ATV steps up offer in HK TV ratecard battle

Hargrave-Silk, Atifa
November 2005
Media: Asia's Media & Marketing Newspaper;11/4/2005, p4
This article reports that Asia Television Ltd. will offer advertisers a rating guarantee plan next year in a bid to match rival Television Broadcasts Ltd.' (TVB) offering and boost advertising revenue. TVB, which has increased rates by an average five per cent for 2006--matching the hike proposed by larger competitor TVB--will give advertisers guaranteed rating slots during which their ads will be screened, rather than pre-selected time slots. However, media agencies believe the impact on ATV's ad revenue will be minimal, as the rating guarantee offer's coverage is small, according to KK Tsang, CEO of MindShare Hong Kong. ATV's move, which has taken the industry by surprise, urges advertisers to strike individual deals with TVB, which has been accused of presenting a false picture by claiming to have increased rates by five per cent when, in reality, advertisers could be required to spend 10 to 27 per cent more if they want to keep budgets flat.


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