The National Broadcasting and Telecommunications Commission (NBTC) will regulate the Bt10-billion TV home-shopping market next year through new licensing rules.
Natee Sukonrat, chairman of the NBTC's broadcasting committee, said yesterday that his panel would draft rules for licensing providers of special televised services such as home-shopping channels.
"Home-shopping TV service directly involving product demonstrations, direct sales and electronic commercials is considerably different from normal formats such as news, documentaries, drama, and game and variety shows," Natee explained.
Thus this type of TV channel must be categorised separately and regulated by a separate rule.
Leading local and international retailers are entering the home-shopping business both on cable and satellite TV because more than 65 per cent of Thailand's 22 million households watch programmes via those two media platforms.
Bt10-bn market
By the end of this year, the home-shopping business is expected to grow by 25 per cent to Bt10 billion from Bt7 billion last year, according to the 24-hour O Shopping TV channel. The channel is operated by GMM CJ O Shopping, a joint venture owned 49 per cent by CJ O Shopping, a South Korean home-shopping operator, and 51 per cent by Thai music and entertainment giant GMM Grammy.
As well, Central Department Store and Saha Group's ICC International have formed a joint venture with Japan's Sumitomo Corporation to operate Shop Channel.
In 2011, GS Shop, a South Korean home-shopping operator, formed a partnership with three leading Thai companies - The Mall Group; CP All, the operator of 7-Eleven convenience stores; and TrueVisions, the country's leading subscription-based TV operator - to launch True Select, a home-shopping channel on TrueVisions' platform.
Meanwhile, among new players, TV Direct is the first operator of a home-shopping channel and is the current market leader with annual sales of Bt2.2 billion.
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