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The Show Must Go On, But Forget An Encore

The Eurovision Song Contest may be a bit cheesy but it ain’t cheap. For public broadcasters hosting the ESC is an opportunity to step into an international spotlight and show what they can do with a high profile musical event. For those facing budget pressures, the ESC is a challenge, and increasingly so.

eurovision Song Contest logo 2010After Norwegian singer Alexander Rybak won at the ESC finals in Moscow last year, Norwegian public broadcaster NRK was obliged to produce this year’s programs. To pay for staging two semi-final and the final contest broadcasts NRK had to adjust its budget. TV drama productions were deferred until 2011, as were projects to provide access to the hearing impaired, reported Aftenposten (May 19). Certain sports rights were sold on to commercial broadcasters.

NRK’s cost of producing the ESC plus everything that goes with it is about NOK 200 million (about €24.5 million). Ticket revenue from the three events defrays a not insignificant part of those costs. Ticket sales, particularly for the two semi-final events, haven’t gone well. The European Broadcasting Union (EBU), which organizes the annual Eurovision Song Contest, changed rules creating two semi-finals after criticism from, largely, Western European public broadcasters about bloc voting leading to Eastern European winners.

“There has been a little alarm,” said NRK General Director Hans-Tore Bjerkaas, saying not so many people want to travel to Olso. He blames that darned volcano. Then, too, security costs have risen and Bjerkaas has appealed to the Norwegian Ministry of Culture.

Not giving up an opportunity to criticize, Aftenposten followed up later in the week (May 20) with a survey showing 43% of Norwegians negative toward NRK’s spending license fee money for the ESC. Young people and the elderly were the most negative, those in between most positive. “The elders feel the program is too young and modern,” said Thore Gaard Olaussen, CEO of Respons Analyse, the company conducting the survey for Aftenposten. Overall, 32% of Norwegians were positive.

The 2009 ESC held in Moscow and broadcast from State television Channel One cost about €27 million. “The profit does not matter,” said Channel One General Manager Konstantin Ernst to Pravda (May 7, 2009) ahead of last years ESC. “The inner political effect; that’s what matters here.”

Should the Norway’s contestant in this years ESC Didrik Solli-Tangen win 42% of his fellow countrymen said they’d not like to see an encore presentation in Norway. Nearly half – 47% - would like NRK to have a go at it again. But only 6% of Norwegians felt ESC lightening would strike twice in two years.

“It is incredibly difficult to take on such an event again,” Bjerkaas told Kampanje (May 19) when asked about the possibility of Norway’s ESC entry winning two years running. “NRK cannot take on such an event two years in a row without getting most of the costs covered.”

University of Iceland scientists keep saying volcano Eyjafjallajökull remains unpredictable. And so, it seems, are economics. But, you know, the show must go on.

 


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