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Annual Report -
2013
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Vivendi
Societal, Social and Environmental Information
Corporate Social Responsibility (CSR) Policy
Contribution to value creation of investment in diversity of content
(2013 figures)
To promote cultural diversity in the content offering
To invest in new talent and sign new artists
To promote cultural heritage by exploiting an exceptional catalog of content
Growth in revenues Improved profitability Greater exposure of the brands Value creation
CANAL + GROUP
CANAL+ AND CANALSAT
As Vivendi plans to focus on its media and content activities, and considering the growing demand from the Group’s different stakeholders to
better understand its overall performance, the General Management has launched an integrated reporting pilot project to illustrate how promoting
cultural diversity, one of the strategic issues of Vivendi’s CSR policy, creates societal and financial value while preventing risks and opening up
opportunities to win markets.
INTEGRATED REPORTING PILOT PROJECT
Intangible cultural capital: the impact of the Group's investment in diversity of content on value creation
To promote our audience’s participation in
cultural life, a source of personal fulfillment
To enable increased access to knowledge and
entertainment
To enhance mutual understanding and social ties
Financial Value
Societal Value
CSR Issue
The figures for Canal+ and Canalsat show the direct link between a diversified
original program offering and subscriber satisfaction. The investments by Studiocanal
in European cinematographic works make it possible to develop an offering able to
complement the offerings of the US major film studios on the international market
and to achieve an above-average return compared to its competitors.
The Challenge
Vivendi exerts a human, cultural and intellectual influence on the lives of
millions of customers and citizens worldwide due to the activities of the
Universal Music Group, the world leader in music; the Canal+ Group, the
leading French media company also active in French-speaking Africa as
well as Poland and Vietnam, and its subsidiary Studiocanal, which is a
leading European player in the production, acquisition, and international
distribution and sales of films and TV series. Vivendi has a societal
responsibility to satisfy the curiosity and varied tastes of its audiences on
all continents, to help these audiences achieve their full potential, and to
provide the necessary conditions for them to become open to the world and
exercise their critical judgment.
In addition, cultural diversity is at the heart of Vivendi’s businesses: music,
television and film. Providing rich, original content; signing new artists in
all categories; avoiding creative talent drain; meeting the expectations of
our subscribers; making our platform attractive in a digital environment
that disrupts the well-established practices – these are the goals being
pursued by our businesses as they strive to preserve their leading position
in their respective markets (please refer to diagram below).
The Approach
Vivendi decided to take a pragmatic approach to this pilot project and
to implement it initially on a limited basis at Universal Music France,
Canal+ in France, and Studiocanal. Led by Vivendi’s Corporate Social
Responsibility (CSR) Department, this initiative brought together the
managers in charge of Finance and Strategy of these three entities of
the Group and analysts representing investors (Amundi, Groupama
AM, and Oddo Securities). Indicators establishing the link between
investments in diversity of content and returns were chosen (please
refer below). The materiality of these indicators was then submitted
to analysts for review.
The chief financial officers of Vivendi’s businesses have welcomed
and given their full support to this approach and the analysts whose
views were sought believe it to be innovative, scalable and fully
integrated into the strategy of a key player in the media sector.
The aim is to enhance the value of the pilot project by 2015 through
monitoring indicators and widening the scope of the project to
include other CSR issues, after consultation with the Group’s main
stakeholders.
UNIVERSAL MUSIC FRANCE (excluding Publishing)
Investment devoted to marketing new talent as a percentage of
total investment: 21%
Percentage of revenue earned by new talent: 10%
Percentage of digital revenue and physical revenue earned by
the catalog (works marketed for more than two years)
Weight of physical catalog: 20.3%
Weight of digital catalog: 44.7%
Number of new artists signed: 49
Portion of revenue earned by each musical genre (local, international,
classical and jazz, and compilations)
Local revenue: 53%
International revenue: 26%
Classical and jazz revenue: 8%
Compilation revenue: 13%
For Universal Music France, investing in diverse musical genres increases the
market shares of its different labels; promoting the catalog stimulates digital and
physical sales; and attracting new signatures of confirmed artists or of new talent
provides a rich pool of artistic talent able to contribute to the Company’s
sustainable performance.
Survey results of Canal+ subscribers:
"Canal+ is a truly original network, different from the others":
77% agree
"Canal+ is a network that discovers and showcases new talent":
70% agree
"The films aired by the network are of varied genres": 90% agree
Survey results of Canalsat subscribers:
"Canalsat opens me up to the world and benefits me": 74% agree
STUDIOCANAL
Investment in European cinematographic works as an absolute value
and as a percentage: €129 million out of €181 million, or 71%.
Source : UMF
Source: Canal+ and Canalsat subscriber poll, 2013
Source : Studiocanal
