELCH ANSPRACHE DER 10 ZDF 0,15 VOX DIE HÖHLE DER LÖWEN 0,14 RTL ZWEI BERLIN - TAG & NACHT 0,13 SAT.1 THE VOICE KIDS 0,13 BUNDESKANZLERIN News Corona Special 12 AGF GfK data, programme reach, period of time KW 12-15 2020, all programmes between 6-1 pm
The top environments over Easter also show a mixture of news, films and shows TP 14+ TP 14-19 Men 20-49 Rg Station Date Program/Break Reach Mio Station Date Program/Break Reach Mio Station Date Program/Break Reach Mio 1 ZDF 11.04.2020 MARIE BRAND & DIE LIEBE ZU 4. 8,17 SAT.1 10.04.2020 FACK JU GÖHTE 3 0,46 SAT.1 10.04.2020 FACK JU GÖHTE 3 1,10 2 ARD 12.04.2020 TAGESSCHAU 7,93 PRO7 12.04.2020 DEADPOOL 2 0,21 ARD 12.04.2020 TAGESSCHAU 1,06 3 ARD 10.04.2020 TAGESSCHAU 7,79 SAT.1 10.04.2020 SAT.1 WETTER 0,20 ARD 11.04.2020 TAGESSCHAU 1,02 HARRY POTTER: ORDEN DES 4 ARD 11.04.2020 TAGESSCHAU 7,31 SAT.1 11.04.2020 0,17 PRO7 12.04.2020 DEADPOOL 2 0,99 PHÖNIX 5 ARD 12.04.2020 TATORT: SUMM, SUMM, SUMM 7,27 PRO7 10.04.2020 PIRATES OF THE CARIBBEAN 5 0,16 ARD 10.04.2020 TAGESSCHAU 0,95 6 ARD 11.04.2020 ANSPRACHE BUNDESPRAESIDENT 6,38 SAT.1 10.04.2020 SAT.1 NACHRICHTEN 0,16 RTL 12.04.2020 JUMANJI: WILLK. IM DSCHUNGEL 0,86 7 ZDF 10.04.2020 DER ALTE 6,25 SAT.1 10.04.2020 HARRY POTTER: FEUERKELCH 0,14 ARD 11.04.2020 ANSPRACHE BUNDESPRAESIDENT 0,74 8 ZDF 12.04.2020 DAS TRAUMSCHIFF 6,17 SAT.1 12.04.2020 THE VOICE KIDS 0,13 PRO7 10.04.2020 PIRATES OF THE CARIBBEAN 5 0,73 9 ARD 12.04.2020 TAGESTHEMEN 5,51 ARD 11.04.2020 ANSPRACHE BUNDESPRAESIDENT 0,12 PRO7 12.04.2020 JOHN WICK 0,66 10 ZDF 10.04.2020 HEUTE / WETTER 5,40 ARD 11.04.2020 KLEIN GEGEN GROß - DUELL 0,12 PRO7 11.04.2020 MARVEL'S THE AVENGERS 0,63 11 ARD 11.04.2020 KLEIN GEGEN GROß - DUELL 5,39 ARD 10.04.2020 TAGESSCHAU 0,12 ARD 12.04.2020 TATORT: SUMM, SUMM, SUMM 0,59 12 ZDF 10.04.2020 ÜBER LAND 5,20 PRO7 11.04.2020 MARVEL'S THE AVENGERS 0,12 RTL 12.04.2020 TOMB RAIDER 0,57 13 ZDF 11.04.2020 HEUTE 5,18 ARD 11.04.2020 TAGESSCHAU 0,11 PRO7 11.04.2020 CAPTAIN AMERICA: 1. AVENGER 0,55 14 ZDF 12.04.2020 HEUTE JOURNAL / WETTER 5,05 ARD 12.04.2020 TAGESSCHAU 0,11 PRO7 10.04.2020 MAD MAX: FURY ROAD 0,55 15 ZDF 12.04.2020 HEUTE / WETTER 4,67 SAT.1 11.04.2020 SAT.1 WETTER 0,11 RTL ZWEI 11.04.2020 DAS LEBEN DES BRIAN 0,51 16 SAT.1 10.04.2020 FACK JU GÖHTE 3 4,51 SAT.1 10.04.2020 BIG BROTHER 0,10 RTL 10.04.2020 RTL AKTUELL 0,47 17 ZDF 11.04.2020 DIE BERGRETTER 4,24 RTL 12.04.2020 JUMANJI: WILLK. IM DSCHUNGEL 0,10 RTL 10.04.2020 RTL AKTUELL - DAS WETTER 0,46 18 ARD 10.04.2020 DER ÜBERLÄUFER 4,19 PRO7 12.04.2020 JOHN WICK 0,10 RTL ZWEI 11.04.2020 DIE RITTER DER KOKOSNUSS 0,44 19 ZDF 11.04.2020 WETTER 4,15 PRO7 10.04.2020 THOR 0,09 PRO7 10.04.2020 THOR 0,44 20 ZDF 12.04.2020 TERRA X: DAS ALTE ÄGYPTEN 3,91 ARD 11.04.2020 TAGESTHEMEN 0,09 VOX 12.04.2020 AB INS BEET! DIE GARTEN-SOAP 0,43 13 AGF GfK data, programme reach, period of time 10.-13.4.2020, all programmes between 6-1 pm
Only the sports channels are losing due to the current situation vs. the previous year - especially n-tv and Welt are gaining enormously. Looking at the absolute reach, of course the "big" channels continue to win. Ø Index Ø weekly. vs previous year reach Ø weekly reach per channel | CW 12-15 2020 | TP 14+ 250 60,0 200 50,0 155 147 40,0 150 316 123 122 121 119 118 115 114 113 113 113 112 110 110 108 107 106 105 104 30,0 103 101 100 96 96 100 85 61 20,0 50 35 10,0 0 0,0 Index vs. previous year average weekyl reach in % Source: Videoscope, AGF GfK Daten, RW 6-1 o'clock, Panel D+EU incl. delayed usage | values 14 simple average of the weeks 12-15 2020, index vs. previous year
In the young segment, the order of the "winners" changes a bit. But also here, n-tv and WELT are able to gain quite a lot compared to last year. With their formats, Pro7, Sat.1, RTL and VOX achieve the highest reach in the target group. Ø Index vs previous year Ø weekly. reach Ø weekly reach per channel | CW 12-15 2020 | TP 14-19 250 60,0 216 213 206 200 192 192 50,0 179 174 174 172 365 169 160 157 149 143 40,0 150 274 121 120 118 114 112 109 106 30,0 97 97 100 73 69 20,0 63 50 35 10,0 0 0,0 Index vs. previous year average weekly reach in % Source: Videoscope, AGF GfK Daten, RW 6-1 o'clock, Panel D+EU incl. delayed usage | values 15 simple average of the weeks 12-15 2020, index vs. previous year
Unsurprisingly, children's channels have also seen growth - on average, more Reach Index vs. previous year children are sitting in front of the television screen for longer. Sky Network 117 Kids 3-13 Disney 112 Channel Ø Viewing Time Nick 105 Index 148 vs. 2019 Super RTL 103 Reach index vs. previous year 16 Source: Videoscope, AGF GfK Daten, RW TA 12, Panel D+EU incl. delayed usage | values simple average of the weeks 12-15 2020, index vs. previous year
