Our Strategy

The TV activities in Germany, Austria and Switzerland are allocated to the Broadcasting German-speaking segment. With a population of over 80 million, Germany is Europe's largest TV market. ProSiebenSat.1 is No. 1 in the advertising market here with its sales subsidiaries SevenOne Media and SevenOne AdFactory. Alongside innovative and customized sales concepts, the high reach of the ProSiebenSat.1 stations is key to the success of the Group in Germany, its most important revenues market. Due to their complementary programming, the advertising-funded TV stations SAT.1, ProSieben, kabel eins, sixx and SAT.1 Gold cover a broad audience group. While SAT.1 offers programming for the whole family, ProSieben is the market leader among young viewers. With Hollywood blockbusters, US series such as "The Simpsons" and TV event shows like "Schlag den Raab", ProSieben mainly appeals to male viewers aged between 14 and 29. kabel eins focuses on viewers aged between 25 and 45. sixx, the women's channel, was added to the German TV family in May 2010 and targets primarily female viewers aged between 20 and 39. In 2012, the ProSiebenSat.1 Group designed a further TV channel - SAT.1 Gold. Here the core target group is women aged between 49 and 64. At the beginning of 2013, the channel successfully went on air. With this portfolio, the ProSiebenSat.1 Group in Germany covers all commercially relevant audience segments, offering both advertising customers and viewers a wide range of stations.

Additionally, in the Broadcasting German-speaking segment refinancing via distribution revenues is becoming increasingly important. The Group participates in the technical fees which IPTV, cable network and satellite operators charge for making the channels available in HD quality.

We are using the power of television to establish successful companies and business models in related markets, including the online, pay, games, commerce, and music areas. Our objective is to position ourselves as strongly as possible in these growth markets in order to reduce the impact of economic fluctuations on the television advertising market. We are ideally positioned to accomplish this: As a television company, we have an extensive inventory of high-quality videos that we can utilize across all platforms from TV to mobile to online and video-on-demand. This has made us one of the leading providers: We are number one in the marketing of video content on the Internet. Via our online network, we reach over 25 million unique users every month in Germany. With approximately 45,000 titles, maxdome is Europe's largest online video library. In addition, we have a strong market position in our growth area of games which we are continuing to expand.

By 2015 we estimate that we will achieve an additional sales potential of more than EUR 250 million over the year 2010.

With the Red Arrow Entertainment Group, we have been developing and producing programs for the international television market. We have signed on prominent talents such as format developer Dick de Rijk, and we have founded production companies in many important TV markets, including Great Britain and the United States, which is the largest television market in the world. Our goal is to acquire a share in the revenues of the entire value-added chain - from development to sales to production. One example of this is the TV show "You Deserve It," which was developed by Red Arrow together with Dick de Rijk and sold to US broadcaster ABC by our in-house programming sales operation SevenOne International. Kinetic Content, the subsidiary of Red Arrow, is responsible for local production. Red Arrow will continue to expand in all three areas of development, sales, and production. In the second half of 2012, international program sales is set to open a permanent branch in Hongkong.

In the "Content Production & Global Sales" area, we hope to generate EUR 100 million in additional revenue by 2015 as compared to 2010.