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· Posted on
February 21, 2024

Paramount pinky-promises not to sell Network 10.. for now.. because it's helping achieve its bigger goals

Channel 10 has lost market share of the prime time market, but Paramount promises not to sell it anytime soon.

What's the key learning?

  • Channel 10's dropped its market share from 18.3% of market share to 16.2%, which is well behind the leaders of Nine and Seven who sit ~28% each. 
  • Despite all the pesky rumours and restructures, Paramount said it won't be shutting down Channel 10. 
  • By finding a semi-distressed asset like Network Ten, Paramount was able to use its infrastructure as a mouthpiece to grow Paramount+ subscribers… as well as Paramount movies.

👉 Background: Channel 10 is the network that houses all our favourite, recently-flopping shows like The Bachelorette and The Real Love Boat.

👉 What happened: In 2017, Network 10 was acquired by Paramount for $250m, the owner of Comedy Central, MTV and Nickelodeon. But since then, Channel 10 has actually lost market share of the prime time market.

👉 What else: Ten dropped its market share from 18.3% of market share to 16.2%, which is well behind the leaders of Nine and Seven who sit ~28% each. But now, Paramount has said it won’t be shutting down Channel 10, despite all those pesky rumours and restructures.

What's the key learning?

💡 Not all acquisitions are quite what they seem
We know that Paramount+ has been the main focus for Paramount and it’s growth globally.

💡 By finding a semi-distressed asset like Network Ten, Paramount was able to use its infrastructure as a mouthpiece to grow Paramount+ subscribers… as well as Paramount movies (think: Top Gun: Maverick).

💡 Paramount aren’t the only ones buying assets for their large audience.

  • Kogan acquired Dick Smith in 2016 to leverage its customer base and sell Kogan products
  • Amazon acquired WholeFoods in 2017 to expand its reach in the grocery market and grow Amazon Prime subscribers

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