And not only "classic" TV is recording growth, streaming services are also benefiting. This applies not only to the The offerings of ADA and Especially providers like DAZN, ad-free offers. Disney+, for SOM (TVNOW & JOYN) also who of course have problems example, which were reported increased growth. without up-to-date football launched with enormous content, have to suffer. success during this crisis According to phase. According to DWDL, SevenOneMedia, JOYN, for Current subscriber numbers Disney+ already reaches example, shows a significant were not available from the more than 50 million increase in usage in recent provider. subscribers. weeks. 17
01 TV Performance Development Content Impact of Corona on program 02 planning and production companies 03 Summary & Conclusion 18
Program planning and production companies struggle with the impact of Corona The regulations of the contact ban also apply to TV and film productions. This results in different challenges for the production of the TV formats. What are these and what could the impact be in the medium term? 19
New formats emerge and in some cases disappear again quickly, information and support characterize the TV-stations’ strategies The quarantine WG | RTL Corona Special Trucker 10 minute Berlin day and Information shows about was only 3 days on air Babes | Kabel1 planned night special | RTL2 already Corona are on the program produced every day. The Tv-stations also support the campaign #wirbliebenzuhause and have launched their own initiatives. 20
Nevertheless, the impact on programmes and productions is given and also strongly depends on the type of shows 01 02 03 04 Impact on the Influence on the Stop production Financial aspects realization / setup type of of formats by e.g. through of the program - production, the Corona, e.g. extended e.g. for shows work of the time-consuming payment terms film shooting production (see companies and And loss of ProSiebenSat1) editors and the content, e.g. effort in the football background, e.g. daily soaps 21
1. Impact on the production | Shows without audience Shows, such as "Let's Dance" or "Wer wird Millionär" on RTL are produced without an audience. In the case of WWM this means the elimination of the audience joker. "Germany's Next Top Mode"l is also affected, the final was postponed. Pro7 "The Masked Singers" was discontinued because of a direct case of corona infection. Now it's on air again without any audience - the applause in the background comes from the tape. 22
1. Impact on the production| distance regulations and home office switches In talk shows, there is not only no audience, but the distance between the guests is extended to 2m. The broadcastings | Switch by mobile phone camera from the "home office" are also increasing significantly. The show "Sendung mit der Maus", for example, is currently being produced as such. This is not a local phenomenon, but is lived globally. US talk show hosts like Jimmy Kimmel, for example, broadcast cameras from their own homes via mobile phone and connect guests in this way. 23
2. Impact on production & effort in the background| guests and crew are limited Due to the limited travel possibilities, the possible on-site guests are limited to local people. Nobody is flown in today. Also the crew on site during productions has to be reduced in order to comply with the distance regulations. Make-up artists are partly or entirely dispensed or have to wear masks and gloves. The use of microphone fishing rods is increased, so that no personal contact is necessary to plug in the microphone. Everything is sanitized immediately. 24
2. Impact on production & effort in the background| rewriting scripts and technical tricks Where possible, the broadcasters and production companies keep the productions running. In order not to endanger the actors, it is often necessary to change the scripts! So kiss scenes are no longer realizable. To integrate them nevertheless, producers work with camera tricks to suggest a kiss initiation... In order to counteract a shooting failure due to a corona infection, productions keep whole replacement teams ready in the background to pre-produce a parallel thematic strand of a show and thus enable further programming. All this additional work also entails additional financial expenses. 25
3. Suspension of productions| corona infections & cancellations Due to a corona infection, for example, the show "Grill den Hensler" was initially discontinued. Production stop The productions of RTL daily Soaps have also been stopped. ! The music live show "DIE PASSION" planned by RTL for Easter could not be realised. ZDF has also declared a complete stop of all in-house productions, e.g. "ZDF Fernsehgarten", but also daily soaps like "Rote Rosen". 26
