Digital Focus: Sky One

As digital switchover becomes a reality for a growing percentage of the population, it is clear that the old terrestrial powerhouses have got their digital strategies absolutely spot on.

Ofcom's latest figures show that 9.2 million homes have Freeview, as opposed to 8.3 million with Sky and 3.5 million which have Virgin.

These figures do not include homes with second, third and fourth sets, which often also have a Freeview connection.

So it's easy to see why channels that are available on all platforms - including Freeview - dominate the list of top digital channels. But it wasn't always thus.

In the mid to late 1990s, Sky One and Sky Sports were the only credible alternative to terrestrial TV.

Look at Sky One now. The growth of the free-to-air channels and the channel's continuing absence from Virgin Media is taking its toll. Its audience share is below 1%, and this week its best rating show, Don't Forget the Lyrics, delivered 560,000 viewers, a 3.4% share.

Sky One's identity crisis is long documented, but it is currently struggling to retain its place within the top-tier of digital channels.

If ratings are one yardstick, a less tangible, but more powerful, yardstick is that old clichŽ, the water-cooler effect. What was the last Sky One programme that got people talking in your office? Hogfather? Ross Kemp in Afghanistan?

In contrast, ITV2 is now the credible alternative to terrestrial channels. To deliver a 1.7% share in digital homes without having any top-rating shows is indicative of its strength. Daytime shows like Jeremy Kyle and Sally Jessy Raphael consistently get 300,000-plus viewers.

More worrying for Sky One and Virgin One, as well as more targeted pay-TV channels such as Living, is that niche-audience channels are increasing their audiences. These include Dave, which this week has a 1.14% share; ITV3, which has 1.45% share, and BBC3, which has a 1.21% share.

So how can a general entertainment channel like Sky One improve its fortunes? It needs more stand-out shows. Those new drama commissions are eagerly awaited.
Adrian English is media director at Carat.
Philip Reevell is away