Home

Recent analyst videos

Public Service Broadcasting

Enders Analysis is a firm believer in strong public service broadcasting which boosts the entire UK creative industry and is consumed by almost everyone. We have published a number of reports covering the BBC and Channel 4 over the last few months. To download any of our Channel 4 reports please click on the links below:

Channel 4 viewing trends

Channel 4 market impact

Channel 4: sustainability and privatisation

Latest reports More

  • Media
  • TV
  • UK Media

2016 was yet another year in which we saw big changes in the UK’s video consumption habits amongst the under-45s, with little let up in the decline of traditional broadcast linear TV viewing for the younger age groups

Online video-on-demand services will continue to grow, partly at the expense of traditional TV audiences. We also expect the overall volume of viewing to rise, mainly due to wider production of and access to short-form content

Despite these changes, conventional broadcasters look to be strong for years to come—we estimate they will still account for 80% of all video viewing in 2026

  • Google
  • YouTube
  • Media
  • Public Policy
  • Technology
  • TV

Media reports of ads by top brands appearing next to extremist content on YouTube have surprised advertisers and led to a barrage of criticism from other media companies, agencies and the UK government

Despite several advertisers pausing spend, the revenue impact for Google is likely to be small in the short term – but the debate is a symptom of ongoing tension between “frenemies”: large agencies and Google & Facebook 

By urging Google alone to educate display advertisers and filter campaigns, agencies risk ceding more of their client relationship to the advertising giant, while calls for the platform to make all editorial judgements on political content are inappropriate

  • 21st Century Fox
  • BT
  • News Corp
  • Ofcom
  • Sky
  • Media
  • TV

Secretary of State Karen Bradley has intervened on two UK public interest grounds in 21CF’s bid for 100% ownership of Sky: media plurality, as in 2010, and a commitment to broadcasting standards, new in 2017

Ofcom will assess any implications of 21CF’s full control of Sky on whether it is ‘fit and proper’ to hold a broadcast licence, reporting back on 16 May

Undertakings are a live issue in the 2016 bid, notably to protect the editorial independence of Sky News, noting the bid faces determined opposition from certain quarters

  • Apple
  • Facebook
  • Google
  • HTC
  • NBC Universal
  • Samsung
  • Sony
  • Walt Disney
  • Media
  • Technology
  • Telecoms
  • TV

The temporary cool-off in hype around VR following a very buzzy 2016 is not reducing the flow of investment and talent into the industry, notably in video production utilising 360Video technology; setting the stage for the development of a truly new entertainment medium

Fully immersive interactive worlds will continue to be the mainstay of the video games industry, while video entertainment will exist in a multi-track environment, with some genres (news, documentaries , natural history) making 360Video mainstream well before long-form narrative-driven entertainment

2017 will still be a challenging year for consumer device VR roll-out and mass market adoption; Oculus, Google, and Sony continue to seed the market, providing large scale funding and equipment directly to developers and content producers

 

 

  • BT
  • Sky
  • TalkTalk
  • Virgin Media
  • Fixed Line
  • Media
  • Telecoms

UK residential communications market revenue growth fell to 3.3% in Q4, from 5.4% in the previous quarter. The slowdown was mainly caused by BT’s overlapping price rise dropping out, but there was also ARPU weakness at Sky (due to price rise timings) and TalkTalk (due to re-contracting customers)

Volume growth in the core three products continued its decline, with broadband reaching saturation, line rental suffering from Virgin’s broadband solo offering and pay-lite TV offers losing momentum. Looking forward, recent and upcoming price increases should allow some recovery from current revenue growth levels

However, competitive pressures are increasing. Virgin Media’s network extension continues to accelerate, TalkTalk is attempting to stabilise its base and new customer pricing has fallen substantially since December 2016 – causing a dramatic disparity in new/existing customer pricing. The higher churn and/or reduced ARPU this is likely to cause, combined with slowing market volumes, indicate that market revenue growth is unlikely to recover to the 5-6% it enjoyed for most of 2015 and 2016

 

  • BT
  • ITV
  • Sky
  • Media
  • TV

The latest auction of UEFA Champions League televised UK rights has seen further high 32% inflation as BT renewed its ownership for the three seasons from 2018/19 for an annual payment of £394 million

Although BT annual payments are to increase by £95 million from 2018/19, the new contract offers added commercial attractions, though we expect BT’s efforts to monetise them will fall some way short of the cost increase

However, BT had to win to cement its position against Sky as a strong number two in UK premium pay TV and we expect weaker future inflation of premium football rights. For Sky followers, the focus is now on the UEFA auctions in Germany and Italy, where the outcome is far from certain