3. Setting of productions| complex shooting and contact ban The ARD has currently stopped production of the "Tatort". The production cannot be realized under the current conditions: outside shooting in public places is not possible, a distance of at least 2m cannot be guaranteed, etc. Not only local production companies have this problem, but also large US suppliers. The Gala of the German Television Award, "Deutscher Fernsehpreis" has also been cancelled. And "Rosin's Restaurants" was taken off air by Kabel 1 due to the current situation of the catering companies. 27
4. Financial aspects | extended payment terms & additional expenditure The above-mentioned expenditure also entails additional costs for production companies and broadcasters. Which, as some broadcasting formats have been discontinued, can certainly continue to produce. At the same time, ProSiebenSat.1 Media SE has extended its payment terms to 90 days, which can be problematic for some production companies, as they have to pay in advance for productions. The good news: Pro7Sat.1 wants to give preference to smaller companies (according to DWDL) and help is to come from other sources. However, the situation also poses a financial challenge for all market participants, which is exacerbated by For more own flexibility the loss of advertising revenues. ProSiebenSat.1 raises payment term to three months 28 Quelle DWDL https://www.dwdl.de/nachrichten/76989/prosiebensat1_setzt_zahlungsziel_auf_drei_monate_hoch/?utm_source=&utm_medium=& utm_campaign=&utm_term=
But what does this First good news is that so far no life-threatening diseases are known. mean for the program? The second good news is that so far, the TV- stations have been able to maintain their programming as far as possible. Future and current? The produced episodes of most series will last for some time. Where they don't, they will help Will the TV-stations themselves with reruns - sometimes this is already the case. The longer the crisis lasts, the more be able to maintain short-term and flexible the broadcasters will their offer, which is have to react with their programming and resort so important to stock material. especially in the Film productions, both local and global, will be crisis? cancelled for the time being. Another exciting aspect will be the final decision on how to deal with the matches of the 1st and 2nd Bundesliga. If the matches are implemented without audience participation, the TV stations will have a huge audience. In the medium term, the loss of advertising funds for broadcasters and production companies - not only locally - will become an increasing financial threat. 29
01 TV Performance Development Content Impact of Corona on program 02 planning and production companies 03 Summary & Conclusion 30
Summary The performance of the TV stations is better than it has been for a long time - the reach of the last few weeks is significantly higher than last year. Not only small stations, news environments, children's stations, but also the big TV stations and well-known top environments are performing very well. The hard-to-reach segment of teenagers | young adults, but also of children, is currently watching a lot of TV.In principle, this creates an opportunity for advertisers to use this reach for themselves. TV has an important role to play in the crisis - in addition to information, television offers a refuge in distraction, a possibility for shared "campfire moments". Broadcasters and production companies are meeting the challenges in a creative way and are investing in programme maintenance and design wherever possible. Some productions and broadcasts - such as sports and major film productions - are currently not globally viable. The additional financial challenges are being met by sharply declining advertising budgets. 31
Conclusion The longer the Corona crisis | the ban on contact continues, the greater the impact on programme diversity (no new episodes for series, no new footage...) Increased costs combined with declining advertising revenues pose a financial threat to broadcasters and production companies. The Corona crisis thus poses a medium-term threat to the medium TV | video, which is so important for all of us. Advertisers who are able to use the power for their campaigns in the current situation will not only benefit from the high usage and reach, but will also support the TV landscape in its struggle in the current situation. As an agency, we are aware that each of our clients is also struggling with individual conditions and challenges. Based on this, we develop individual recommendations for each of them. 32
Please stay healthy, everyone. and take good care of yourself. 33
And if you need help - no matter what topic - please do not hesitate to contact your MediaCom team. 34
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