Three new pay-TV operators GMM Z, RS and CTH, began their pay-TV services early this year to challenge a market monopoly by TrueVisions but will miss their business targets in the first year of operation as marketing schemes have been carried out with little direction.
In the case of RS, the company's performance faltered in its first year of providing Spanish football league or "La Liga" coverage because it focused too heavily on subscription fees Some marketing schemes do not suit the habits of Thai consumers who enjoy watching free content RS has only 20,000 subscribers for La Liga despite its subscription costing only 99 baht a month. RS has adjusted its media rights strategy for La Liga in the second year by giving sublicences to other TV operators such as PSI Holdings and TrueVisions. The company expects to break even in the second year and turn a profit in the third year.
Media rights management for big sports events involves fierce competition GMM Z has the rights to the 2016 European Football Championship. GMM Z, said its first nine months of pay-TV service had losses but they were in line with its overall business plan. However, the company considers some of the marketing and operating methods they were using as wrong, such as selling through modern trade outlets The heart of the satellite TV business is to keep good relations with local dealers who can promote products and drive sales rapidly by sharing revenue Consumers like to buy satellite dishes and set-top boxes via dealers who offer after-sale services.
Another company, CTH has the rights for the English Premier League (EPL) and met its targets for subscription numbers and cable TV installations but is facing billing management problems that will make it miss its revenuetarget of 500 million baht.
In the pay-TV industry, dealers can drive sales through revenue-sharing schemes TrueVisions and PSI have become major players in the pay-TV and satellite TV areas through their strong partnerships with dealers.