Modern Times Group Mtg Ab Class A · OMXSTO:MTG_A
Modern Times Group Mtg Ab Class A — Investor Day (2016)
39 slides from Modern Times Group Mtg Ab Class A's investor day presentation, 2016
Slide 1: Slide 1
Slide 2: Why are we here today?
Why are we here today? Changing Consumer Behaviour Our Products Our Strengths Future Outlook
Slide 3: Changing Consumer Behaviour
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 3
Slide 4: Changing Consumer Behaviour
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 4
Slide 5: Nordic SVOD penetration is high
Nordic SVOD penetration is high SVOD penetration by country (2015, % of population) Sweden Norway Finland Denmark Thailand Italy Indonesia Turkey Spain Germany France Australia UK Netherlands US Source: Statista Changing Consumer Behaviour Our Products Our Strengths Future Outlook 5
Slide 6: Strong growth in Nordic VOD to continue
Strong growth in Nordic VOD to continue Nordic XVOD (PAY-OTT) market development (SEKbn) CAGR +20% ~11.5 ~10 ~8.5 6.5-7.0 ~5.5 EST TVOD SVOD 2015 2016 2017 2018 2019 Source: MTG analysis, IHS Screen Digest, Nordisk Film, Mediavision Changing Consumer Behaviour Our Products Our Strengths Future Outlo
Slide 7: Change in behavior requires new products
Change in behavior requires new products Changing Consumer Behaviour Our Products Our Strengths Future Outlook 7
Slide 8: Nordic Entertainment offers wide range of products across platforms
Nordic Entertainment offers wide range of products across platforms Norway Sweden Pay-TV XVOD Pay-TV XVOD Free-TV AVOD Free-TV AVOD Radio Radio Denmark Finland Pay-TV XVOD Pay-TV XVOD Free-TV AVOD Changing Consumer Behaviour Our Products Our Strengths Future Outlook 8
Slide 9: Our offer – Everyone, Everywhere
Movies, Series & Kids Sports Total (everything) 10 EUR/month 40 EUR/month 50 EUR/month Our offer – Everyone, Everywhere Fighting Rental & sell-through TV everywhere 20 EUR/month 5+ EUR/month Separate PayTV offering Changing Consumer Behaviour Our Products Our Strengths Future Outlook 9
Slide 10: Viaplay is a European OTT pioneer
Viaplay is a European OTT pioneer First OTT HD First mobile First SmartTV First console Launched Chromecast (2014) and quality in Nordics app launched app launched app launched Download-to-Go Apple TV apps (2015) Launched EST 2007 2009 2011 2012 2013 2014 2015 2016 Viaplay launched in 2007 under Via
Slide 11: OTT customers looking for freedom
OTT customers looking for freedom Freedom to choose Freedom to personalise Freedom to pace Freedom to change Wide supply available Tailor the service Start and pause, watch Switch subscription, anywhere, anytime to my needs next episode right away unsubscribe Changing Consumer Behaviour Our Products
Slide 12: Viaplay offers the full range of OTT products
Viaplay offers the full range of OTT products SVOD Cinema EST TVOD SVOD TVE Sports iTunes Netflix Telcos & PayTV Eurosport player operators Google play HBO Amazon Local players Local players Local players Local players Changing Consumer Behaviour Our Products Our Strengths Future Outlook 12
Slide 13: Strong Viaplay customer momentum
Strong Viaplay customer momentum Viaplay # of started streams per month Viaplay Net Promoter Score (customer satisfaction) per package (%, NPS) 25 TM TMS 20 15 10 11x 5 0 -5 -10 -15 2013Q3 2014Q3 2015Q3 2016Q3 2013Q2 2014Q2 2015Q2 2016Q2 2013Q4 2014Q4 2015Q4 2013Q1 2014Q1 2015Q1 2016Q1 2016-01 2016-
Slide 14: Viaplay annual churn
Viaplay annual churn (indexed %) 100 80 60 40 20 0 2013Q3 2014Q3 2015Q3 2016Q3 2013Q2 2014Q2 2015Q2 2016Q2 2013Q4 2014Q4 2015Q4 2013Q1 2014Q1 2015Q1 2016Q1 Changing Consumer Behaviour Our Products Our Strengths Future Outlook 14
Slide 15: Viaplay revenue and subs growth
Viaplay revenue and subs growth (indexed % from 2013Q1, based on subs outgoing balance) 600 Revenue 500 Subs 400 300 5.1x 200 3.7x 100 0 2013Q3 2014Q3 2015Q3 2016Q3 2013Q2 2014Q2 2015Q2 2016Q2 2013Q4 2014Q4 2015Q4 2013Q1 2014Q1 2015Q1 2016Q1 Changing Consumer Behaviour Our Products Our Strengths Fut
Slide 16: Viaplay price levels and ARPU increasing
Viaplay price levels and ARPU increasing Example Viaplay price per package (2012-01-2016-10, SEK) 500 400 300 Sports 200 100 Movies, Series and Kids 0 01/12 07/12 01/13 07/13 01/14 07/14 01/15 07/15 01/16 07/16 Changing Consumer Behaviour Our Products Our Strengths Future Outlook 16
Slide 17: Viaplay has a broad array of product features
Viaplay has a broad array of product features Changing Consumer Behaviour Our Products Our Strengths Future Outlook 17
Slide 18: Viaplay’s platform at industry forefront
Viaplay’s platform at industry forefront Changing Consumer Behaviour Our Products Our Strengths Future Outlook 18
Slide 19: Viaplay considered top-ranked OTT service in Nordics
Viaplay considered top-ranked OTT service in Nordics Mobile application ratings across Nordic SVOD players (2016) 4.0 3,8 4,4 3.5 3.5 3.0 3.1 3.0 2.4 2.4 2.6 2.5 2.0 2.0 2.0 1.5 iOS Android Swedish Quality Index (2016) 73,0 71.0 69.4 60.0 Other Changing Consumer Behaviour Our Products Our Strengths
Slide 20: No fee. A lot to see. Feel free.
