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How might a 10,000 pound a week local TV channel work?

Each of the local television stations will need to run a service with costs less than half a million pounds each year. How is that achieved?

Each of the local television stations will need to run a servic
Published on by on UK Free TV

Schedule

A local TV channel running on a budget would not be able to provide a rolling news channel type service as this would be too costly.

A more typical would be for the channel to produce three half-hour programming blocks per day: one at "breakfast", one at "lunchtime" and a final "evening" block. This block could either be produced as a live programme, or almost-live to save production costs.

Each half-hour block would then be electronically repeated over the following hours, providing a full-time service.



A typical schedule for the half-hour block might be:

  • 30 seconds identify and titles
  • 2.5 minutes local news headlines
  • 7 minutes local news content
  • 1 minute local weather and traffic information
  • 4 minutes adverts
  • 1 minute headline summary
  • 9 minutes local features
  • 1 minute local weather and traffic information
  • 4 minutes adverts


Costs control

The use of standard broadband and internet facilities, rather than the traditional broadcaster-friendly synchronous data services will probably be necessary.

A nationally co-ordinated technical order for the necessary hardware to support the local TV channels would considerably reduce capital and maintenance costs.

The co-location of a newsroom in an existing local newspaper office would also reduce costs (but not increase plurality). Some technical facilities as well as marketing and advertising sales may require cross-locality sharing for the smaller stations.

Technical challenges

There are several technical challenges to getting the channels on air, much of which will be covered by the £25m-a-year from the BBC to cover the engineering costs of the local television stations.



Freeview

For Freeview, a single-directional broadcast panel located half-way down a TV transmitter will broadcast a multiplex in QPSK mode, which will provide for a single local channel plus one guest channel. The maths (204 x 1 x 1/4 x 2/3 x 32/33) provides a multiplex capacity of around 8Mbps, about one-third of a "normal 64QAM" multiplex.

The local channel will appear in the electronic programme guide at position 6. As the local TV multiplexes use restricted frequencies it will not be possible for reception of more than one local TV service.

Cable

If the locality has a cable TV system, the local TV service can be delivered to the cable company (Virgin Media) where the channel can appear as 106.

Satellite

In addition, satellite capacity will need to be found. It might be expected that lower bitrates will be used for local TV services cover smaller populations (as not happens with the BBC and ITV Channel Islands services, for example). Sky might require specific ministerial instructions to place the appropriate (based on the registered postcode) local TV at position 106 in the programme guide.

EPG slots 6 and 106

If Sky (or indeed Virgin or Freesat) are unwilling to relinquish control of the 106 slot, then channel 100 is unused on all systems at the moment. However, the law does seem to give the Minister the right to demand the slot - www.legislation.gov.uk link icon Communications Act 2003.





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Bored Burke
Friday 12 August 2011 11:23AM
Whoo 48 minutes of content per day. I'd rather have ITV3+1
Briantist
Friday 12 August 2011 11:41AM
Bored Burke: It's 66 minutes...

If a local channel is serving an audience of 200,000, say 3% of the population, with perhaps six full-time staff, you are not going to get a "News 24" type service.

I can't see anyone wanting to watch local information 24/7, can you?
Steve P
Friday 12 August 2011 11:56AM
Would they not integrate with local radio?
Briantist
Friday 12 August 2011 12:02PM
Steve P: I would suspect the answer to that is that only BBC local radio actually produces anything you might take for news, and the idea here is have a non-BBC service.

There are no restrictions about local radio being involved, but there is a general principle that "number of voices" should be increased.

I would have though it really depends on the size of the "locality". If it is London, West Yorkshire, Birmingham, the market can probably sustain another company.

Where the population is under 100,000 you could probably argue that a TV-radio tie up would secure both.
Mike Dimmick
Friday 12 August 2011 2:12PM
65 MPEG-2 streams on satellite would require 5 transponders if you crammed them in as tightly as the Freeview SDN multiplex is (11 streams in 24Mbit/s, 33.8Mbit/s available from a satellite transponder gives about 15 streams).

Unless, again, you're going to insist that potential viewers upgrade to DVB-S2, but I note that DVB-T was specified for the DTT service.

