Lonely Planet to expand as BBC unveils ambitious plan

by Kate Gibbs, Media Week 02-Oct-07

BBC Worldwide, the commercial arm of the BBC, has revealed plans to make the Lonely Planet guidebooks available online and to extend the brand into TV shows, magazines, DVDs and even CDs.

The move follows BBC World-wide's acquisition of 75% of the company
yesterday.The BBC believes that, over the next five years, the deal will
boost web-related revenue by 10% and help to increase overseas revenue

by two-thirds.

The acquisition of the Australian company was funded with part of BBC
Worldwide's £350m borrowing limit. Founders Maureen and Tony
Wheeler will retain a 25% share.

Lonely Planet currently publishes more than 500 titles. It sells 6.5
million books each year in 200 countries and also has a website, a
web-based stock photography agency and a television production house,
Lonely Planet Television.

A BBC spokesman said the transaction would not only be profitable, but
would provide numerous publishing opportunities and increase the BBC's
international presence.

"There is enormous scope for expanding Lonely Planet's output,
particularly with online," he said. "Firstly, we will focus on
dramatically increasing the range of content on the web, but there will
be limitless opportunities to bring the Lonely Planet brand into other
media.

"We are extremely excited, as this deal will bring together two of the
world's best-known brands. Australia already receives a great deal of
BBC programming and there is a real knowledge and love of the brand
there. This deal will increase our presence in that market, as well as
increase our profile in America, Canada and New Zealand.

"We have been looking for the right deal in Australia for some time now
and, commercially, this is a coup for us. The opportunities for
cross-fertilisation of content alone are immense."

The BBC has a broad programming slate, including Michael Palin's New
Europe.

In a statement, the Wheelers said: "Joining BBC Worldwide allows us to
secure the long-term future of our company within a globally recognised
media group. BBC Worldwide provides a platform true to our vision and
values, while allowing us to take the business to the next level."