Broadcast INDIE SURVEY 2019 SPONSORED BY THE DEFINITIVE GUIDE TO THE UK TV PRODUCTION SECTOR SCREEN SCOTLAND Screen Scotland is the new dedicated partnership for screen in Scotland, delivering enhanced support for all aspects of Scotland’s screen sector. www.screen.scot | @screenscots E [email protected] T +44 (0) 141 302 1724 The Clyde Arc, also known as the Squinty Bridge, is lit up as night falls with STV and BBC offi ces in the background and the lights refl ecting on the River Clyde, Glasgow, Scotland. Photo: Tony Clerkson/ Scottish Viewpoint SPONSORED BY CONTENTS Stability amid uncertainty This year, the Broadcast Indie Survey is published just a week before the UK’s planned exit from Europe – depending on what game of political tombola is played in the days after we’ve gone to press, of course. However, while Britain’s future remains uncertain, the indie sector was strong in 2018 – and that’s testa- ment to the maturity and talent of the companies working in it. The headline fi gures from this year’s survey reveal that overall sector revenues rose from £2.5bn to £2.8bn last year, once again without numbers from BBC Studios, ITV Studios and Warner Bros, with most producers stable and growth mainly coming from the larger players. That’s especially good news with commissioning in the nations and 4 18 regions set to explode – Channel 4 is relocating to Leeds with a pledge to up spend by £250m by 2023, ITV and its regional production subsidiaries are producing a lot of hours and the BBC is signifi cantly exceeding its N&R quotas. It’s no surprise, then, that more than three-quarters of indies expect to win more N&R business in the coming years. Support for C4’s national headquarters plan is high – indies apparently like the idea of business in Leeds. But there’s concern that landing work at the broadcaster will get harder, perhaps due to new indies launching locally – or maybe just because the structures haven’t yet been announced. Emphasising perceptions that the TV business gets tougher every year, nearly 75% of those surveyed said competition is becoming more intense. The numbers in 2018 were similar, but the industry has changed since then: BBC Studios is vying for commissions, while the corporation itself has signed up to ITV’s plan to launch streaming service Britbox. Ian Katz has a new-look programming team at C4 and the SVoDs are well and truly here. For now, onwards to Brexit. 24 32 With thanks to Barclays for sponsoring this year’s survey. Jesse Whittock For further information visit broadcastnow.co.uk/futureoftv Editor, Indie Survey INDIE SURVEY METHODOLOGY CONTENTS To qualify for the Broadcast ranked higher. Our thanks 04 OVERVIEW Indie Survey, producers have to ACF Investment Bank for to have had at least one casting an expert eye over Turnover hits record as smaller indies face growing competition piece of commissioned these fi gures. INDIE LABELS programming broadcast in We also polled companies 09 the UK in 2018, and still be that own indies. Some Full results for the 136 companies that completed the survey in business. Any omissions opted not to break down the are therefore no longer turnover of their individual 16 TRUE INDIES trading, had no shows on subsidiaries, so these are The top 30 companies unaffi liated to any larger group air last year, or chose not not listed in the main league to complete the survey. table, but their turnovers 18 TOP OWNERS/CONSOLIDATORS Companies are ranked are included within those Quiet period for UK fi rms after years of consolidation by their 2018 turnover, or of their owners. the most recent full year for Individual broadcaster 23 BROADCASTERS which fi gures are available. league tables, ranking indies Netfl ix impresses but traditional broadcasters remain key Where turnovers are equal, by volume and spend, were the company with the supplied by the broadcasters 24 TOP SUPPLIERS biggest UK turnover is themselves. Broadcasters’ top 10 suppliers by hours and spend 30 NATIONS & REGIONS Broadcast Editor in Chief Chris Curtis Supplement Editor Jesse Out-of-London indies gear up for increase in N&R commissioning Whittock Production Editor Dominic Needham Art Editor Abi Hardwick Contributor Tara Conlan Senior Account Manager Richard Hewes 32 PEER POLL Commercial Director Talia Levine Head of Marketing Nina Bhalla Studio Lambert comes out on top after new format The Circle debuts Managing Director, MBI Alison Pitchford BROADCASTNOW.CO.UK 22 March 2019 BROADCAST INDIE SURVEY 3 SPONSORED BY Industry thrives in changing market The rise of the SVoDs means there are more buyers than ever for UK programming, boosting turnover to a new high, but smaller indies face growing competition. Tara Conlan reports SEISMIC