I suspect you'll be lucky to find 5 spare transponders

Local stations had better not want to use any music; PRS want a minimum of £16,500 for broadcast rights: www.prsformusic.com link icon 

UK channels without a BARB rating

. You also have to pay PPL but I can't find a price on their website. That's only if broadcast in the UK, so those transponders are going to have to be found on Astra 2D or 1N UK beam - you could blow your whole budget on music licences if the channel ends up on a Europe-wide beam.
Ian
Friday 12 August 2011 2:42PM Hinckley
Is it worth all the cost and trouble (cant see SKY giving up position 106 without a fight) for 66 minuets a day??
Mark A.
Friday 12 August 2011 5:00PM Haywards Heath
I haven't got Virgin but believe that they have a channel 100.
100 = On Demand Previews

They could show 5* or 5USA or ITV3 or Film4 etc when not transmitting the local news.
This would be a good idea for the Channel 5 group, as they don't have local news and only Channel 5 in many areas.
Briantist
Friday 12 August 2011 5:13PM
Ian: The law requires that Sky (and any other broadcaster) put public service channels nominated by the Secretary of State - www.legislation.gov.uk link icon Communications Act 2003 - the services will run 24/7.

As there is no "national spine" then having programming on a loop is the only real option.

As the service is advertiser funded then 16 minutes per hour of broadcast time would be allocated to this.
Ian
Friday 12 August 2011 5:31PM Hinckley
Still seams a lot of money for not much as far as I can see.
Briantist
Friday 12 August 2011 5:40PM
Ian: Surely it is spending almost no money at all.

For example - from downloads.bbc.co.uk link icon http://downloads.bbc.co.u….pdf :

BBC One

Content £1,131m p/a
Distribution £50.8m p/a
Infrastructure £221.2m p/a

compare

"Channel 6" station
Content £0.5 p/a
Distribution £0.4m-£2m p/a (£25m/65 or £25m/12)

"Channel 6" network of 65 stations
Content £32m p/a
Distribution £25m
Briantist
Friday 12 August 2011 5:48PM
Another comparison

BBC Local Radio - £110.2m content + £9.9m distribution + £21.4m infrastructure.
Briantist
Friday 12 August 2011 5:52PM
Mark A.: Looking at the "local TV" coverage areas, 99.9% of them will have the SDN multiplex after switchover, as there are only three relays - Beecroft Hill (21,000 homes), Tay Bridge (27,000 homes) and Barnstaple (16,000 homes) in the list www.ukfree.tv link icon Local TV on Freeview - new Ofcom maps | ukfree.tv - independent free digital TV advice .
Briantist
Friday 12 August 2011 6:07PM
Mike Dimmick: You make very good points.

It might be possible to use even lower bitrates for these local TV channels as the content they will be providing will largely be unchallenging to MPEG2 encoding (no sports or stroking). The "usual trick" of having low horizontal resolution, 540x576 can be employed. www.ukfree.tv link icon A comparison of TV, HDTV and computer monitors | ukfree.tv - independent free digital TV advice

You could, as you say, get 16 streams statmuxed at 2.1Mbps each, it could also be possible to use this bitrate for the high-coverage station (over one million potential viewers: London, Birmingham, Leeds, Manchester, Newcastle, Liverpool, Glasgow, Edinburgh, Cardiff, Falkirk, Southampton), a little less for 400,000 to a million and much less for under 400,000.

If the new services are DVB-T on terrestrial then they must be DVB-S on satellite, as there are about 12,437,000 non-HD Sky boxes out in the wild (UK+Ireland) - there are 3,822,000 Sky HD boxes. corporate.sky.com link icon http://corporate.sky.com/…1011 .

I don't think transponders will be an issue now there is a lot of extra capacity - www.ukfree.tv link icon New Astra 1N satellite to offer more UK-focused capacity - and soon | ukfree.tv - independent free digital TV advice .

The PRS of 16.5k out of an annual budget of 500k is only 3.3% of the budget.

PPL says that "Usage in advertisements, signature tunes and station identity signals is excluded" - see www.ppluk.com link icon PPL : Television broadcasting.
Trevor Harris
Friday 12 August 2011 11:34PM
Well I certainly will never tune 106. 8 minutes of adverts for 30 minutes of program all at a lower picture quality than SD is at the moment.

It would be much better to have a VOD service for local news. So people can watch the local news at any time and not in half hour slots. It also means a provider can add breaking news as it happens.
Briantist
Saturday 13 August 2011 9:41AM
Trevor Harris: 16 minutes an hour of adverts is the normal rate for a UK commercial channel.

The Freeview picture quality will be at normal bitrates, possibly higher because it probably isn't work doing a statmux on two channels. Cable will be good, the proposals for a limited quality service is just an exploration of the options for putting them on satellite.

I would have thought that the local programming created would be a VOD service, but the proposals on the table are for a set of local television services based around the "it works on your existing television".

It is highly notable that local VOD services are notable by their not existence, or indeed their closure (ITV Local).

