SINGAPORE: SPH MediaWorks' launch of a new free-to-air television
station has been greeted with mixed views by media buyers.
Media buyers said they are concerned amid reports that MediaWorks is
still awaiting a broadcasting licence even though Channel U - its
Chinese language station - is scheduled to launch on May 6 followed by
the English languageTV Works channel on May 20. In the last few days,
Reuters reported that MediaWorks could be forced to delay its launch
because the Singapore Broadcasting Authority (SBA) has yet to issue it
with the necessary licences.
MediaWorks responded with a statement to the Singapore Stock Exchange
the next day, stating: "SPH has been working with the SBA on a licence
for MediaWorks. In the meantime, we will continue to get ready so we can
launch the channels once MediaWorks gets the licence."
But its statement has not allayed agencies' concerns. Tay Tat Jin, FCB
Singapore media head, said: "There's no point discussing advertising if
they don't launch the stations on time. We asked them about the licence
and we're waiting for them to get back to us."
MediaWorks also faces stiff competition from Singapore's dominant
broadcaster MediaCorp, which has restructured its ad sales department to
boost efficiencies. Instead of having sales staff assigned to
advertisers, they are now assigned to media agencies.
Despite these challenges, MediaWorks appear to have won over some media
buyers. Malcolm Hanlon, general manager of Zenith Media Singapore, said
it is worthwhile advertising on the two stations because "everyone will
be tuning in to see what the new channels are like".
Hanlon said the ad packages are cost efficient and advertisers can pay
according to a cost per rating point.
