Sunday, August 10, 2014

UPDATE! Six Combined South East Asian Countries Spending Over $500Million on Tourism Marketing. US Television Companies Left Out.

New Category with Terrific Revenue Potential for US Television Spot Sales

3 Million Americans Who Visited The Far East, Over Three years, Live in 12 US Markets

Most Americans Visited The Philippines Followed by Thailand and Singapore

© Millennium Media Entertainment

US Television Companies are left out of Asia Travel Ad Sales due to how their sales organizations are set up. These companies should consider  developing a presence and awareness, in the region. One percent of the above number is $5 Million, Five percent is $25 Million and so on. 
 
Upper sales managements would have to evaluate if the risk is worth it.  This looks very doable to me.  I see tremendous potential benefits for all parties, since I have 30+ years in US Television, and live in the Region.
 
CNN did sell the Philippines a month long schedule for $1.5 Million, in 2012.  US Cable companies have been offering channels from Asia, for some time.
 
Southeast Asia Tourism is quickly growing.  This growth could be a terrific opportunity for Local News and select Cable Channels. 
 
Opportunity for Local Stations and Networks

Foreign Tourists per Country (2011) Ad/Marketing Expenditures (2012)

Country
Total Tourists
Total Promotional Spending
Notes
Malaysia
24.7 M
$80M (9th in World
 
Thailand
19.1 M
$70M
 
Singapore
13.2 M
$340M*
 
Indonesia
7.6 M
$2.5M
 
Vietnam
6 M
$2M
 
Philippines
3.9 M
$31M
$70M in 2013
Sub Totals
74.5M
$525.5M
 
Total Less *Singapore
74.5M
$185.5M
 

*Singapore is in another world.  Indonesia attracts many Muslim Tourists.  Vietnam is a mystery destination, with a good reputation for safety.  No idea how Vietnam is doing this.
 
Why am I telling you all this? Because if you are able to entertain some entrepreneurial thinking, you could pick up $10M in new business. More on that later.

The Philippines set a precedent in 2012, spending $1.5 Million with CNN promoting their new campaign It’s More fun in the Philippines.  

The Philippines is the only South East Asia county to ever use American Television Advertising, for attracting Visitors. 
 
The Philippines is basically a Western country.  The Filipino Media Industry operates similarly to the US’s and the Country has a vibrant Free Press. 
 
The Philippines is in an enterprising mode and eager to grow its Tourism. 
 
They bought taxi cabs and tourist bus billboards, plus London Subway Jumbo Trons during the last Olympics, for example.
 
The Philippines would benefit doing business with Local Television Stations.  They could get a better deal and far greater Audience Share/Exposure, with their target demographics, than they did with CNN. 
 
Local Stations News have a much larger reach, which is why the 2012 political candidates bought more Local Spot Advertising over Cable News. It is simply a more efficient  ROI.  The beauty of this is that The Client can make market specific buys, where high potential Visitors live. (There are 12)
 
I believe Morning Shows are  strong Adverting Platforms for this, for a number of reasons. Viewers recycle throughout the time periods and the 25-54’s are watching.  It’s More Fun in the Philippines, should not be sitting in Nancy Grace, Anderson Cooper or some war.  Doesn’t fit the mood, so to speak, the audience is too old and we know there aren’t very many of them.   

See Graphs below:
 
 

Only FOX News gets in the Top 25 Cable rankings, as a News Channel. (Something tells me their viewers won’t visit the Philippines or SE Asia)

 

Other than that, it’s sports or dramas like Major Crimes, True Blood, Burn Notice that get good numbers and demos, which could be helpful to Philippines Tourism Marketing.


Why the Philippines first?  There is momentum right now and they are hungry for success.  Tourism is fastest way for the Philippines to increase jobs and improve the economy.  And, there is no language barrier, since they speak English.
 
They want this very much and therein is the need/opportunity, for Station Groups and Networks, willing to invest in working with them.
 
The problem has been awareness. Secretary of Tourism, Ramon Jimenez has had a very successful career in Advertising and isn’t a career politician or civil servant.  He more than gets it and during the first half of this year, visitors were up 12%.
 
Most are from Korea, with the USA second in 2011.  See the charts below:
 

 
This is why I think pursuing more American tourists makes sense for the Philippines.  They already know something about the Philippines; many know a Filipino American and most importantly, quite a few have a history of traveling or retiring here.  Three hundred thousand Americans are living in the country, now. 
 
Four Million Filipino Americans
 
AsianFamily
 A hidden benefit for Stations is they could increase news ratings from the American Filipinos, in their DMA’s.  Rarely is anything said about the Philippines on General TV. 
 
KGO-TV did a special on the hundreds of new species discovered in the Philippines and got a number, so I am told.
 
