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Corporate Strategy

We help media and entertainment companies develop and implement strategies that accelerate growth and improve top line profitability.

Restrained credit as well as shifts in media consumption can make it difficult for media companies to grow and maintain adequate cash flow. McKinsey works with senior management to address these and other challenges with a range of corporate strategies, including joint venture and acquisition opportunities.

What we do

Our corporate strategy teams take a top-management perspective, helping media and entertainment companies focus on critical issues that affect top-line growth and profitability. Our expertise and experience includes:

  • Realizing the promise and profit potential of global markets: Our network of local media consultants in 36 offices around the world support clients in developing strategies for entering new markets and evaluate capabilities market-by-market to make sure they reflect local needs.
  • Supporting acquisition planning, due diligence, and merger integration: We support mergers that create significant shareholder value by providing informed, objective counsel at all stages of the acquisition process.
  • Managing government and regulatory relationships: Government actions can impact industry profit pools by between 30 and 50 percent, yet most companies do not engage with government stakeholders in a way that reflects the value at stake. We help media and entertainment companies develop national and international negotiation strategies that reflect the interests of all stakeholders.

Examples of our work

  • Helped a mid-sized US media company assess its portfolio of TV stations, cable channels, and newspapers. As a result of our review, the client shifted expectations and capital allocation among properties, refined its corporate organizational model, and began identifying acquisitions that could efficiently leverage its existing business infrastructure.
  • Identified cross-category growth opportunities for an emerging market media company seeking to grow its business and brand presence. We presented business cases for 14 growth opportunities after conducting detailed category assessments and performing internal and external stakeholder interviews, with total revenue potential of $65 million.
  • Developed a long-term strategic plan for a motion picture studio that included rationalizing the 5-year film portfolio to increase returns on investments. The work resulted in major shifts in the genres of films targeted, adjustments to film budgets to better reflect risks and revenue projections, and more use of outside financing.
  • Helped develop a 5-year business plan for a newly merged European pay-tv organization. The plan included developing a pricing methodology to support divestment of several channels required to obtain regulatory approval.

Research and insights

Our corporate strategists regularly conduct original research focused on strategic business growth. Three recent efforts include:

  • The Granularity of Growth, explaining how to identify the sources of growth in an era of hyper-competition and globalization, with the aim of driving enduring company performance.
  • Global Forces research, incorporating original research and insights from more than 1,000 executives, identifying five forces that will restructure the global economy and their implications for global companies.
  • The McKinsey Global Institute, conducting fully independent, McKinsey-funded research projects that combine leading-edge academic economic thinking with real-world expertise in the operations of companies and sectors. Recent media-related projects include big data and its implications for innovation, competition, and productivity and the global economic impact of the Internet.

Featured experts

Adam Bird

Senior Partner, Munich

Laura Corb

Senior Partner, New York

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