TV Production market report by Apex Insight reveals a £3bn UK market which has continued to grow despite pressure on television industry revenues.
London (PRWEB UK) 22 January 2013
This study, carried out by Apex Insight, the market analysis and consulting firm reports that the total value of UK television commissions is now over £3bn, with the market having experienced modest but sustained growth during the turbulent economic climate of recent years.
Although the traditional PSB channels still account for over 75% of the market, this proportion is falling as growth is being driven by the multi-channel segment, led by BSkyB, which has, in recent years, started to commission more original UK programming than in the past.
The most important driver of value in TV production remains the one which is hardest to predict: hit rate in developing the highly successful formats, such as Big Brother, 'Who Wants To Be A Millionaire' or Downton Abbey, which become major successes for many years. Shows of this nature help production companies to deal with the relatively low revenue visibility which they have in a project-based business, as it is generally more profitable and less risky to invest in extending the life of an existing successful format than to create another new hit.