Comparison of Two Broadcast Platforms in Hong Kong

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‘What Makes a Better Broadcast Platform?’

There are two major broadcasting platforms in Hong Kong: TVB and ATV. Within the completion in almost a half-decade, both TVB and ATV have their uniqueness which leads a different level of success to its own. In my point of view, according to the profit, audience share, market share, quality of programmes, technology and business model, I would say TVB is more successful than ATV.

On the ground of profit, TVB has achieved higher revenue than ATV in all of these years. According to the official announcement from TVB, their gross profit is $900,000,000 in the year of 2009. Most of the money was come from the advertising agency. While TVB is having a great amount of profit, ATV is suffering from financial difficulties. According to the news, the monthly income of ATV is about $14,000,000 in recent years. However, the expenditure is a large amount that it is unable to cover by the income. It is about 60,000,000 per month. In other words, ATV costs a loss of $46,000,000 per month. It is clear that TVB’s financial condition is healthier than ATV very much. Not only we can discover the financial condition of two broadcasting platforms in their profit or loss, the production of television programmes can reflects the financial condition of the television station. As we can see in the schedule, TVB prefers to produce television programmes on its own while ATV prefers to buy some ready-made television programmes from other countries to broadcast. Ready-made television programmes cost much cheaper than self-produced programmes. It is expected that ATV do not have a sufficient reserves to produce their own works. In the aspect of profit, TVB is more successful than ATV.

On the ground of audience share, TVB has made a great success than ATV. An audience share report conducted by CSM Media Research (Appendix I). The report conducted the audience measurement of the programmes from TVB and ATV, from 18:00 pm to 23:00 in the period of 31th October to 6th November in 2011. Within a week, TVB’s average audience measurement is 20 points, having the highest point of 33 and the lowest point of 11. For ATV, its average audience measurement is 3 points, having the highest point of 8 and the lowest point of 1. We can see there is a big difference in audience measurement within the two companies. Being a broadcasting company, their major goal is to bring information and entertainment to the audience. If no audience wants to pay attention to the programmes that a broadcasting company made, I would say the company is unsuccessful since they cannot achieve their goal. Therefore, it is significant that TVB is more successful than ATV in the aspect of audience share.

On the basis of market share, TVB is having a benefit while compare to ATV. In recent years, many new broadcasting companies appear in the market and became the competitors of TVB and ATV. They are Cable TV, Now TV… etc. These competitors have taken away a part of market share from TVB and ATV, making TVB and ATV’s market share decrease. TVB has had eighty percent market share among the two free television broadcast stations. TVB is not a company that only broadcasts in Hong Kong, the businesses of TVB including charged television programme, music, movie and publishing were around the world. Almost all the places having Chinese have the businesses from TVB. Reverse, ATV’s market share is really low compare to TVB. For example, the businesses, TVB is having more than 4 kinds of business but ATV is only having 2 businesses. The market share is relatively low for ATV. Therefore, ATV is not successful enough while compare to TVB. There is a major factor to decide how success a television broadcasting platform - the quality of the programmes. The better quality a programme has, the more audience a broadcast platform can attract. The types of television programme from TVB are various. From news, drama, informative programme, talk show, game...
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