MARKET changes created submits individual data– and Sugar by the rise of the global streaming Films is now owned by Sky Vision. INDIE CONFIDENCE LEVELS (%) services continued to be felt through- While some companies did not con- 5 out the UK independent sector last I can’t tribute this year, there were several 54 year, and the British TV titans who posting for the fi rst time, such as provide the programming on which remember BlackLight TV, FirstLook TV, Naked Netfl ix, Amazon and others hang their a time when Television and Home From Home 41 scaffolding are “riding the crest of a producer CanCan Productions. wave”, according to Plimsoll Produc- there were So while the make-up of the survey tions founder Grant Mansfi eld. more buyers has changed slightly, it paints a fasci- Netfl ix has signalled its intention nating picture of an industry that is to increase its UK business and better here and in managing to thrive despite a host of engage with the community through uncertainties. Those inhabiting that the US More confi dent than a year ago the hiring of several seasoned com- landscape include super-indies and JON THODAY About the same missioners and public-relations execs, consolidated production groups, as AVALON Less confi dent than a year ago while Amazon will signifi cantly well as ‘true’ indies – which Broadcast Based on 102 responses increase its European output this year. defi nes as owning more than 50% of For those at the top of the tree, their business. For the latter group, streamers have become hugely impor- combined revenues were £745.8m, HOW HAS THE COMPETITION tant and the global approach this up 17.4% on last year. FOR BUSINESS CHANGED (%) demands is seen as vital for super- The largest true indie was once 1 indie expansion. For smaller indies, again veteran comedy and entertain- the UK production market can be ment giant Avalon, with turnover of 25 74 challenging, even with the increased £132.3m – up marginally on last year. 36% number of buyers, because more It was helped by shows including companies are competing for their BBC1’s long-running sitcom Not Going business than ever before. Out, plus Channel 5’s Dogs Behaving Badly, Channel 4’s Catastrophe and Survival of the fi ttest Sky 1’s The Russell Howard Hour. Demonstrating the Darwinian nature Avalon joint managing director of the sector, 29% of those surveyed Jon Thoday says the expanding won an original commission from an market is helping business: “I can’t Become more intense international on-demand service like remember a time when there were The same as usual Amazon, Netfl ix, Facebook or Apple in more buyers here and in the US.” Become a bit easier 2018. That is an improvement on last He puts the company’s success down Based on 100 responses year (15%), and more growth could be to working with “really good talent and on the way – a whopping 85% are in doing the best to get them on screen”. “active conversations” with them “It’s good there are more buyers HOW CONFIDENT ARE TRUE about future projects. in the market,” adds Thoday. “There INDIES ABOUT THE NEXT TWO YEARS? (%) Overall, 2018 was a strong year for are more options for a show that you 2 the sector fi nancially, with existential really believe in to fi nd the right home. issues such as Brexit remaining in the One thing that helps us is we have a 55 background, though 34% said the big footprint in the US and have uncertainty has impacted their busi- had a hit with Catastrophe. That ness to some extent. The indies that opens the door in a lot of places.” 43 took part in the survey recorded £2.8bn Meanwhile, Thoday does not see any in turnover in 2018, signifi cantly up sign of streamers’ desire for new shows on last year’s £2.5bn – reinforcing abating, and has high hopes for new Mansfi eld’s belief that “many producers titles such as Martin Freeman parenting are having a golden time”. comedy Breeders and Comedians There was less M&A activity in 2018, Watching Football With Friends for Very Quite Not at all though World Productions joined the pay-TV provider Sky. However, he ITV Studios stable – so no longer warns that smaller drama companies Based on 60 responses 4 BROADCAST INDIE SURVEY 22 March 2019 BROADCASTNOW.CO.UK OVERVIEW Angeles, sits in second place on our list of indies outside London and SECTOR HOW WORRIED SHOULD third on our ‘true’ indies list. STATS BROADCASTERS BE BY RIVALS? (%) Mansfi eld says “a big part” 3 of its success is due to its inter national business. £2.8bn 5 The rise of new niche 36% 30 streamers like Curiosity- Indie sector global 25 Stream prompts him turnover to suggest there is “an amazing opportunity bn for unscripted producers £1.3 in the UK”, adding: Combined turnover 37 “Specialism helps.