Rogers has another big problem. Corus acquired long term rights to many of the Canadian programs it telecast on its Canadianized channels such as Food and HGTV. So shows like Property Bros, continue on Home, Global, etc. They were meeting significant CRTC requirements on Food Network and HGTV. Rogers probably doesn't have much of a Canadian catalogue of shows that fit those channels., and they're too cheap to produce stuff. Witness the cancellation of Cityline, etc.
Then there's the growing number of FAST TV channels on platforms such as Roku, Samsung, etc. We get plenty of good cuisine channels, do it yourself, etc. on the FAST TV channels, for free. My daughter doesn't subscribe to Bell, or Rogers - she's very happy with the quality of the Roku FAST channels - for free.
What's going to motivate us to subscribe to Rogers' channels if they get carried on Bell? We cut back our Bell TV monthly TV expenditure package by 70% - because we've switched viewing to Bon Appetit channel on Samsung, the Property bros Channel, and Architectural Digest channel and lots of other DIY channels for free.
And if you like cooking shows, there's no shortage of them on WNED-TV HD-2 - which we receive on an antenna. To get any kind of significant penetration on most cable platforms Rogers is going to have to give these channels away for free, or a very low per subscriber fee. If you don't subscribe to a top-tier (expensive) Cable or satellite package, you're not likely to buy Rogers' channels at $4 per month a-la-carte - and that's per channel. That's the minimum price Bell charges. It's insane.
Rogers' new negotiating strategy with (Canadian) programming services is to offer them a few cents per month, calculated on their "basic sub" numbers - in other words, rogers has 2 million "basic subs" - times a few cents per month. That number varies per month and is usually headed downwards as the cable universe shrinks. It is a pittance versus what Canadian services used to receive on a per-subscriber basis in the large cable packages. The couple of cents per month, calculated on the "basic sub" universe could provide Rogers with some level of wider carriage. But subscriber revenues are pretty small, versus what Corus earned in the past from the cable and satellite cos for the same "US Branded" channels. These are the facts of life in 2025. I have first-hand knowledge of cableco deals - as recently as 3 weeks ago..
In order to attract significant national advertsing revenue a cable tv channel in Canada needs to be in at least 700,000 households. It may be even higher now. My friends who operate TV networks tell me that's a requirement. Why? Because that is the minimum base at which there would be enough "viewing" subscribers to "trigger" some Numeris meters. We're not even talking stellar ratings numbers.... That's a tough number of households to achieve unless a service is in high penetration cable and satellite packages. Sure, Rogers has a good subscriber base with their systems and the former Shaw systems, but they need hundreds of thousands of additional households, in order to acquire enough numeris household to support and sustain reasonable advertising rates.
Strike three against Rogers, is that Corus, cleverly has sold packages to a number of top tier advertser "partners" for Home and Flavour. So why would those national advertisers spend "real" money with Rogers without ratings and sufficient national distribution. Rogers will probably provide a lot of reduced price or free inventory to advertisers, but that doesn't enhance their bottom line. You'll see endless ads for Rogers' products, Mocha and what's his name, and other Rogers stations. All of those (free) advertising avails are not going to generate what Rogers needs to pay Warner-Discovery (program output and trandemark/brandling licence fees) and Canadian TV producers. Perhaps I'm wrong, but after more than a half century in this industry, and still working every day...that's my take.
There's also a complaint before the CRTC by Corus versus Rogers regarding (recent) Rogers' tactics. Here's the link.
Corus Entertainment Inc.
Corus Entertainment Inc. v Rogers Communications Canada Inc. complaint concerning a breach of Sections 9 of the Broadcasting Distribution Regulations and conditions of service related to the Wholesale Code
Accros Canada
Food Network Canada; HGTV Canada
2024-0573-7
Last edited by tvguy (January 7, 2025 6:44 pm)