For personal use only Southern Cross Austereo Annual Report 2012 CONTENTS Southern Cross Media Group Limited ABN 91 116 024 536 First in Entertainment Media Solutions 2 Market Leading Brands 4 SOUTHERN CROss AUSTEREO One Company United Across Multiple Media Channels 5 IS AUSTRALIA’S LEADING Entertaining Regional TV Audiences 6 Leading Radio Australia Wide 7 MEDIA AND ENTERTAINMENT Progressive Client Opportunities and Innovation for the Future 8 Giving Back to Local Communities 9 COMPANY. Chairman and CEO’s Report 10 Board of Directors & Leadership Team 11 Financials 13 For personal use only Southern Cross Austereo Annual Report 2012 1 REACHING MORE AUSTRALIANS THAN ANY OTHER MEDIA COMPANY * ** **** 4.62M 2.59M 6M 10 METRO RADIO STATIONS REACHING 2.59 MILLION WATCHING FREE TO AIR REACHING OVER 6 MILLION 4.62 MILLION AUSTRALIANS TV ACROSS 30 REGIONAL MARKETS FANS ON FACEBOOK 95% 25.9%*** 1M***** SOUTHERN CROSS AUSTEREO HAS THE 25.9% OF ALL TV AUDIENCES OvER 1 MILLION UNIQUE CAPACITY TO REACH 95% OF AUSTRALIA WATCHING OUR TV BROWSERS ONLINE 1M 1 MILLION MOBILE AND IPAD CONTENT DOWNLOADS For personal use only * Nielsen Metro Radio Survey #5 2012. All Ppl 10+. Mon – Sun 5.30am – 12MN ** Source: REG TAM 4-AGG & TASMANIA. S-S 0600 – 2400 FY12. AVG Daily Reach: 1MN *** Source: REG TAM 4-AGG & TASMANIA. S-S 0600 – 2400 FY12. Commercial share **** Facebook Insights, Reach ***** Nielsen Online, Market Intelligence Southern Cross Austereo Annual Report 2012 2 FIRST IN ENTERTAINMENT MEDIA SOLUTIONS Southern Cross Austereo prides itself on delivering entertainment media solutions across a diversified and unrivalled portfolio of brands across multiple media channels that are constantly evolving to meet the changing media and entertainment consumption habits of our audiences. For personal use only Southern Cross Austereo Annual Report 2012 3 Southern Cross Austereo’s assets include A merged entity since 2011, Southern Cross 80 commercial radio stations, 74 television Austereo is a leader in metro and regional signals, a suite of digital radio stations, radio broadcasting with some of the leading online and social media channels, biggest stars and shows to ever grace unique program and content creation our national broadcasting airwaves in plus live events with world-renowned its portfolio. Household names such as artists and celebrities. This broadcasting Hamish and Andy, Kyle and Jackie O, and content creation capacity enables Eddie McGuire, Merrick Watts, Fifi Box and SCA to reach more of the population than Jules Lund, just to name a few, are featured any other media company and offer leading in our line up. Add to that the multiplatform marketing solutions for clients that turn content with the regional TV portfolio, online businesses around. leadership, social media reach, mobile, events and more, and you have a media company that is dedicated to delivering great entertainment to mass audiences and leading media solutions for its advertisers. For personal use only Southern Cross Austereo Annual Report 2012 4 MARKET LEADING BRANDS Southern Cross Austereo is proud to have an impressive portfolio of market leading brands that showcase a diversity of outstanding shows and talent. Multi-media brands that have the potential to deliver entertainment to 95% of Australians. For personal use only Southern Cross Austereo Annual Report 2012 5 ONE COMPANY UNITED ACROSS MULTIPLE MEDIA CHANNELS More than just radio and TV, SCA is committed to being a truly united media company across a broad offer of relevant and diversified media channels. Southern Cross Austereo takes pride in Given the depth of SCA’s media portfolio, delivering content across multiple media SCA is not only a company with many channels in a way that allows it to deliver dimensions but also one that is set up effective and diverse marketing solutions to capitalise on the evolving way in which to its clients and engaging entertainment Australians source their entertainment content. to large audiences. For personal use only Southern Cross Austereo Annual Report 2012 6 ENTERTAINING REGIONAL TV AUDIENCES Southern Cross Austereo’s TV reaches in excess of 2.6 million viewers every day and delivers exceptional share results in the key demographics. These television services cover most of regional 25.9% All People 10+ Australia, with markets receiving a unique mix of programs, local commercial news and 30% All People 25–39 community service information. We provide our clients with 70 windows to 27.5% All People 25–54* advertise – Southern Cross Ten is broadcast to 25 markets, Southern Cross Television to seven markets, ONE to nine markets, Eleven to 16 markets, 7Two to five markets, 7Mate to four markets, Nine to two markets, Go to one market and Gem to one market. This is further extended with four Digital Joint Ventures Tasmania Digital Television, Central Digital Television North, Central Digital Television South and Darwin Digital Television. In