Latin America Approach Summary
• A contemplated a high-level roadmap for SPT’s Latin America channels is geared towards achieving greater
brand distinction, consumer value and channel awareness among consumers and advertisers
– The Latin America channels need to more clearly define their brands (separate from each other) to focus
on targeted audiences in order to give consumers a compelling value proposition and to give advertisers
a reason to increase their investments
– i.e., Put a face on each of these channels, prove why they are premium (SET – female trend
setters; AXN – male metro-climbers)
– As the channels take ownership of their distinct brands, the channels need to utilize research (and the
marketing/positioning of such research) to clearly identify & sell their respective consumer profiles and
how they are different from each other and from competitive networks
– The channels then need to utilize that research, which clearly enumerates the relevant and desirable key
properties and create strategic selling propositions for advertisers and distributors
• Spin faces distinct challenges due to their re-focused effort on tailoring their channel to capture the growing
“C” class market/youth market
– Though this burgeoning “C” market provides growth opportunities, Spin lacks the scale and expertise
compared with local market players such as Globosat and Televisa
– SPT may want to consider selling a stake in Spin to a larger local Latin America player (i.e., 50%) and/or
re-brand the channel as a “C” class Spanish language dubbed channel (female genre, lower scale
production – i.e., like Oxygen) with local programming, flavor and appeal
• Additionally, it is clear that there needs to be organizational changes made in order to provide a greater
focus on each of the distinct channel properties
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Strategic Roadmap
• Step 1: SET, AXN and Spin to focus on developing distinct channel brands, with each having a clear set of
consumers, through marketing, programming and scheduling strategies thereby strengthening the
audience’s relationship with the channel brand while growing the user base for each channel
Channel
Channel Focus
–
SET to focus on a core AB female audience, similar to Bravo, who are upscale viewers i.e., metropolitan,
professional and trendy
–
Example: This cable network is the premiere lifestyle destination for food, fashion, pop culture, beauty and design…that
pulls back the curtain on the creative process and makes influential and inventive original programming…[that] show a
different side of celebrities, break exciting new personalities, and shake up the way we look at style, media, fame and
Hollywood…”
 More high-gloss original unscripted content building on the success of a tent-pole (i.e., MNTM)
 More human interest i.e., inspirational stories about talented and motivated individuals (i.e.,
Queen Latifa type shows) and Hollywood vs. as much traditional acquired scripted programming
 Utilize Kalixta as a complement to SET (i.e., movie blocks on SET sponsored by Kalixta)
–
AXN to focus on the AB professional male skewing metro-climber audience who enjoy the finer things in
life, competition, action and epic type programs and sexy procedurals and an affiliation with Hollywood
and celebrity
 Cool content for influential male TV watchers (some scripted, some movies, some unscripted)
 Consider local talent pieces on celebrity , sports figures/male appeal athletes
 Turn Crackle into AXNs complementary service (Crackle movie blocks on AXN) with sharing of
content/windows/marketing across platforms; making a cool cross-platform entertainment play
–
Spin to focus on a core audience who lives in B/C counties, yet have metropolitan aspirations, more likely
to have children and be heavy TV viewers
 Local/dubbed programming via co-productions, low cost unscripted programs and lower cost
acquisitions
 Follow the Oxygen model; pan-regional play
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Strategic Roadmap (Cont’d)
• Step 2: As the channel brands take focus, the channels need to utilize research to put a face on each channel
so the consumer and advertiser know what these premium brands represent
Channel
Differentiators (NOTE: Illustrative only)
– Trend-setters
– Females with more purchasing power than the average consumer
– Brand and trend conscious. Likely trendsetters in areas of fashion, beauty and style
– Metro-climbers
– Brand and tech savvy males who have the latest cars, use the latest brands, clothes,
alcohol, gadgets and who are career focused
– Uses their social status and affiliation to being a trend-setter to enhance and extend
their personal social experience
– Geared towards younger females living in B/C counties
– Heavy TV viewers who are more likely to have children
• Step 3: The channel then needs clearly enumerate the key properties of the SET/AXN/Spin consumer that are
desirable to advertisers while raising top-of-mind awareness of the channels as a valuable ad medium
– Create unique advertiser campaigns highlighting the channel’s unique on-air content and its unique
relationship with its audience, when combined, greatly benefit advertisers
– Illustrative example: Brands that appeared on the channels were elevated in the minds of the channel’s
viewers; viewers were so engaged with the programming, they had higher brand opinion and purchase
intent for the integrated brands
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Strategic Roadmap (Cont’d)
In order to focus on creating 3 distinct channel brands, SPT also needs to (1) re-organize management and ad
sales, (2) re-examine programming and marketing and (3) leverage share services and digital cross-platform
opportunities
Management
Latin America and Brazil Head overseeing all channel properties
Channel Management
SET GM
AXN GM
Spin GM
(by Channel vs. territory)
(Latin America and Brazil)
(Latin America and Brazil)
(Latin America and Brazil)
VP Brazil
VP Brazil
na
Brazil focus Mgmt
Shared Ad Sales
Ad Sales
Marketing
GM, Agency and Brand leads across the portfolio
SET Ad Sales Team
(Channel lead w/ team by Country)
AXN Ad Sales Team
(Channel lead w/ team by Country)
Spin Ad Sales Team (channel
lead for region)
VP
VP
VP
(1) Create differentiation among brands, (2) build consumer relevance and (3) build brand awareness among
advertiser community
VP
Programming
Shared Services
Digital Team
VP
VP
(1) Select programming initiatives by country with focus on a key tent-pole, (2) fewer output deals and (3)
acquire specific consumer focused programs for each distinct brand (4) more specific local production (5)
more (not less) investment on programming/production
Affiliate, Creative, On-Air Programming, IT, Tech Ops, Finance, HR etc.
SET specific and complement to Crackle’s
Women’s Channel
AXN specific and complement to
Crackle
Spin specific and complement to
Crackle’s localized programming
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