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Enders Analysis provides a subscription research service covering the media, entertainment, mobile and fixed telecommunications industries in Europe, with a special focus on new technologies and media.

Our research is independent and evidence-based, covering all sides of the market: consumers, leading companies, industry trends, forecasts and public policy & regulation. A complete list of our research can be found here.

 

Rigorous Fearless Independent

The UK is the top music publishing market in Europe, at £428 million in 2014, despite being second to France and Germany for collections, because mechanical royalties for the reproduction rights (CDs, vinyl, digital) flow only to music publishers, while performance royalties are shared with writers

Thanks to the recovery of the UK economy that started in 2013, royalties from performance on radio, TV and in public have risen more strongly in recent years than in the difficult period of the recession 2008-10, providing a more promising context for sustained growth of the performance component of music publisher revenues

For online royalties, which accounted for 12% of music publisher revenues in 2014, the withdrawal by major music publishers of their rights to Anglo-American repertoire has shifted licensing to SOLAR, a joint venture of PRS for Music, STIM, and GEMA, also offering an aggregated repertoire and copyright administration services. This makes PRS for Music a leader in the development of multi-territory licensing of digital music services

Non-subscribers can download this report in full - alongside all our other coverage of the BBC during the Charter Review process - from the 'BBC Charter Review' page of our site.

The Government’s Green Paper on Charter Renewal asks whether BBC News is “crowding out” commercial news suppliers and, if so, whether this is justified

Our research shows that UK newspaper publishers have been damaged by the internet. They face inherent challenges in monetising online audiences, in common with other news publishers. To be blunt, the BBC plays no role in exacerbating these challenges

Scaling back BBC News will damage the UK’s sole source of impartial, quality and trusted news, whose independence is valued by users in the UK and around the world, risking the UK’s global “soft power”

While volume growth remained robust in Q2, UK residential communications revenue growth did dip again during the quarter, to 3.6% from 4.5% in the previous quarter and 5%-6% for much of 2014

However, this largely related to the timing of price increases, with there being a host of headline and effective increases due before the end of the year. The combined effect of those announced so far is sufficient to push market growth back up to the 5%-6% range for both of the next two quarters

Looking ahead, the actual launch of BT Sport Europe in Q3 may have further impact, but a modest pre-launch effect suggests that this will not be dramatic. BT will be hoping that it at least drives an acceleration of growth in its TV base, given that it is still free for these users

In this extensive report on the UK magazine market we review demand for print magazines, the advertising marketplace and the transition to digital. We detail the major publishers’ print and digital activities and provide advertising forecasts for print and digital spend to 2018

UK advertising is having a bumper year – some of the strongest growth for two decades – but print is receiving none of this upside. The year started soft then plummeted in the weeks immediately before and since the General Election, with increasingly serious implications for the sector

A reasonably steady UK economy and explosive TV and digital spend evidence a structural decline for print media display, though specific factors also point to some cyclical effects

We forecast a slowing of the rate of decline in H2 2015 and 2016, but we believe sooner or later the industry will have to work closely with agencies and brands to establish new terms of engagement for print media

Virgin Media’s subscriber figures bounced back in Q2 after a weak Q1, and consumer revenue growth also improved to a respectable 3% despite continued headwinds from VAT changes

The UK broadband market remains tough, and BT Sport Europe’s launch in Q3 will not make it any easier, but Virgin Media’s access to this and all other sports channels means that it should be able to remain above the fray

The network extension program is likely to give further growth impetus from 2016, and the company is laying the groundwork for network speed upgrades which will maintain its speed advantage for at least the medium term

The first set of annual results to include all three Sky pay-TV operations in Europe shows Sky plc to be off to a very good start: subscriber growth up by 5%, churn everywhere below 10%, adjusted group revenues up 5% and operating profit up 18%.

Excellent though the start has been, each of the pay-TV operations faces its own specific challenges – be they to do with ARPU growth in Germany & Austria, subscriber growth in Italy, or football in some shape or form across all three markets and nowhere more so than in UK & Ireland.

Most importantly for the Sky European merger, the latest results indicate that Sky is well on course with its target annual run-rate of £200 million in synergies by 2017; but with the UK model to act as a template, it is the fast-growing connected space that catches the eye.

EE remains the slowest growing of the ‘big 4’ UK MNOs or the only one in decline with service revenue growth at -1.8%, a touch lower in reported terms despite a slight underlying improvement

Adjusted EBITDA margin improved to a record 26.6%, a somewhat fortunate compromise on the loss of gross adds share since the demise of Phones 4U – and associated reduction in (expensive) third-party gross adds

In a seasonally low broadband quarter, EE actually gained net adds share, showing resilience to heightened marketing from Sky and underscoring the merits of EE’s in-store cross-selling strategy 

Vodafone Europe’s slow but steady improvement in service revenue growth continued into the June quarter to reach -1.5% from -2.6% in the previous quarter, and -8.2% just one year ago

This was driven in roughly equal parts by subscriber growth improvements and ARPU, with both likely benefiting from Vodafone’s Project Spring investment, rapidly growing mobile data and an easing of competitive aggression

Mobile service revenue is still declining at 2-3%, making margin stabilisation still challenging for now, but there remains room for further improvement, and revenue stabilisation is at last in sight