Métropole Télévision (Groupe M6) SA SWOT and PESTLE Analysis

Strength

1. Powerful and consistent TV channel portfolio of 4 FTA and 13 thematic TV channels: Developed in 1987 around the M6 channel, over the years Métropole Télévision Group has become a powerful multimedia group, offering a wide range of programmes, products and services available on a wide variety of media: television, radio, internet, etc. The programming of M6, the second largest commercial channel in the market, is complemented by the other free-to-air channels, W9, 6ter and Gulli. The family of pay TV channels (Paris Première, Téva, sérieclub, Canal J, Tiji, M6 Music, MCM, MCM Top and RFM TV) enhances the Group’s range of programming, with extensive presence across all broadcast platforms. All these channels are available on the 6play entertainment platform. M6 Group has owned three radio stations, RTL, RTL2 and Fun Radio, since 2017, and now has a much broader multimedia portfolio. Moreover, the Group decided very early on to position itself on the production and audiovisual rights distribution markets, notably in order to provide the TV channels with high quality content. Lastly, building on its brands, content, and air and advertising time available across all its media, M6 Group has gradually expanded its activities by means of diversification. Conscious of developing synergies in its programmes, and of responding to and anticipating the expectations of its various audiences as well as their new viewing patterns, M6 Group has emerged as a content publisher firmly anchored in the new technology era. M6 Group’s main business is television edition and broadcasting, operated via a portfolio of channels that includes Free-to-air Channels (M6, W9, 6ter and Gulli), Pay-TV channels (Paris Première, Téva, sérieclub, Canal J, Tiji, M6 Music, MCM, MCM Top and RFM TV) and TV entertainment platforms such as 6play. In addition, M6 Publicité – M6 channel’s historical sales house, whose development it has supported – is currently responsible for marketing TV, radio and internet advertising space.

2. The company has a diverse portfolio with strong, differentiating brands: M6 Groupe has strong, differentiating and long-lasting brands which allow it to grab a significant market share ad enjoy high viewership. Its’ shows such as Top Chef, L’Amour and channels such as Cuisine AZ have brought the Groupe some of the best ratings and historical high seasons. to M6 was one of the first TV channels to capitalize on its brands, its marketing expertise and its knowledge of the various audiences’ expectations to extend its offer to products and services and diversify its sources of revenue, and as such pursue several complementary objectives: setting up new growth drivers, seizing new development opportunities, lessening its dependence on the advertising market. M6 Group has historically built a diversification business using the power of its media to develop its market share in distance selling, particularly through the use of TV air time. Ventadis, which allies teleshopping and e-commerce, is the name of M6 Group’s distance-selling business that combines stores specializing in selling niche goods. The growth in distance-selling activities is linked to consumer spending, as well as to the change in purchasing behaviors with the development and generalization of online purchase (e-commerce). The Groupe is the second largest advertising sales house in France, a leading content producer and owner of various successful radio stations in France. The Groupe’s acquisition and expansion strategy is also extremely successful. It has strategically partnered with leading French photo product providers, M6 mobile Orange, Credit Agricole to target young audiences and Girondins de Bordeaux FC.

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Weakness

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Opportunity

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Threat

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Political

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Economic

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Social

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Technological

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Legal

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Environmental

1. Companies reducing carbon emissions from business operations: The Group strives daily to reduce its impact on the environment in all areas of the company: the energy consumption of the buildings, water, waste, travel, vehicle fleet, paper, etc. The Group has therefore adopted a proactive approach with an adjustment of the requirements each year on the main environmental indicators. Electricity consumption fell significantly in 2020 (down 12%) as a result of lower usage of the buildings and equipment during the lockdown periods, when remote working was widespread. It also benefited from the sale of the home shopping operations, which were excluded from the reporting scope from 1 October 2020, as well as from the Group’s ongoing efforts to make energy savings. Lastly, it included (unlike the 2019 data) the energy usage of the Youth TV division (formerly Lagardère), which moved into the Group’s existing premises in Neuilly in 2020. In addition, 2020 was notable for the implementation, from January 2020 of new contracts for the supply of electricity certified as from 100% renewable sources for the Neuilly buildings. These contracts cover 89% of the Group’s total consumption, thereby underlining its deep commitment to protecting the environment and combatting climate change. Thanks to this “green” electricity, this commitment led to a 32% reduction in CO2 emissions. None of M6 Group's sites is subject to the EU Directive on greenhouse gas emission allowances. However, the CO2 emissions caused by the energy consumption of the Neuilly building, which is owned and rented out by the Group, and of Rungis, Lille, Paris, and Lyon, as well as the business and commuter travel of employees, are all monitored annually as part of the environmental impact. The assessment of these emissions over the last three years is presented below. The Groupe also has a policy aimed at reducing carbon emissions from its vehicles.

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