Nine Entertainment is hearing a more optimistic tone from discussions with media buyers about the December quarter.
The media group reported revenue flat at $2.7 billion for the full year to June in a “subdued” advertising market, particularly in free-to-air television, digital display and print publishing.
Since the start of the new financial year, there hasn’t been significant change, according to Nine chief sales officer Michael Stevenson.
The metro free-to-air advertising market is estimated to be down in the low double digits (%) in the September quarter.
9Now revenue is expected to grow in low double digits (%) for the same quarter.
However, the market could be changing.
“Into September we have seen material improvement from the first two months,” he told an analyst briefing.
“And I'm very positive, and continue to be confident, that we will continue to take market share both in metro markets, regional markets, and BVOD.
From a BVOD perspectives, Nine expects the market to be growing in low double digits for the September quarter.
Stevenson says television is the greatest indicator of market strength.
He says it's a little too early to give guidance on what the December quarter looks like.
“Other than to say that the conversations that I am having regularly with media buyers in the market, certainly seem to be more optimistic and showing signs of improvement,” says Stevenson.
Nine has been performing well against the market. While the metro free-to-air market fell 11% in the 2023 financial year, Nine’s was down by only 4% for the year to June.
And Nine’s total television share was an historically high of 41.8%, up 2.9 percentage points on the previous year.
The media groups says it has maintained its investment in content, marketing and technology.
“My view is that you've got to be the leader in content, you have to be the leader in data, and you have to be the leader in technology,” says Stevenson.
“And I think from Nine’s perspective, we lead in all three of those three areas.
He says those can seamlessly trade audiences across the total television landscape of linear, metro, regional and BVOD will have a competitive edge in the market
“We've been trading with all of our media agency partners and clients in a fully cross platform for quite a number of years.”
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