ITV rethinks its business model to cure advertising addiction
ITV may be back in the black as the broadcaster posts a return to profit but the future prospects for the station remain uncertain.
Though it remains Britain’s largest commercial broadcaster ITV’s recent performance has left shareholders rueing a reliance on advertising which has seen the media giant struggling to grapple with falling revenues.
In a bid to disperse his eggs across more baskets the channels chief executive, Adam Crozier, has thus announced a five year plan for the firm to push the firm internationally with a corresponding focus on technology and ITV.com.
Crozier has already announced a move into pay television by licensing high definition versions of its digital channels to BSkyB and developing a micro-payment system that will allow browsers to watch video online in return for a small payment.
In tune with this strategy ITV are also developing plans to launch a series of paid and free content on the BBC’s Project Canvas.
The firm will also focus more on producing more light entertainment shows such as High School Musical, the X Factor and Top Gear which can generate huge profits from merchandising, phone applications and spin off events.