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Development Strategy for a Television Channel in the Russian Federation

Situation

  • A change in the shareholders and management team had taken place
  • There was no agreement or united vision as to how the channel should position itself into the future
  • The TV advert market is growing rapidly, however income at this channel was less than the market average
  • Competition from different federal TV channels is increasing, leading to the channel losing its market place, reducing its share of the audience, along with its power ratio
  • 1.5 months after the beginning of the project, the Board of Directors met to discuss the future development strategy and the company’s financing

Goal

  • To create a growth strategy for the television channel that would guarantee maximum growth in the business’s value
  • To analyze the possibilities for the television channel’s growth in the TV-advert market and the sponsorship market via diversification  
  • To define a clear position for the television channel on the market
  • To identify the TV content demanded by the selected target audience, and develop an enlarged broadcast network
  • To develop a plan to move from the channel’s existing position to its target one
  • To provide recommendations on building a high-level organizational structure

Our approach

  • Identified the core television audience for the channel, the market position occupied by rival channels in each segment, and the potential demand from advertisers for the client’s audience, along with other parameters
  • Analyzing the models used by competing TV channels
  • To develop an unique position for the TV channel that met the demands of the target audience
  • Conducted market research to confirm that the developed proposals meet the demands of the target TV audience
  • Identified three development options for the TV channel, taking into account its chosen position, the investment requirements for each option, and the potential growth offered regarding the business’s value

Results

  • Was identified the channel’s audience, analyzed their demands, and developed a market position for the TV channel before the broadcasting network launched
  • The strategy was adopted and implemented by the board of directors
  • Allocated financing to provide technical coverage and develop the network’s competitiveness in light of the target audience’s requirements
  • An organizational management structure to facilitate high-level control of the TV channel was developed

 

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