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Quizzing ITV

Posted in Media March 9th, 2007 by Stuart Aitken

As Michael Grade completes his 100th day in charge at ITV trouble is brewing on all sides. Poor financial results coupled with the postponement of the extremely lucrative call TV quiz shows has placed Grade very much at the centre of the media storm.

“ITV are treating viewers like mugs” said page three model Mel from Morecambe in Wednesday’s Sun. The fact that the “News in briefs” section - that great litmus test of public opinion - should wade into the phone vote scandal may not be keeping Michael Grade awake, but growing public anger in the face of revelations about the way that participation TV programming is managed is a problem that he could really do without right now. 

Having announced disappointing financial results this week with pre-tax profits down £23 million to £288 million, Grade will be very aware of the fact that the highly lucrative quiz show sector contributes £20 million per year to ITV’s coffers. This is a sector he may not approve of but which he can ill afford to lose at this point – especially as he attempts to address more fundamental issues at ITV.

On the day of his appointment Grade said: “My first priority at ITV will be to support the team in accelerating the improvement in programming performance for our viewers and advertisers.” Judging by recent comments he is sticking by his guns. Indeed over the past few weeks he has embarked on a serious charm offensive aimed directly at advertisers and marketers.

At last week’s Thinkbox Experience event he called on advertisers to stand by ITV in its hour of need. Next, at yesterday’s ISBA conference Grade shifted his attack to tackle Contract Rights Renewal (CRR), arguing that it was a “straitjacket” hampering creativity in programming. Under the CRR system ITV’s ad revenues are tied to audience figures which are likely to continue to slide until digital switch over in 2012. It is very understandable therefore that Grade is keen to cast it off as soon as possible.

But if this is indeed a serious problem it is not one that is going to go away quickly. Ofcom chief executive Ed Richards defended CRR and said that it had been effective in protecting the “legitimate interests” of advertisers. He added that any decision to review CRR would be made by the Office of Fair Trading and confirmed that any decision to review would not impact on the next trading period.
 
There is no doubt that ITV needs to work on its creative output. The top shows of 2006 were fairly predictable, covering sport (England’s World Cup matches); soap operas (Coronation Street and Emmerdale); competitions (the Dancing on Ice finale, X-Factor results, and I’m A Celebrity); and crime dramas (Lewis and A Touch of Frost).

Having said this, the creative team has recently had reason to cheer following Helen Mirren’s Academy Award for her performance in The Queen, co-financed by ITV. Meanwhile, Primeval, the station’s answer to Doctor Who has also been well-received so far by the critics. There is still a long, long way to go though.

Returning to that bright new dawn in late November when Grade was unveiled as the new ITV chairman John Burt explained that Grade was joining “at a critical time in ITV’s history” and said: “ITV’s challenges, particularly on the programming and advertising side, are considerable and Michael’s particular blend of skills will provide both the continuity of experienced media management and the creative leadership which ITV needs to move forward rapidly”. Changes for the better may not happen as rapidly as many at ITV may wish. Grade is certainly going to be busy in the months to come.