German teleshopping channel Channel21 has filed for insolvency, marking another blow to a sector already under significant pressure from shifting viewing habits and online competition.
Only days after the broadcaster celebrated its 25th anniversary, the District Court of Hanover has opened preliminary insolvency proceedings against Channel21 GmbH, reports German industry publication DWDL.
The court has appointed lawyer Dr Stefanie Zulauf as preliminary insolvency administrator. From now on, major decisions at the broadcaster require her approval. Creditors have been instructed to make payments only in line with the court’s order. The administrator is expected to assess whether operations can continue and whether a restructuring is feasible.
The structural conditions for teleshopping have deteriorated sharply since the channel’s launch in 2001, notes the report. Linear TV usage continues to decline, while online retail platforms exert growing competitive pressure. The channel’s comparatively low brand recognition could also have been a disadvantage.
Channel21 has a turbulent history. The channel began in 2001 as RTL Shop, featuring presenters such as Harry Wijnvoord and Walter Freiwald. Persistent losses led RTL to sell its subsidiary in 2008 to a financial investor, who rebranded it as Channel21 before selling it on again shortly afterwards.
The insolvency comes within wider turmoil in the teleshopping market. Only weeks earlier, Austrian competitor Mediashop also collapsed, with a regional court ordering the company’s closure after a failed restructuring attempt.