The point is, surely, that you have to make trade off between "national" multi-billion pound services that cover the UK and "local" services designed to let you know what's going on where you live.

For example, here is Brighton and Hove, there are 360,000 people who don't really give a toss about what happens today in Southampton or Portsmouth or Dover. You might watch the "regional news" on the BBC or ITV to hear about something dramatic or important, but you have to sit for half-an-hour to perhaps find a few minutes.

The local service will provide information that is about the locality.

Which is why I think the best way to kick the service off it to ignore the "super-served" areas that already have a regional news hub, and start with Liverpool, Edinburgh, Falkirk, Preston, Middlesbrough, Grimsby, Maidstone, Sheffield, Aye, Brighton and Hove, Stoke on Trent, Gloucester, Burnley, Reigate, Swansea, Hemel Hempstead, Plymouth, Keighley, Malvern, Inverness, Bedford, Limavady, Dover, Carmarthen, Greenock, Shrewsbury, Hereford, Scarborough and Salisbury - all places with a population between 100,000 and 2,000,000.

Directing the money at London, Birmingham, Leeds, Manchester and so forth in the first instance is not really going to add much for these places: they already have a "regional news hub" from two other broadcasters.
Briantist
Saturday 13 August 2011 9:57AM

A little more maths:

ITV serves: England and Wales.
Population: 53m (about 50m+3m).

ITV annual ad revenue: £1,500m

ITV annual ad revenue per person: £28.30

Ad revenue per population at fixed £500k cost

Channel 6 Liverpool, population: 2.1m
Assumed annual costs: £0.5m
Ad revenue per person: £0.24 per year
ITV:Channel 6 Liverpool required ad income ratio: 0.84%

Getting less than 1% of the ad revenue per population in target area of ITV - C6 Liverpool would do that easily.

Channel 6, Brighton, population: 0.36m
Assumed annual costs: £0.5m
Ad revenue per person: £1.39 per year
ITV:C6 B&H required ad ratio: 4.9%

Getting just less than 5% of the ad revenue per resident area of ITV - C6 B&H would be able to do that.

Channel 6, Bangor, population: 0.053m
Assumed annual costs: £0.5m
Ad revenue per person: £9.43 per year
ITV:C6 Bangor ratio: 33%

Getting one third of ITV's ad revenue per population - a much harder task.


Trevor Harris
Saturday 13 August 2011 10:22AM
Actually Brian your figures are based on the population where as advertizing rates are determined by viewers and demograph. Has any research been done into how many people would watch these programs?

There was a local station on the Isle of Wight called Solent tv but it failed. The Isle of Wight was considered an ideal place for local TV as people there are very community minded.
Briantist
Saturday 13 August 2011 10:32AM
Trevor Harris: Yes, I know that the demographics are required, but I was just making the point that £10,000 a week of ad revenue for a population of 2.1 million is not "pie in the sky".

Every time Ofcom does research, people say that they would very much want to watch a local TV news service.

I think the problem for a lot of the failed local TV services is that they lack prominence - which is why the "6" slot is important - and they perhaps tried to overstretch themselves.

Having the £25m of BBC money supporting the infrastructure of local television could mean - although it may not - that it could work.

To be honest, looking at the history, Solent TV overstretched itself. It is all very well having "ambitious" programmes, but the were throwing money away.

Big stations will probably be able to expand beyond the basic-type service I outlined above, but not ones with 140,000 target viewers.
Briantist
Saturday 13 August 2011 10:36AM
There are some interesting documents here - Ofcom | Local and Regional Media in the UK .
Dave
Sunday 14 August 2011 12:31AM
Surely the transmission will be mpeg4 to future proof the channel ??

What about coverage of local events like the Brighton Festival etc, if the channel is so hard up this will never happen

I think a 1hr news slot early evening would give alternative viewing but then so few care I think
Briantist
Sunday 14 August 2011 6:37AM
Dave: If the broadcast was MPEG4, the 99% of viewers that do not have Freeview HD receivers would not be able to watch it.

Coverage of local events would be in the "feature content" part of the schedule detailed above.

I'm not sure if a local channel could sustain a whole hour of local news...
Gari Sullivan
Sunday 14 August 2011 1:23PM
Hi there,
I run a citizen journalism project called NoozDesk and do a lot of work around community broadcasting in th UK and now breaking into the Australian market. I am giving a talk at the CBAA conferance in November and to community organisations all on the subject of citizen journalism.
I would really welcome the opportunity to talk to you on a range of matters connected with community broadcasting at some poiint.
Steve P
Sunday 14 August 2011 3:09PM
What does "around" mean in that context?
Alan J
Sunday 14 August 2011 5:54PM
Who's going to staff these productions 7 days a week? Assuming shared resources with a local newspaper, what kind of production values are going to be achieved using 3 person teams?

