MTG’s Scandinavian free-TV operations broadcast a wide range of entertainment programming. Viasat’s nine free-TV channels are broadcast alongside its pay-TV channels on the Viasat satellite platform, via third party cable, broadband and mobile networks, as well as in the digital terrestrial networks in Sweden and Norway.
Viasat’s Scandinavian free-TV operations generated 13% net sales growth in 2008. The growth reflected continued market share gains across each of the three countries during the year and demonstrated the success of Viasat’s multi-channel media house strategy.
Total operating costs for the free-TV business increased by 9% to SEK 2,772 (2,546) million. The cost increases were due to increased programming spending and marketing costs, which, together with increased penetration levels in Norway, enabled the Group to grow its audience and market shares.
The business area therefore reported increased operating profits of SEK 819 (627) million, with enhanced operating margins of 23% (20%).
| Commercial share of viewing (%) |
2008 |
2007 |
| TV3 & TV6 Sweden (15-49) |
34.0 |
33.6 |
| TV3 & Viasat4 Norway (15-49)* |
23.7 |
16.8 |
| TV3 & TV3+ Denmark (15-49) |
22.0 |
22.9 |
| *Prior to September 2007 the figures include ZTV Norway |
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|
| |
31 December |
31 December |
| Penetration (%) |
2008 |
2007 |
| TV3 Sweden |
86 |
79 |
| TV6 Sweden |
86 |
83 |
| TV8 Sweden |
63 |
58 |
| TV3 Norway |
85 |
63 |
| Viasat4 Norway |
62 |
50 |
| TV3 Denmark |
65 |
66 |
| TV3+ Denmark |
63 |
65 |
Significant events Viasat’s TV3 and Viasat4 channels in Norway continued to report record combined audience shares and substantially increased penetration levels, from 63% to 85% for TV3 and from 50% to 62% for Viasat4, following the distribution agreements signed with Canal Digital in early 2008 and the ongoing market digitalisation process. Viasat became the second largest broadcaster in the Norwegian market during the year.
An agreement was signed in February to include TV3 on competing pay-TV operator Canal Digital’s satellite platform in Sweden. TV3 and TV6’s penetration levels increased during the year from 79% and 83% to 86%, while TV8’s penetration increased from 58% to 63%.
The Danish digitalisation of the terrestrial network is underway and is scheduled to be completed in October 2009. So far Viasat has chosen not to seek to include its channels in the digital terrestrial offering.
Significant events after the end of the year On 23 March 2009 a third free-TV channel in Denmark, TV3 PULS, will be launched. TV3 PULS is as a broad appeal general entertainment channel, positioned between the female skewed TV3, and male skewed TV3+, and target both men and women within the 15-49 demographic.