Further increase in media consumption
Media budget growth market: The Swiss spent 11.3 billion on media in 2007 - 6.6 percent more than in the previous year.
Media budget growth market: The Swiss spent 11.3 billion on media in 2007 - 6.6 percent more than in the previous year.
The good news first: Swiss households spent an average of CHF 3276 on media in 2007, CHF 139 more than in the previous year. Media therefore continues to be a growth market in Switzerland. The bad news: although print media generate the largest turnover in the user market at CHF 1.8 billion, which corresponds to around a third of the total content budget of CHF 6.2 billion, expenditure on print fell by 3.1 percent compared to 2006, a small indication of the slow-motion, continuous erosion of the printed press.But first the comprehensive data: in 2007, the total income of the Swiss media amounted to CHF 14.6 billion. 23 percent of this is advertising revenue, 11.3 billion francs or 77 percent came from users, of which 10.9 billion francs came from private individuals. This breaks down as follows: The audience spent the largest share of 6.2 billion francs on editorial content, which is 3.5% more than in 2006. The corresponding devices for media consumption cost the audience 3.5 billion francs or a whopping 13.5% more than in the previous year. At CHF 1.6 billion, 5.1% more was also spent on media access (Internet etc.). The aforementioned CHF 1.8 billion for press content was followed by the IT and telecoms sector with CHF 1.4 billion, which rose sharply by 24.1%. Radio and television accounted for CHF 1.3 billion (+2.3%). This was followed by books (CHF 812 million), recorded video and audio media (CHF 724 million) and cinema (CHF 208 million). Around CHF 2.8 billion (+9.6%) was spent on access to the Internet and other media as well as the associated devices in the consumer electronics sector. An impressive CHF 2.3 billion (+12.1%) was also spent on access and devices in the IT and telecoms sector.
Companies now includedFor the first time, the creators of the media budget, which the Swiss Press Association is conducting for the fourth time, have included companies, organizations and institutions in addition to private households. In the latest statistics, the total expenditure of these commercial enterprises amounts to around CHF 400 million, or 6.4 percent of the total media budget. Books accounted for the largest amount at CHF 162 million, followed by PC downloads at CHF 123 million. The creators of the study estimate that the industry spends around 30 million francs a year on mobile content.
Free vs. subscribed pressApart from the Sunday press (+3.9%), all print media lost ground slightly compared to the previous year. In contrast, free media are on trend, both in print and online. They are changing the reading habits of the younger audience in particular, while the over-40s are loyal users of the subscription press. A polarization of the market is thus becoming apparent: Individually sought-after and free short fodder stands in contrast to ready-made news items enriched with background information.
The strong titles continue to hold their position: the top titles in the daily press, regional weekly press and Sunday press are SonntagsBlick, Blick and Tages-Anzeiger. In the general, financial and business press, Beobachter, Schweizer Illustrierte and Schweizer Familie are in the lead. The specialty press is led by K-Tipp, Saisonküche and Saldo. The trade press titles are BauernZeitung, Schweizer Bauer and Terre & Nature. And Beobachter, K-Tipp and Mittelland Zeitung have the highest subscription figures. SonntagsBlick, Le Matin Dimanche and Blick dominate newsstand and box sales. Sales of CHF 646 million at Swiss kiosks are 2.3 percent lower than in 2006. The attempt to sell press titles via selected post offices was abandoned last March.
Digital television is boomingThe radio budget rose slightly by 0.3% to CHF 476 million. In contrast, 1.3% fewer radio sets were sold than in the previous year. Consumers are obviously unsettled by the technological uncertainty surrounding radio reception. In 2007, only around 20,000 DAB receivers were purchased.
Compared to the radio medium, audiences spent CHF 2.7 billion on television, 5.3% more than in 2006. Viewers spent CHF 1.1 billion on new TV sets, including set-top boxes and satellite receivers. The switch to the digital signal also boosted sales of HD sets.
Broadband providers also reported a sharp rise in demand for their digital television offerings. The association Swisscable reported a turnover of CHF 90 million (+25%) and 401,094 subscribers (+43%) for digital television. Swisscom also reported 70,000 Bluewin TV customers.
Films on saleThe Swiss spent around CHF 1.7 billion (+7.6%) on consumer electronics such as audio, video and gaming in 2007. Sales of recorded music fell by 8.4 percent to CHF 175 million in 2007, whereas CHF 13 million (+86%) was spent on paid music downloads. This reflects the international trend, according to which sales of music via the Internet and cell phones rose by around 40 percent in 2007. In the video sector, on the other hand, the trend is pointing downwards. In 2007, specialist retailers sold 324 million francs worth of DVDs, UMDs and Blue-Ray Discs (-9%). In view of the huge range of around 40,000 film productions on offer, the decline in sales can be explained by an aggressive price war. The top sellers were "Casino Royale", "Pirates of the Caribbean" (No. 3) and "Harry Potter and the Order of the Phoenix". French-speaking Swiss and Ticino are the real movie freaks compared to the rest of Switzerland. The new generation of games consoles brought record growth of 36% to the Swiss gaming industry.
The media budget is under
René Worni
Take a look at
the Swiss media budget for 2007.