Tasmania we are proud to offer the state’s leading nightly half hour news services. We also produce half hourly bulletins across our Spencer Gulf region markets. We have also developed some exciting new programs that complement our radio brands and enhance our television offerings such as Children’s TV show The Workers, Hot 30 TV and Radar Music. For personal use only *(Source: REG TAM 4-AGG & TASMANIA. S-S 0600 – 2400 FY12. Commercial share) Southern Cross Austereo Annual Report 2012 7 LEADING RADIO AUSTRALIA WIDE Our radio networks deliver the country’s best entertainment, music, sport, comedy, big events and news to Australians. THE NETWORKS DIGITAL RADIO Our stations are intrinsically linked to their Digital radio is the new way to listen to radio. local cities and towns, focusing on locally It means more choice, improved sound quality made content, news and events, giving back to and on-screen display information. communities through ongoing unique events, Southern Cross Austereo has been contributing as well as fundraising and support of community original and unique content to the digital radio activities and issues. Southern Cross Austereo landscape since its inception in 2008. has the largest radio footprint in Australia with stations in all states and territories. For SCA, digital radio is a fantastic opportunity to offer new formats that can work for audiences TODAY NETWORK and clients. SCA has the most digital radio The Today Network is Australia’s number one spectrum available out of all commercial radio FM radio network with just over 3.2 million broadcasters. metro listeners tuning in each week and over 1.1 million users online. It also rates number STARDUST one for women in the 18–39 age demographic. Timeless classics. Stardust celebrates the great The Today Network is the home of Australia’s classic singers that swing – from Frank Sinatra biggest radio shows, biggest hits and biggest and Tony Bennett through to Michael Buble. stars! The Today Network is broadcasted in metro RADAR markets Sydney, Melbourne, Brisbane, Adelaide All about the best new music. Radar is and Perth. The 39 ‘TODAY’ regional stream Australia’s new music station on digital radio. stations target the under 40 markets and have It gives strong support to new Australian music a high involvement with their youth audience. and has an active community of new music fans. TRIPLE M LOCAL WORKS BUDDHA Triple M Local Works is broadcast via two Tune in, chill out. Buddha is the place to relax. different music offers – Triple M for rock and It’s the great background companion with music Local Works for variety. that makes you feel good and feeds your soul. For personal use only Triple M has been rocking for over 30 years and is proudly Aussie, playing music that rocks with shows that feature iconic talent that get people talking, reaching over 2 million metro listeners. Local Works plays the best variety of music. The 31 ‘LOCAL WORKS’ stream stations are geared towards the 40+ demographic. Southern Cross Austereo Annual Report 2012 8 PROGRESSIVE CLIENT OPPORTUNITIES AND INNOVATION FOR THE FUTURE With the exponential growth in digital media in recent years and as more and more people gain access, we have an opportunity to interact with a considerably larger audience. The many facets of digital media give Southern Cross Austereo the opportunity to create and provide engaging cross-platform media solutions for its clients. ONLINE MOBILE Southern Cross Austereo has over 80 Smartphones and tablets have really changed websites across the country and many of the game in terms of online accessibility. these are the highest ranking radio sites in Now our audiences are interacting with our Australia. Our website reach is in excess of brand wherever, whenever they desire with new 1 million unique browsers in any given month. and changing expectations for each platform. We combine smart and engaging creative with Southern Cross Austereo has developed mobile a diverse range of ad formats. Our websites applications and m-sites for our leading radio combine the use of great design, rich media, station brands. We also have opportunities for animation, games and competitions. clients to create mobile solutions and drive the uptake of existing mobile properties using other The Today Network websites are the media platforms. number one radio sites in every market and Triple M continues to grow, doubling its UBs Southern Cross Austereo has had over 1 million this year, giving advertisers more opportunity downloads of its mobile and iPad applications than ever to extend their campaigns online to date. within a unique and entertaining space. SOCIAL MEDIA The rapidly growing phenomenon of social media is such a lively and personal way of interacting with our audiences. It gives Southern Cross Austereo the chance to engage and converse with our audience and provides a new and fluid space to spread our brands and content.