Price changes in TV advertising in 2019

Demand for advertising time on TV increases year by year. Meanwhile, its supply remains at a similar level. This leads to a situation in which TV stations are not able to complete full orders or implement them in lower quality bands.

The way to do this is to raise prices or to build such an offer that encourages advertisers to invest in a pricing purchase – more expensive but enabling the purchase of desired advertising blocks.

TVN and TVP annually publish an official trade policy, based on which we can see what changes in prices will take place in 2019.

TVN:

  • resignation from package buying on TVN and, in return, the introduction of the TVN MAX package, including GRP packages on TVN and TVN7 in a 70/30 ratio; it can really mean a raise
  • a smaller rebate for the rate card buying, while increasing the level at which it is awarded
  • significant increase in CPP for thematic channels compared to 2018
  • promoting the rate card, not only on the main TVN but also on TVN7.

Changes in TVP:

  • CPP increase in package buying by 6-11% depending on the size of the investment, increased CPP subsidies in prime time
  • TVP’s portfolio expanded its products portfolio with a few new stations and added the additional payment for resignation in the campaign from selected channels increased.

For example, by implementing the campaign in 2018 in four thematic stations, we paid extra for resignation from the other 10% channels. In 2019 it is already 20%.

The growing demand for advertising campaigns on television, with the station’s unchanged level of advertising resources, forces advertisers to search for methods of more precise and creative campaign construction.

For customers with smaller budgets, television will still be an attractive medium. Ensuring high-quality campaigns will, however, require the use of precision planning tools to a greater extent: price-list buying, limiting the number of stations to the best suited, taking into account the right amount of prime time, etc.