Their average household income is over $75,000 nationally,  This makes FIL-AMS the second highest American income group. Over an half have a Bachelor Degree (or more). 

But, they are not the primary target, though many travel home to see families.  The General population is and most of them watch News.

The Philippines
Visitors to the Philippines are usually surprised by what a friendly, nice, beautiful and affordable place it is. 
 
Filipinos are friendly, helpful, English speaking and very Western.
 
 
Facts 
  1. The Philippines is generally very safe, particularly in the provinces, where tourists go to  snorkel, Island Hop, hike, surf, fish or just chill. 
  2. There are no drug cartels or huge prostitution rings here.  Most parts of the country are untouched and completely safe to travel.
  3. The Philippines is the third largest English speaking country on Earth, which is a plus for English speaking Visitors. 
  4. It is the third largest Catholic population, with both colonial Spanish and modern American cultural undertones. 
  5. The Philippines is the oldest democracy and the most literate country in Asia.  
Democracy does work here, many years ago replacing a dictator via a nonviolent revolution, (The only Peoples Revolution) with the current president’s mother. 
 
A few years ago, the Filipino people literally pushed/forced reformist President, Benigno Aquino into Office.  He promised voters a stronger economy by eliminating government corruption.
 
He has surpassed all expectations.  Aquino has been attracting investors, almost since his first day as president. 
 
Aquino has focused on the economy and jobs.  The GNP grows now every quarter, surpassing China’s so far, in 2013.
 
The Services Sector drives over 51% of the economy.  They knocked India out of the Call Service/Support Industry, moving over $15B of new business here. 
 
The national air flag carrier was broke almost three years ago and is back.  Philippines Airlines just placed a $7B order for new jets. Cebu Pacific (Viral Dancing Flight Attendants) also ordered 40 new Airbus planes last year. 
 
The economy is growing, despite having wrinkles in it.  Everyone here and internationally are betting on Aquino, who has many assignments on his plate.
 
 
 
Below are Stills and Links to Spots:
 
 
 
 
 


Links to Spots:

http://www.youtube.com/watch?v=ecfEmSJrrbs

http://www.youtube.com/watch?v=vo0Jf7eOWtU&feature=related

http://www.youtube.com/watch?v=53MLISJPNHI&feature=related

 
 
Business Plan Outline
 
A Business Plan for doing in The Philippines and Southeast Asia is needed.
(This is not as farfetched as you might think.  Not in this day and age.)
  1. Commit to a sales strategy. If your company does business with one South East Asia country, like The Philippines, others will follow. Do the math: Five percent would bring in $25 M of new business.  They see value, it will grow.
  2. Invest by opening an office in either Thailand or The Philippines. Singapore is an expensive option. The Philippines or Thailand would be cheaper to operate in, plus have the most US visitors.
  3. You will need a representative, if your don’t want to incur costs of a permanent base.  MME Asia would be happy to do this for you or Consult any staff you relocate here. 
  4. This is not labor intensive and costs are low operationally.  You would only need one senior level person in the beginning, assisted by one support person. However, if you send people here, the staff has to learn the various business and local cultures, plus be effective relationship developers.  Once again, MME could be very helpful with this.
  5. Be clear to the locals about your intentions.  That you wish them to do business with US Companies and nothing else.

Consider a Consulting arrangement with MME  for a feasibility study.  This accomplishes two things:

  1. Great ice breaker with the potential clients and creates buzz.
  2. Figure out the markets and create your marketing strategy.

My Background in Asia and over three decades in US Television are below:

MME’s President, John Sheehan has over 30 years in Television News, Entertainment Programming, Sales, Consulting, Research and Management. 

Sheehan also spent many years in Asia and the Pacific.  He is fluent in two languages, plus understands two others.  MME  has a foot in both worlds, understanding the SE Asian (Particularly the Philippines) Cultures and also how things are done in the US. 

MME can be your company's Business/Cultural bridge in The Philippines and the Region.
 
MME believes this unique background can make it possible for Stations to break into the Tourism Sector here.  MME’s preference is to provide services on commission or as a consultant or both, to Stations and Networks.
 
Millennium Media Entertainment
 
Millennium Media Entertainment is a Television News, Marketing and Programming Development and Consulting Firm, continuing to do business in the United States. 
 
President and Chief Executive Officer John Sheehan has over 30 years of Senior Television Management Experience, Consulting Television Station Group Heads, Network Executives, Syndication Presidents, Chief Financial Officers, General Managers, Sales Managers, News Directors and Creative Services Managers about almost every aspect of the Television Business. 
 
Sheehan was Chief News Consultant for Group W Television, later The CBS Owned and Operated Stations in 12 Major US Markets, from 1991 to 1999, responsible for News Content Development, Station Branding and Talent Development.
 
