SABC1 plummets in advertiser value

2012-06-16 17:57

SABC1 has lost 9.3% of its viewers in the past year, yet it has increased its advertising rates by a staggering 34.4%, making it an unattractive prospect for advertisers.

That’s according to data released on Friday by Media Manager in its Media Inflation Watch 2012 survey, the advertising world’s trend bible.

South African business spends an estimated R20 billion a year placing advertising in the media.

This comparative survey helps businesses determine the value of the ad space that media buyers will book for them.

“It’s an alarmingly high set of data,” says Media Manager’s Andrew Glanville.

“It translates to SABC1 losing 48% of its value to advertisers within the space of a year.”

This means advertisers will tell the SABC its rates are too high for the returns offered.

SABC1 charges up to R130 000 per 30-second advertising slot in prime time. SABC2 didn’t fare much better in the survey, with the only channel to buck the trend.

It strengthened its value by 0.1% by not trying to match SABC’s aggressive rates hike.

After TV, it was radio that delivered the next poorest results, losing listeners and falling 14% in advertising value, and pushing back its gains of the past few years.

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