No fee. A lot to see. Feel free. Changing Consumer Behaviour Our Products Our Strengths Future Outlook 20
Slide 21: Viafree’s platform at industry forefront
Viafree’s platform at industry forefront Changing Consumer Behaviour Our Products Our Strengths Future Outlook 21
Slide 22: Viafree’s programmatic is far ahead of competition
Viafree’s programmatic is far ahead of competition Programmatic ad impressions (M) 30 October 2016 Example 25 20 15 10 5 0 MTG (FW) TV4 (Ooyala) Discovery (FW) Aftonbladet (Ooyala) Source: MMS Changing Consumer Behaviour Our Products Our Strengths Future Outlook 22
Slide 23: Viafree consumers want light entertainment
Viafree consumers want light entertainment Content from Web exclusive Web exclusive linear channels acquired content own productions Changing Consumer Behaviour Our Products Our Strengths Future Outlook 23
Slide 24: Increased focus on web exclusives
Increased focus on web exclusives Top shows since launch (based on views/ep) 1. Paradise Hotel Web 2. Jockiboi och Jonna exclusives 31% 3. Svenska Hollywoodfruar 69% 1. Familien fra Bryggen 2. Linse og de bare bryster 3. Robinson Ekspeditionen 1. Wingman 2. Det beste vorspielet 3. Prebz og Dennis på
Slide 25: The summer with the Youtube Stars
The summer with The Guinea Pigs Jockiboi andJonna the Youtube Stars In Sickness and in Health Changing Consumer Behaviour Our Products Our Strengths Future Outlook 25
Slide 26: Our Strengths
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 26
Slide 27: The power of our joint approach
Acquired studio deals Original content Superior sports offering The power of our joint approach Digital innovation Power of distribution Changing Consumer Behaviour Our Products Our Strengths Future Outlook 27
Slide 28: Acquired studio deals
Acquired studio deals Everything negotiated and bought 360 Changing Consumer Behaviour Our Products Our Strengths Future Outlook 28
Slide 29: Our Strengths
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 29
Slide 30: Viaplay originals recently launched
Viaplay originals recently launched Already a success with 50+ projects in pipeline (including renewals) Viaplay originals relative performance vs. acquired (2016; Indexed) Acquired example 1 1st day Acquired example 2 1st 14 days Acquired example 3 Acquired example 4 Acquired example 5 Acquired exa
Slide 31: Superior sports offering
Superior sports offering National National Soccer Hockey Leagues Leagues Handball Allsvenskan * * * * Superligaen Tippeliga * Veikkausliiga * Shared rights Changing Consumer Behaviour Our Products Our Strengths Future Outlook 31
Slide 32: Future Outlook
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 32
Slide 33: The power of distribution
The power of distribution New Products New Products New Agreements New Agreements Changing Consumer Behaviour Our Products Our Strengths Future Outlook 33
Slide 34: We reach more viewers
We reach more viewers ’000 viewers of Example Familjen fra bryggen +55% Viaplay Viafree FTV Season 3 Season 9 (2013) (2016) Changing Consumer Behaviour Our Products Our Strengths Future Outlook 34 34
Slide 35: Champions League
Example Viewers (’000) Champions CL related content 1,1M organic reach League CL related content 160K video starts 1,100 +225% 810 +75% 440 250 Viaplay Spring average PTV FTV 2006 2016 2016 2015 1 match 1 match All 4 matches Record example Arsenal – AS Roma – 1 on FTV Malmö FF – Paris Real Madrid Re
Slide 36: In summary, our concept is working
In summary, our concept is working Q3 16 vs 15 I Like Pay-TV Viaplay Free-TV Viafree Radio Radio #Subs #starts CSOV #starts CSOL #apps +1% +66% +15% +35% +30% +50% -11% +66% +0% +23% +4% -5% +47% -10% +8% +32% +114% Changing Consumer Behaviour Our Products Our Strengths Future Outlook 36
Slide 37: DAB
DAB Changing Consumer Behaviour Our Products Our Strengths Future Outlook 37
Slide 38: Changing Consumer Behaviour Our Products Our Strengths
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 38
Slide 39: Changing Consumer Behaviour Our Products Our Strengths
Changing Consumer Behaviour Our Products Our Strengths Future Outlook 39