Don't we have enough unwatchable TV channels available?
Briantist
Sunday 14 August 2011 6:17PM
Alan J: The idea would be that the people working would be multiskilled, as it normal for TV reporters. They would write, film and edit the content.

To say that the content would be "unwatchable" is a bit presumptuous - most TV news reports are created in this way, but yes, there is a trade off in terms of costs to provide for the required localism.

People always say they want "local" (rather than "regional") news when asked. As there is no money to throw at these projects then they will have to work within a tight budget.

The above schedule was working on an assumption that people will "dip in" to the local channel for no more than 30 minutes at a time, just a few times a day.

The local channels are not required to compete with the existing channels, they will be providing something new - local news, reportage and information.
Briantist
Sunday 14 August 2011 6:23PM
Gari Sullivan: That's noozdesk.com link icon http://noozdesk.com/ ?

I would be interested to hear what you have to say about the Local TV initiative.
Steve P
Sunday 14 August 2011 6:42PM
I have been reflecting on local TV since this thread started.

I think I probably - or at least posssibly - WOULD drop into a local TV station, even though I don't listen to local radio; preferring R4.

Regional TV is not much use if you live in North Wales, as it is mostly about South Wales - literally at the other side of the mountains.

Or I can watch NW region - but that covers a huge area.

Though on Freeview I can only get Central. I have no interest whatsoever in the midlands. Never been there except in transit.

BUT these proposals will give us Liverpool. Which is worse still.
Briantist
Monday 15 August 2011 7:44AM
Steve P: If you are not in the Liverpool reception area, you get Liverpool TV, unless I guess you are between a mast and that city.
Steve P
Monday 15 August 2011 4:13PM
Brian - Is your last missing a "not" somewhere?

For DTB we are the extreme NW of Central, but the Local maps have us extreme S of Liverpool - which includes much of NE Wales.

News of scousers scallying is not for us.

Will they report of Wrexham FC?
Briantist
Monday 15 August 2011 7:50PM
Steve P: I think it's a "don't", but that's what I meant.

I think you're not in the "intended target area" for what is clearly a Liverpool service.

It might be possible to link together a second channel on the Liverpool mux with (there is room for two) with proposed "Mold", " Limavady" and "Bangor" services to provide a larger service area that might actually have enough population to be viable.
Steve P
Monday 15 August 2011 9:09PM
Dunno what is INTENDED - but there is a big red lump on the map which is NE Wales, and would certainly sit far better with Mold - which is only barely a town.
Briantist
Monday 15 August 2011 9:32PM
Steve P: What matters is where an interleaved frequency can be found.
michael rosenblum
Thursday 18 August 2011 3:22PM
I have to laugh when I read this. I have been running three very profitable local TV stations in the US (DC, NJ and Long Island) for five years at costs below these. So much agonizing over nothing.
David Hazel
Tuesday 23 August 2011 1:37PM
I think costs and service can be helped by local TV stations sharing features. I agree regional news is a dead loss on a veiwer and an advertiser standpoint. Local news is a different being. this might be successfull if allied to a strong local social presence,and with this in mind use of news gathered by all and sunder with cell phones. I have asked DCMS about what tech standards will apply (no resonse yet). my assumption is we are looking at SD quality which may preclude cell comntent.
Briantist
Tuesday 23 August 2011 2:24PM
David Hazel: The Ofcom document states that the service is SD and "will broadcast a multiplex in QPSK mode, which will provide for a single local channel plus one guest channel. The maths (204 x 1 x 1/4 x 2/3 x 32/33) provides a multiplex capacity of around 8Mbps" (from the article above.

It is perfectly possible to use 3G services to provide SD quality content back to the broadcasting centre, but not necessarily in real-time.
Gari
Saturday 27 August 2011 3:44PM
Hey Brian,

Would love to discuss Local TV with you.

Contactus@noozDesk.com is the best email address to use.
Allan Isaacs
Thursday 15 December 2011 1:27PM
Nothing new under the sun.
Local, Southampton TV was running in analogue for some time and utterly boring before it just faded away
Steve
Friday 23 March 2012 11:44AM Sheffield
I think you may as well have these stations online so that you can tune in to any that you want. Otherwise you are bound to have the "I live in x and I can't get xtv but I get ytv" moaning again just like with DSO.
Briantist
Thursday 5 April 2012 11:18AM
Steve: It is more than likely that all of the local TV stations will be online, including YouView.
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