Channel 8 reveals its ‘4-legged chair' strategy's success against Covid-19 climate The strategy has proven to help improve revenue base increase, effective risk diversification and continued growth in Q1 2020

BackApr 15, 2020

Working-from-home policy and travel restrictions to high-risk areas as measures to curb COVID-19 pandemic have resulted in higher viewership of Digital TV during workdays and forced TV providers to shift to new strategies in face of a fierce competition. With agility and news strategies already in place, Channel 8 has taken proactive measures namely organizing a troop of news anchors to cover the situation give viewers up-to-date information, cancelling Muay Thai boxing program before the pandemic worsened to prevent the corona virus spread, and acquiring broadcasting license of Indian TV series for staying-at-home viewers. Moreover, the ‘4-legged chair’ strategy previously implemented to help diversify risks and increase revenue base, has ensured its business growth and climbing ratings in Q1 of year 2020.

Mr. Surachai Chetchotisak, Chairman and Chief Executive Officer of RS Public Company Limited, said, “The Covid-19 virus outbreak has not only affected government sector, businesses, economy, society, but also greatly disrupted consumer behavior, which is one of the challenges that must be overcome. Nevertheless, every cloud has a silver lining. This is especially true for Channel 8, which is the star of our media business with the highest income growth. Amidst an unclear situation like this, a clear vision and long-standing expertise in the entertainment business allow us to be able to react quickly in times of crisis. Channel 8 was the first channel to cancel live broadcasting of boxing show and suspend Channel 8 Concert Festival to prevent the spread of the virus. In addition, people who work at home watch television for the news, cause the viewership of news program between 8:00 am - 7:00 pm, to rise by 10-15% in the first quarter.”

Mr. Surachai also described the four-legged chair strategy as a risk management strategy that balances the generated income by aiming to create a strong revenue stream by leveraging from Channel 8’s internal potential and not relying too much on any particular means of income to reach the growth target by segmenting 4 income channels including;

Miss Nongluk Ngamroj, Head of Channel 8, RS Public Company Limited, said that “In response to the situation and with concerns of our employee’s welfare, we have imposed preventive measures in accordance with the RS Group Policy for our employees by implementing work-from-home policy and staggering work hours for functions that are not related to the broadcasting system. For the business aspect, we have created precautionary plans including plan A, which investigates the situation realistically, and plan B which prepares for worse scenarios, and allows us to be ready to act. These strategies are thus the reasons why Channel 8 continue to strive in this difficult time.”

Channel 8’s measures against Covid-19 include:

All in all, the decision of the Office of the National Broadcasting and Telecommunications Commission (NBTC) to reduce the USO fee or the rate of annual payments to the research and development fund for broadcasting businesses, television business and telecommunications for the public good, will also help lower the cost of business operations.