Television advertising futures

Lara Sinclair in the Australian reports on FTA tv networks’ and subscription tv’s views of the future of TV advertising. Key points:

  • ‘commercial television industry’ is worth $3.8 billion
  • Channel Seven (national sales director James Warburton) see tv advertising market as “a ‘week-to-week’ proposition”
  • … but likely to grow by 5% in second half of 2008
  • ‘TV market’ grown ‘23%’ in last five years
  • SBS experiencing ’25-30% revenue growth’ (sales director Richard Finlayson) after ‘island’ in-program ad breaks introduced
  • Foxtel strategy is to ‘future-proof television advertising’

Foxtel strategy based on audience self-segmentation/selection via ‘video on demand and interactive services’, presumably the latter referring principally to the IQ box which collects and provides to Foxtel (and to advertisers) more streamlined data on audience behaviour.

So the leading FTA views the future as a weekly horizon (with glimpses of the next 6-12 months), while the leading subscription tv provider thinks it can protect the existing tv advertising market.


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