The company’s Network Ten affiliate stations
operate in Victoria, southern and northern New South Wales and
Queensland, with a potential reach of over 28% of the Australian
population or 5.7 million people. The company has a presence in
every major regional centre in the eastern states. The advertising
market revenue available to Southern Cross Ten is approximately $505
million.Southern Cross Ten delivers a common program stream to consumers along the eastern seaboard, but where appropriate is able to customise and localise programming and advertising.
The company has agreed on affiliation rates with Network Ten, involving a stepped rise in fees, linked to revenue, over the next ten years
The network’s ratings grew substantially during the year across all demographics but especially with younger viewers. Coverage of AFL football and motorsport as well as several locally produced and overseas programs, including Big Brother, Rove Live, Law and Order, Medium, House and NCIS, were big winners with viewers.
The growth in the core 16-39 demographic was particularly attractive to advertisers and resulted in revenue growth above the industry growth rate of 6.5%. On the assumption that the outstanding program line-up from Network Ten continues, further ratings and revenue growth are anticipated.
Across 22 separate markets Southern Cross Ten employs more than 140 sales people and around 70 production staff. Revenue is derived from both national and local advertisers.
Southern Cross Ten has invested in sophisticated production facilities throughout its major markets. Local clients are able to avail themselves of leading edge technology to develop appealing and effective advertising campaigns.
Southern Cross Ten has centralised play out and presentation facilities to the Canberra studio complex in respect of 24 markets. Centralisation has allowed the company to convert analogue play out facilities to digital in an extremely cost effective way. Significant expenditure has been and will continue to be incurred in relation to the digitisation of the company’s numerous transmitter sites. Enhancements in technology and the availability of broadband communications will now provide more efficient and effective play out and distribution operations.
Through strategic investments and partnerships the company has invested in telecommunications infrastructure in order to allow for the cost effective distribution of program information. This infrastructure also caters for the increasing complexity of wide area network communications and meets the growing demands of business units. The evaluation process continues and the company is confident that efficiencies will be realised in the forthcoming financial year.
Southern Cross Darwin reaches a potential audience of more than
100,000 people. Southern Cross Central is a satellite delivered
service with coverage reaching more than 400,000 people throughout
the Northern Territory, rural Queensland and parts of NSW, Victoria,
South Australia and Tasmania.
Both services have program affiliations with the Seven Network,
delivering successful programs including Blue Heelers, Home and
Away, All Saints, Harry’s Practice, Ground Force and Better Homes
and Gardens. Exclusive coverage of ‘must watch’ events, such as the
Olympic Games through to 2008 and the Australian Open Tennis, is
also delivered.
Despite its infancy, Southern Cross Darwin holds a 40% audience
share in the two station Northern Territory capital market. Southern
Cross Central enjoys a 58% share of audience viewing in remote parts
of inland Australia.
Tasmania
The Tasmanian television advertising market is worth approximately
$45 million annually, reaching more than 400,000 people.
Southern Cross Television has program affiliations with both the
Seven and Ten networks, enabling it to develop a unique mix of
programming tailored for the local market.
Southern Cross Television broadcasts to the entire State and is
clearly the market leader, winning all survey weeks during the year.
Led by Southern Cross Nightly News, Southern Cross Television is the
people’s choice in Tasmania. Consistent ratings above 54% ensured an
improved revenue market share.
In 2002, the Australian Broadcasting Authority announced that a
third commercial television broadcasting licence would be issued for
Tasmania. The new service will be developed under a provision in the
Broadcasting Services Act which allows a joint venture between
existing operators. Southern Cross Television, in partnership with
WIN Television, will establish the new service.
Spencer Gulf / Broken Hill
Based in Port Pirie, Central GTS/BKN Television reaches a potential
audience of almost 133,000 people in the upper Spencer Gulf region
of South Australia, including Whyalla, Port Pirie and Port Augusta
and the lower Eyre Peninsula covering Port Lincoln and surrounding
areas. The operation also services Broken Hill.
Viewers receive a unique combination of programs from the Seven,
Nine and Ten networks, ensuring access to the best of
Australian-made and overseas comedy and drama and the big national
and international sporting events. This is complemented by a very
successful locally produced nightly news service covering the five
markets in the region.
In 2002, the Australian Broadcasting Authority announced that a
second commercial television broadcasting licence would be issued
for each of the Spencer Gulf and Broken Hill regions. The new
licences will be established under a provision in the Broadcasting
Services Act which allows the current solus operator to develop a
new service to increase viewing choice without threatening the
commercial viability of the existing business. Southern Cross will
establish the new services which are expected to be operating by
December 2003. The new licences will broadcast in both analogue and
digital modes during the Government’s mandatory simulcasting period.