 Merchandising - Additional Revenue Potential |
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Double-digit growth in revenues and earnings
By systematically expanding its Merchandising business area, the ProSiebenSat.1 Group has added an attractive additional source of revenue. The company
can now cover the full value chain in merchandising
- from acquiring
ancillary licensing rights to selling products and services for consumers and
viewers. The Merchandising area includes subsidiaries MM Merchandising
München, ArtMerchandising & Media and SevenOne Club & Shop. It works
closely with the stations, and has had double-digit growth percentages in revenues
and earnings for years. In 2002 alone, the
unit's total revenues
were
up from EUR 66 million to EUR 73 million - an 11 percent gain. Revenues
from external sales reached EUR 66 million, after EUR 59 million the previous
year. The Merchandising segment's operating income rose 13 percent,
to EUR 17 million. Gains in the double-digit percentages are expected again
in 2003.
The Merchandising business will pick up additional momentum from the merger
of MM Merchandising München GmbH and SevenOne Club & Shop GmbH,
planned for the first half of 2003. The new Merchandising unit is intended
not only to offer merchandising partners the ProSiebenSat.1 Group's full marketing
and services portfolio from a single source, but to tap additional revenue
potential and further simplify communications and coordination with
customers.
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Winning with an image
In Merchandising, the ProSiebenSat.1 Group goes a step further than other
television companies. It not only markets its own rights, but acts as an independent
licensing and service agency through MM Merchandising München.
Here the company has a broad range of services, from focused marketing of
appropriate licensed matter in a variety of sectors and media, to the strategic
development of new brands for licensing, to product designs by the inhouse
creative team. The long-standing classics of MM Merchandising
München include Ellis Kaut's "Pumuckl" stories, "Mr. Bean," and "The Smurfs,"
as well as a great many promising new rights to the use of cartoons, reality TV
and brands. In all, MM Merchandising München currently markets 60 different
rights properties, used in more than 3,000 licensed products that were put
on the market last year. The client base includes some 11,000 companies.
ArtMerchandising & Media, founded in 1999 as a subsidiary of MM Merchandising
München, has specialized in merchandising ancillary rights in
works of art. ArtMerchandising & Media AG's portfolio includes selected categories
of products and rights in art works from a great many world-renowned
artists, including Keith Haring, Salvador Dalí, Vincent van Gogh and
Claude Monet. The ProSiebenSat.1 Group's two licensing agencies turn classic
cartoon characters, celebrities, works of art and station brands into attractive,
high-value products for trading.
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A success with new customers
A good portfolio has to include appropriate customer service. Committed employees
with extensive experience and knowledge in their fields offer complete
solutions - from concepts through designs to precise execution. This
broad range of services won a great many new clients for product management
in 2002, and successfully expanded the range of services offered by
the Sports Merchandising and Product Sourcing unit. Clients now include
BMW Motorsport (BMW Williams F1 Team), BMW Yachtsport (Oracle BMW
Racing Team) and BMW Golfsport. Deutsche Lufthansa AG is one of the prominent
new clients of ArtMerchandising & Media, which has assumed responsibility
for diversifying the word-and-image Lufthansa mark into appropriate
products, and then marketing these products.
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In dialogue with the viewer
The ProSiebenSat.1 Group's range of merchandising services is rounded
out by SevenOne Club & Shop GmbH, which is responsible for all the Group's
viewer loyalty builders and direct-sales activities. Since 2002, the company
has also conducted the Group's e-commerce activities. SevenOne Club & Shop
opens up the entire world of ProSiebenSat.1 Group brands for clients and cooperating partners. It also offers integrated cross-marketing concepts and
makes use of the Group's family of stations to put a client's image across.
Clients and cooperating partners not only benefit from an image transfer and
our own distribution channels, but get a ready-made integrated concept for
communications that interconnects all options on TV, on the Internet and in
print. Here SevenOne Club & Shop works closely with the Group's two marketing
companies, SevenOne Media and SevenOne Interactive.
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| Membership (Members) |
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For below-the-line activities, SevenOne Club & Shop can draw on years of
experience in viewer dialogue. The "ProSieben Club" was founded back in
1995. Today, with more than 330,000 members, it is the largest and bestknown
viewer club in Germany. After two years of operation, the open "Sat.1
- Meine Welt" viewer club now numbers some 164,000 members. "Kabel 1
VIP", another open club, has around 112,000 members. These make
SevenOne Club & Shop Europe's leading provider of viewer clubs. With closed
and open viewer loyalty building systems, the company now has access to
around four million addresses. They are a valuable resource for dialogue marketing
and direct marketing - an indispensable component of integrated
cross-marketing concepts. In fiscal 2002, SevenOne Club & Shop proved
repeatedly how such concepts, based on a knowledge of a brand, the market,
and the target audience, can pay off. It especially set new standards in event
communications, with "Sex and the City" parties, "Kabel 1 Movie Night,"
the "Welt der Stars" with Radeberger beer, and the "Trend-Lounge-Tour" with
Nissan. |
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| Company: |
MM Merchandising München |
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| Legal form: |
GmbH |
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| Founded: |
1971 |
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| Interest held: |
100% (since 1996) |
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| Type of business: |
Licensing rights agency |
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| Main activities: |
Brokering and marketing licensed
subject matter |
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| Management: |
Bettina Köckler, Marcus Hintzen |
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Address:
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Münchner Straße 20
85774 Unterföhring
Tel. +49 89 9507-8600
Fax +49 89 9507-8701
www.merchandising.de |
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| Company: |
ArtMerchandising & Media |
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| Legal form: |
AG |
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| Founded: |
1999 |
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| Interest held: |
86,5% |
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| Type of business: |
Copyright agency |
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Main activities:
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International marketing of ancillary
rights in works of art |
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Management:
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Bettina Köckler (CEO),
Marylin Goldberg |
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Address:
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Münchner Straße 20
85774 Unterföhring
Tel. +49 89 9507-8660
Fax +49 89 9507-8760
www.artmm-ag.de |
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| Company: |
SevenOne Club & Shop |
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| Legal form: |
GmbH |
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| Founded: |
1995 |
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| Interest held: |
100% |
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| Type of business: |
Direct marketing specialist |
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Main activities:
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Viewer clubs and viewer loyalty
builders,
direct marketing of products and services |
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| Management: |
Marcus Hintzen |
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Address:
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Steinheilstraße 10
85734 Ismaning
Tel.+49 89 9507-1971
Fax +49 89 9507-1882
www.ProSieben-Club.de
www.Sat1-MeineWelt.de
www.Kabel1-VIP.de |
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