Did you know that Channel 4 is in the process of beginning to be sold and looks set to become a private TV channel? Plans are for it to become a “levelling up broadcaster”, and it has been estimated that it could be sold at £1 billion to a private investor. To do this, the Channel 4 station will need to move from Leeds to London. However, there have been fears that this privatisation will lead to less of an audience, therefore it will be harder for advertisers to appeal to the right customers. Not only that, but it may greatly decrease the amount of creativity possible across the channel’s platforms.
UK-based content
One of the best things about Channel 4 is that it does focus on video content that has been created specifically with a UK audience in mind. This not only appeals to the UK as a whole, but you may find that it also appeals globally because it creates something that is truly unique that you may not find anywhere else. Therefore, it will allow for advertisers to target the right people, based on the programmes they watch. If it is sold to a privatised company, or perhaps a global company, you may find that it becomes more difficult to target the individuals that a brand intends to sell to. In this case, you may need an AVOD advertising agency to assist you.
Government agendas
Ultimately, if Channel 4 is privatised and sold to a specific company, you may find that parts of what have been core audiences start to distrust the channel altogether. Viewers may fear a more pointed agenda behind news broadcasting and the loss of the channel’s distinctive news coverage style. That means if you have an advertisement play on Channel 4, people may find it less trustworthy. After all, they may get worried that they are being targeted, or that the number of advertisements shown to them may bloat.
Loss of key demographics
Previously, you may have found that Channel 4 was a very distinct channel that had a range of programmes available for a variety of different demographics. This was extremely useful for advertisers as it meant that they could target a wide range of people. However, if Channel 4 is sold to a private company, changes to funding and greater caution around programming may reduce output that appeals to given key demographics.
So, how might the sale of Channel 4 affect advertising? Final thoughts
There are mixed feelings when it comes to the privatisation of Channel 4. While the process has started, there has been opposition from many MPs of all parties, the current management, and wide sections of the UK media landscape. However, despite this, the decision seems very unlikely to be reversed in the short term. As an advertiser, it is essential that you make sure to do your research before you work with the channel to have your ads displayed as the situation develops. That way you can find out whether or not they would suit your brand at the current time, and in the future.
