BBC Worldwide is adapting its business model, reducing its dependency on DVD, and developing relationships with video-on-demand services.
The commercial arm of the BBC is preparing to launch BBC Store, the electronic sell-through approved by the BBC Trust in February, and now slated for launch in 2015.
In its annual report, BBC Worldwide said the year ahead was important for the build and launch of the service as well as the UK business, which will oversee the initial roll out to UK audiences. Around 10,000 hours will be available at launch.
New VOD relationships have been developed and carriage deals for UKTV on Sky and Virgin have been renegotiated.
Tim Davie, CEO of BBC Worldwide, said: “We will continue to execute on our strategy – more premium content, dynamic global brands and digital innovation – in the course of the new financial year. While our results for 2014/15 will reflect the choices and investments we are making to do this – including BBC Store and the introduction of new brands – we nonetheless expect to deliver further returns to our shareholder over the course of the year.”
It has been a challenging year for Worldwide: UK headline sales declined by 4.8% to £362.2 million. Overall, headline profit was up 0.7% to £157.4 million.
BBC Global News Ltd now operates BBC.com/news, along with the BBC World News channel. BBC Worldwide provides advertising and affiliate sales. The new structure means Worldwide recognises a lower percentage of BBC.com revenue than previous.
