focus on print, radio and online
The key components of the strategy are focus, bundling of strengths and investing in growth.
In print TMG remains the leading journalistic force in the Netherlands and positions itself to play a proactive role in the consolidation of the market. In 2012 Metro has been acquired.
In online TMG aggressively pursues the opportunities for growth offered by the online environment; we strengthen our reach, apply our unique competencies to the area of social media and video and we cash in on our reach with, for example, e-commerce. In 2012 majority stakes in Groupdeal and ZOOM.in Nederland and total ownership of Dichtbij have been acquired.
The radio platform is fully integrated within TMG’s portfolio and expands through means of digital services. In 2012 MyRadio has been launched. The first radiostation in the Netherlands that will adjust itself completely to the preferences of the listeners. In 2013 the format of Classic FM will be adjusted; next to classical music news and back ground of the news will get a bigger role.
TMG’s organisation structure follows the strategy. A change to the company’s organisation structure has been realised in 2012.
Keesing Media Group has its own strategy. On the one hand the strategy is aimed at realising economies of scale by growing the traditional business internationally and on the other hand growth is pursued by initiating digital products. Due to the acquisition of Megastar, KMG also acquired positions in Spain and to a lesser extent in Germany. KMG in 2012 began to further develop these market positions, thereby also making use of the in-house developed centralised puzzle generator. KMG in 2012 launched its first tablet products for iPad and Windows 8, and the product line since covers four languages with five segments. Taking into consideration that TMG focuses on the core business, Keesing Media Group is now under strategic review.
The advertising market, particularly in print, deteriorated further and faster than expected in the course of 2012. There is no prospect of a quick recovery which necessitates accelerating cost measures. The funds that may become available from ProSiebenSat.1 Media AG will be used to provide the core business with a healthy balance sheet and to create liquidity for shareholders. TMG continues to roll out the current strategy for the core businesses with more limited resources and more efficiently while maintaining a solid capital structure. Due to the bad market conditions TMG suspends its financial targets for 2016.
For the year 2013, the company expresses no specific expectation concerning the result. The following developments will have an impact on the result:
- Decline in print advertising revenues
- Modest decrease in circulation revenues;
- Acceleration in the current cost-savings program;
- increase in online revenues;
- modest increase in radio advertising revenues.
Keesing Media Group is under strategic review.