Hallmark network eyes family niche in Asia-Pacific market

Hallmark Entertainment Networks is making aggressive moves into Asia, eyeing an educational family programming niche on the cable and satellite TV platform. Launched more than a year ago, Hallmark's two flagship channels, Kermit and Hallmark Entertainment Network, capitalise on the company's merchandising, interactive and programming resources to offer integrated marketing services to advertisers. Despite the two channels' late entry into the regional television scene, Hallmark executives said the bundle of family-oriented channels were confident of competing for viewers and marketers. Taiwan, India and the Philippines are the three key markets for both the Hallmark and Kermit channels, according to Mr Kip Vanderbilt, Hallmark Entertainment Networks senior VP for worldwide ad sales. Kermit and Hallmark channels have different content approaches, with the former focusing on children's educational programmes and the latter on big event movies and mini-series. Mr Vanderbilt said the "safe content" of both channels had broad appeal for advertisers, with their viewer profile compiled of not only children but also parents. Hallmark's distribution strategy is on a 24-hour, full channel basis in Asia, with no plans for daypart distribution. Hallmark is now currently reaching eight million homes in Asia while Kermit reaches six million homes; the network is targeting 12 million and 10 million homes respectively this year. The advertising sales strategy will be devised on three levels: local country base, pan Asia region and international. As international advertisers already have great deal of experience with Hallmark, the channels are bullish on growth in Asian markets, according to Mr Vanderbilt. Marketers are not only interested in on-air advertisements, but also on-the-ground promotion opportunities in alliance with the broadcaster's events. With more than 1,000 retail outlets, Hallmark offers marketers fully integrated communications services, given its interactive and merchandising resources. Hallmark is also planning to make greater investments in consumer and trade marketing campaigns this year, as part of an effort to strengthen overall distribution and affiliate relationships. Despite the economic woes of the past two years, Mr Vanderbilt said the biggest challenge in building a regional network in Asia was actually in sourcing the best programming and marketing solutions: "Everybody has to work harder - if we do well, we can build share," he said. With regional broadcasters increasing localised programming in a bid to capture domestic advertising opportunities in Asia, Mr Vanderbilt said Hallmark's localisation strategy would roll out gradually. In terms of local production, Hallmark focuses on big budget movies and mini-series which have the capability to distribute internationally - for instance, the channel is producing a major mini-series, Monkey King, in China. Kermit is a joint venture of Hallmark Entertainment and The Jim Henson Company; and Henson and Hallmark's combined programming libraries provide Kermit with more than 4,000 hours of family-oriented programming.

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