The impact of digitalization on the strategies of pay TV in Spain

Authors

DOI:

https://doi.org/10.4185/RLCS-2015-1045

Keywords:

Spain, pay TV, digitalization, business models, competition

Abstract

The landscape of the audiovisual market has dramatically changed over the last thirty years, and even more so since the implementation of digital terrestrial television throughout Europe. New suppliers of audiovisual content have appeared and a range of pay-per-view and free-to-air services now compete against one another. Methodology. After all the changes, we wonder if there is still space for pay TV and how the strategy of pay TV operators might be developed. To do so, we will analyse current offerings according to three key factors: business models based on revenue and offering, clients, and competitors. Conclusions. After data analysis, we conclude that in spite of the threats to pay television operators, pay TV will be the engine of change, and the willingness to pay will increase. Most of the popular free-to-air contents, will become premium content.

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Author Biographies

Mercedes Medina Laverón, University of Navarra

Associate Professor of the School of Communication at University of Navarra. Teaching Media Economics and Media and Entrepreneurship. She has been the head of Media Management MSc since 2006 to 2012 and since then she is the Assistant Director of the Master in Research and Communication.

She has officially recognised three six-year research activity by the National Commision of Evaluation of Research Activity (CNEAI). She has been the main researcher of the project “Impact of digitalization on media production and consumption in Europe: the new consumer ‘diet’” (2010-2014), financed by the Spanish Ministry of Economy and Competition.

She is the author of more than 30 chapters of books, 20 papers in academic journals, and ten books. Some of them are: Creating, producing and selling tv shows. The case of the most popular dramedies in Spain (2009), Series de televisión. El caso de Médico de Familia, Cuéntame cómo pasó y Los Serrano (2009), Calidad y contenidos audiovisuales (2006), Estructura y Gestión de Empresas Audiovisuales (2005; 2011), European Television Production: Pluralism and Concentration (2004), Valoración publicitaria de los programas de televisión (1998) and Estrategias de marketing de las empresas de televisión en España (1997).

Mónica Herrero Subías, University of Navarra of Navarra

She is an expert in media management, entertainment economy and media market. She was involved in research about Competition in televion market in Europe, where she studied the characteristics of the media product and published “La economía del producto audiovisual en el mercado de la comunicación”, Comunicación y Sociedad (2009) and “The economics of series as entertainment audiovisual products” en Creating, Producing and Selling TV Shows (2009). Other Works are related to media maerket competition: “La calidad de la oferta televisiva en el Mercado español: las percepciones del público” en ZER (2010) and “The effects of competition in the profitability of European Television Channels” en The Media Industries and their Markets. Quantitative Analysis (2010). She is been part of the Project “Impact of digitalization on media production and consumption in Europe: the new consumer diet”. Other of her publications are “Keys to Monetize Social Media in the Audiovisual Business” in Handbook of  Social Media Management Value  Chain and Business Models in Changing Media Markets, Springer (2013), “Implementation of innovation strategy: The case of CCRTV Interactiva” in  Managing Media Economy, Media Content and Technology in the Age of Digital Convergence (2011) and the essay “Mercado del entretenimiento audiovisual: de la atención al engagement”, Comunicación Social (2013).

Cristina Etayo-Pérez, University of Navarra

Cristina Etayo is Lecturer of Marketing Research at the School of Communication at the University of Navarra. Her research has focused on the field of television. She has participated in several research projects funded. As a result of this investigation has published articles in the Journal of Applied Journalism and Media Studies (2013); Communication and Society (2013); in Zer: Journal of Communication Studies (2011) and ESIC Market, International Journal of Economics and Business (2010).  She has also  published several book chapters result of this investigation, "How and where we see Spanish TV?" On TV in Spain. Report 2011, IESE; "The ad spending in newspapers, supplements and Sunday (1998-2009)" in the White Paper of Daily Newspapers, AEDE. 2011; "The effects of competition on the profitability of European television channels" in The Media Industries and Their markets. Quantitative Analyses. Palgrave MacMillan; "The evolution of the content of the European public TV channels (1996-2004)" on Television and digital media in the 21st century, 2010.

Since 2010 she is a researcher in the project "New audiovisual consumption habits in Europe: Impact of digitization in the diet of citizens and industry” (ref.CSO2010-20122). Some results of this project have been published in Mediterranean Journal Communication, Palabra Clave, Communication & Society, Anàlisi and Trípodos.

Dr. Etayo is a member of the European Advertising Academy (EAA), the European Media Management Association (EMMA) and the Spanish Association of Academic and Professional Marketing (AEMARK).

References

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Published

2015-04-06

How to Cite

Medina Laverón, M. ., Herrero Subías, M. ., & Etayo-Pérez, C. (2015). The impact of digitalization on the strategies of pay TV in Spain. Revista Latina de Comunicación Social, (70), 252–269. https://doi.org/10.4185/RLCS-2015-1045

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Section

Miscellaneous