The History Channel has launched in Asia, rolling out programming
blocks across various markets.
Foreign cable and satellite television networks have flooded into
Asia-Pacific in the past five years, aggressively establishing 24-hour
service channels in various markets.
As a relative latecomer to the region, the History Channel has opted for
a more moderate approach to build up its presence in Asia.
"We tend to be a conservative company and not to make big mistakes,"
said Mr Whitney Goit, executive vice-president of A&E Television
Networks, the holding company of the History Channel.
Positioning itself as a non-fiction educational channel, the History
Channel started in Asia with the rolling out of programming blocks in
joint venture deals with local partners.
The History Channel managing director Carl Meyer said programming block
distribution was "the right strategy" for the network.
The network's aim was not to grow big, initially, as Mr Meyer said
resources were mostly concentrated on building local partnerships, who
would individually operate the channel in local markets.
"That's the way to turn a profit," said Mr Goit, who stressed the
programming block strategy allowed the channel to learn more.
"When we go for a full channel, we will be more certain and the mistakes
will be far less costly."
History has proven to be something of a sensational subject in Asia -
although the same was true elsewhere in the world - and Mr Goit said
that the channel occasionally needed to adjust its plans.
The History Channel is seen by more than 74 million households in more
than 55 countries, featuring major events and personalities who have
shaped world history.
Programming comes from three sources: the US, global and local
production.
The channel is sticking to its daypart distribution formula first in
Asia, as Mr Goit said plans to go for a full channel were determined by
"how fortunate we are" market-by-market. In Asia, the non-fiction
channel is distributed in Australia with Foxtel and also in Japan, with
Tohokushinsha.
The History Channel will expand into China by allying with Leung Kee
Holdings, and will launch in India, perhaps as a full channel, later
this year.
The formation of joint venture partnerships is the prime business and
operating model for The History Channel, according to Mr Meyer.
Revenue and costs are shared with local partners, with subscription and
advertising forming the major sources of income.
Digitalisation and rapid cyber advancement on the telecommunications
platform have created significant cost-savings for regional networks in
Asia.
The later one entered the cable and satellite TV market, the less costs
incurred in setting up the channel; Mr Goit said the channel could save
the re-investment cost on new infrastructure.
The History Channel is looking at business opportunities on the
Internet; however, Mr Goit said television would always be the prime
distribution platform for the network.