Besides News, Sheehan consulted several Nationally Syndicated TV Shows including: Win, Lose or Draw, with Burt Reynolds, A Current Affair, The Gail King Show, and Evening Magazine.
 
Sheehan started Millennium Media Entertainment as a News Program Syndication and Consulting Company in 1999, after being President of the Clemensen Sheehan Rovitto & Company since 1991. 
 
While with CSR, Sheehan worked closely with the CEOs and managements of Allbritton Communications, Anchor Media, CBS Owned and Operated Television Stations, Group W Television (Westinghouse),New World, 20th TELEVISION, Group W Productions, Granite Broadcasting, and CBS’s EYEMARK ENTERTAINMENT.
 
Sheehan was President and General Manager of Audience Research & Development, from 1988 to 1991.  As president, he directed a staff of nearly 60 highly skilled television professionals, providing broadcast research and consulting services to over 120 stations, broadcast and cable networks and syndication clients. 
 
Prior to that, he managed AR&D’s sales efforts from 1985 to 1988, as Vice President of Client Development.  During his time with AR&D, Sheehan increased revenues by over 100%, quadrupling the company’s client base.
 
Before joining AR&D in 1985, Sheehan was Executive Vice President of SRI Research Center, now The Gallup Organization.  He started as Production Manager for SRI in late 1977 and within two years was named Executive Vice President, overseeing all market research and financial operations with a staff of more than 80 people. 
 
Prior to SRI, Sheehan served in the Peace Corps from 1974 to 1978 in the South Pacific.  He spent his first year in the region as Director of the Solomon Islands’ Information and Broadcasting Department overseeing a weekly newspaper and the national radio station.  He was responsible for each medium’s content, staff development and sales.
 
In 1974 he was assigned to Kingdom of Tonga as general manager of Tonga Feeds the country’s only source of livestock feed.  Sheehan managed all aspects of the company including accounting, inventory, pricing, importing/exporting products, new product development, a farm, government relations, staff development and negotiating foreign aid packages.  
 
When Sheehan left Tonga Feeds, nearly bankrupt when he arrived, the company was earning a 30% profit and influenced 25% of the Kingdom’s economy.  Sheehan was offered senior management positions by both the Tongan and New Zealand governments.  He returned to the US in 1977.
 
Sheehan earned a BA in Journalism from Creighton University.  He also fluently speaks Tongan and Melanesian Pidgin.  Sheehan also served in The United States Marine Corps.
 
Below is a partial list of the stations and companies that Sheehan has had working relationships, during his 30 plus year career:
 
Station Group Owners and Production Companies
Allbritton Communications
Anchor Media
ABC News
Belo
Buena Vista Television
CBS News
CBS Television Stations
Cox Communications
EYEMARK Entertainment
Gannett Television
GroupW Productions
Group W Television
Granite Broadcasting
Guy Gannet Broadcasting
Hearst Argyle Television
NBC Universal
New World Television
Storer Television
            20thTELEVISION (FOX)
           United/Cris-Craft Television
 
Stations
WAGA           Atlanta
WJZ               Baltimore
WBZ              Boston
WSBK         Boston
WBBM         Chicago
            WJW             Cleveland
KOAA         Colorado Springs
WDTN          Dayton
WHIO           Dayton
KDFW          Dallas
KCNC           Denver
KCCI             Des Moines
WDIV            Detroit
WJBK            Detroit
WTVX           Ft. Pierce
WLBT            Jackson
KCTV            Kansas City
WDAF           Kansas City
KCBS            Los Angeles
KCOP            Los Angeles
WFOR           Miami
WTVJ            Miami
WITI              Milwaukee
WCCO           Minneapolis
WSMV           Nashville
WCBS            New York
WESH             Orlando
WEEK             Peoria
KYW               Philadelphia
KPHO             Phoenix
KSAZ              Phoenix
KDKA             Pittsburgh
WTAE             Pittsburgh
            KATU             Portland, OR
WGME            Portland, MA
WTVR             Richmond
WSET              Roanoke
WREX             Rockford
KOVR             Sacramento
KUTV              Salt Lake City
            KSBW              Salinas
            KING               Seattle
          KMOL (WOAI) San Antonio
            KNSD              San Diego
           KPIX                San Francisco
           WGGB              Springfield
           WTVT              Tampa
           WTSP               St. Petersburg
 
Clients (Non-Television)
Anheuser Busch
Brinker International
Cargill
Kentucky Fried Chicken
Harman Management
Marriott
Norwest Banking
Omaha World Herald
          Over 75 free Circulation Newspapers
Pulitzer Publishing
Village Inn
Wendys


 
 

1 comment:

  1. Nice survey on the television and the channels!The snapshots are really good!
    Asian Travel Guide

    ReplyDelete