Mission, Business Development and Prospects of the National Broadcasting

General :

Media of information is already a necessity of life that drives business information media, such as television, radio, print, internet, national etc.

Television “free to air” is a free broadcast television program in Indonesia, which can be captured by an antenna channel UHF / VHF (terrestrial).

The rating determines the selling price for advertising time slots to programs middle television.

In national broadcasting business, how is the market share of the ten national television “free to air” ?

Television ?

Television is a telecommunication medium that serves to receive the broadcast moving images along with sound.

The word “television” is a combination of the words tele (τῆλε, “away”) from the Greek and Visio (“vision”) of the Latin language, so the TV can be interpreted as a “means of distance communication that uses visual media / vision.”

In Indonesia ‘television’ often informally referred to as TV (read: tivi, TV or tipi.)

First Television Station in Indonesia

Televisi Republik Indonesia (TVRI) was the first television station in Indonesia, which on air by August 24, 1962.

Broadcast premiere aired Ceremony of Indonesian Independence Day 17th of the State Palace. This broadcast is still a black and white.

Advertising on TV broadcast

Previously TVRI ever serve ads in a special show with the title of the show “Mana Suka Siaran Niaga” (twice a day). Since April 1981 until the late 90’s TVRI not allowed to show ads, and eventually returned to serve ads TVRI.

Establishment of the National Private Television Station

1989 founded the first private television RCTI in Jakarta, and SCTV in 1990 in Surabaya.

RCTI is the first private television station in Indonesia.

Free broadcast television stations

National television “free to air” is a free broadcast television station in Indonesia, the channel can be captured via a UHF antenna / VHF (terrestrial).

Law Number 32 Year 2002 on Broadcasting, permit the delivery of television broadcasts via an antenna UHF / VHF (terrestrial) issued only to local television stations. Television stations wishing to broadcast must be broadcast nationally networked among several local television stations.

Ratings, Audience Share and Focus Broadcast Television Studies

Event rating is the percentage of TV viewers given the population at a given time. The rating does not measure quality, but the quantity and out of the audience with a certain time unit. The smallest unit of time is 1 minute.

The portion of the audience (audience share) is the percentage of TV viewers given the entire audience at any given moment.

The results of the rating set prices for advertising time slots on television programs.

Elihu Katz in 1959, through its communication science theory offers a focused study of the source to the receiver. Or in other words, change the research question “what do the media do to people?” Becomes “what do people do with the media?”.

The market share of the national broadcasting business in 2013?

At the age of 22, in 2011 (the period of January to December 2011) RCTI with the motto “Kebanggaan Bersama Milik Bangsa” or “Pride of the Nation Belong Together” retaining the position of market leader with a 17.5% audience share reached (ABC, 5 +) and 17.8% (All Demography). RCTI also managed to maintain the highest share of television advertising amounted to 15.7% (January – November 2011), as reported by Nielsen Audience Measurement.

In the midst of a national broadcasting business, the market share of the ten national television free to air are:

  • PT Media Nusantara Citra Tbk. (MNCN), broadcast media group owned Hary Tanoesoedibjo, which oversees RCTI, MNC TV and Global TV market share of 40%,
  • CT Corp owned Chairul Tanjung, which has a Trans TV and Trans 7, a market share of 24%.
  • PT Elang Mahkota Teknologi Tbk. (EMTK) belongs to the Sariaatmadja’s family, which has SCTV and Indosiar, a market share of 23%.
  • PT Visi Media Asia Tbk. (VIVA), owned by Bakrie Group, which operates TVOne and Anteve a market share of 10%.
  • Other 3%.

At this time, the television market share (market share) respectively controlled MNCN group are:

  • RCTI 21.5%,
  • MNC TV ◦ 12.2% (ranked fourth),
  • Global TV 6.4% (ranked eighth).

MNCN group achievement in 2013 and target in 2014 ?

In Sept 2013, the income of PT Media Nusantara Citra Tbk. (MNCN) reached Rp 4.47 trillion or 92% of total operating revenues amounted to 4.75 trillion MNCN.

Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) of MNCN entirely derived from a television station, where:
◦ RCTI accounted for 66% EBITDA,
◦ MNC TV 25%, and
◦ Global TV 9%.

(The Director of Media Nusantara Citra, Jarod Suwahyo on Tuesday, 18.02.2014 / Bisnis Indonesia).

MNCN targeting in 2014:

  • significant market share and prime time, stay afloat in the market share of 40% as that achieved in 2013.
  • advertising revenue, reaching Rp 5.9 trillion to Rp 6.1 trillion (or ad revenue growth of 18% to 22% compared to 2013).

Read in Bahasa Indonesia : “Misi, Perkembangan dan Prospek Bisnis Penyiaran Nasional

References / read more:

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