On radio win have stopped advertising 9 shows and are just advertising win news now
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The only difference is people have been given 2 months notice this time around. In 1990 the change from QTV to WIN showing nine network programs happened at the last minute leaving QTV with no choice but to sign up with TEN.
Now it looks like nine network programs are returning to QTV at WIN expense, only this time we have been given two months notice. QTV is now a southern cross ten station that will carry the nine network branding.
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There is a report in The Australian this morning saying WIN is in talks with Southern Cross to buy NRN - the Coffs Harbour, NSW based TV station.
Presuming the two can come to an agreement on price, I’d say this is a likely outcome for many reasons:
- Nine already owns NBN in the same market so SC does not need a Nine station in NNSW
- WIN is going take a massive revenue hit switching to a Ten affiliation, and adding the NNSW market would offset some of this
- NNSW is the 5th biggest TV advertising market in Australia after PER, bigger than ADL
- WIN can then run as a Ten affil in QLD, NNSW, SNSW, VIC and ACT
- SC will be streamlined by not having a sole Ten affiliate in one market
- This saves SC on marketing, distribution and ad sales costs
Also another story in last week’s Oz that Nine is interested in buying not SC as a whole, but some of their stations if the 75% rule is lifted.
In time I’m certain we would see Nine showing an interest in buying TNQ Townsville, which is the SC station covering all of Queensland and also CTC Canberra covering all of Southern NSW
This would mean Nine would own stations in Queensland to take on 7 Queensland, as well as Darwin and Newcastle/NNSW and Canberra/SNSW.
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Makes sense as SCA have already said they want to focus on the radio part of their business.
Link to article in The Australian:
WIN in talks with Southern Cross Media over northern NSW station
One thing that keeps coming up in these articles is analyses of SCA’s revenues under the new system that say that even though there will be a increase in revenue, that will be offset by higher affiliation fees, so the reverse would also seem to be true. Even though WIN will lose a lot of revenue, it would have also lost a significant amount had a deal with Nine come about due to the high affiliation fees that were demanded.
They will still have 10 affiliations in SA and Tasmania.
So depending on how WIN end up branding their 10 affiliation we could maybe see the WIN brand in NNSW if they purchase NRN? Regional television just got a little more interesting!
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I’m almost certain WIN will keep alive the WIN brand. A new logo may be adopted that somehow incorporates the Ten branding, but I think the WIN name will stay
So if WIN buys NRN off SC; then yes I think NNSW will see the WIN brand for the first time ever
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I don’t think southern cross or NBN will let that happen. Those stations have never wanted WIN to operate in Northern NSW.
And maybe for a good reason too. They want to keep regional television as interesting as can be.
When nine signed up with southern cross, regional television jus got more dull and boring.
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These are multi million dollar businesses, they are not interested in “keeping regional television interesting” just for our sake, they are looking for dollars.
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Southern cross has not yet confirned it’s selling its northern NSW station. it might not sell it. Only southern cross knows.
I don’t think SCA would sell to WIN unless it was a great offer. Last week SCA said they were talking to TEN about a deal in NNSW.
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Whatever they do, you can bet it will be whatever is in their best interests, not worrying about whether or not they want WIN in the area or whether it is to make things “interesting” for us.
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Being the largest regional TV market I can’t see why they would sell it? They will still be operating ten in other regions, why lose that revenue stream?
If SC’s long term plan is getting out of Television - by eventually selling their main stations to Nine once the reach laws change, then they may as well sell NRN to WIN now, while it’s worth more than it will inevitably be in a few years time.
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SCA are also cash poor and have recently been making all sorts of deals to reduce their debt level. Selling NRN could give them an extra cash injection to further reduce debt and give them money to invest in improving their Nine offering - if the wish to introduce local bulletins they’ll need a fair bit of coin to get that set up.
I read that SCA TV currently has gross sales of $100 million, assuming NRN accounts for 1/4 of that, oncee you take out out expenses, a sale at 6-8x EBITA could be worth somewhere between $25-50 million if not more.
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Will walk - I struggle to understand your posts most times but this one is a new sort of wacky
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I don’t think SC has a particular interest in keeping NRN as a sole Ten affiliate (I know they have joint venture Ten affiliates in smaller markets) and long term I don’t think they have a particular interest in owning regional tv stations
Operating a sole Ten affiliate into NNSW when they operate sole Nine affiliates all down the east coast for 90% of their operational reach does not make sense. Especially from a selling advertising point of view. They can’t sell across a “network” of stations - just NRN. So that limits upside
It seems the goal would be to sell NRN to WIN. There are many potential advantages for both SC and WIN in that. And like when you buy or sell a house - a price will be decided upon that makes both parties happy. And then long term it seems the goal
Is to have nine and 9 news and all operations between Nine and SC really synced up, to allow Nine to then buy the key SC tv stations in Queensland snsw ans Vic. That would give them tv stations in every single market from Darwin and cairns down to geelong and Melbourne inland to Canberra wags tamworth and Ballarat plus Perth and Adelaide - covering about 90% of the national population
Don’t forget under current legislation they can only cover 75% of the population…
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Becasue WIN is not available in any of the 5 metro markets it won’t get close to 75%.
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