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At the CRTC's BDU and specialty hearing in April, the Association of Canadian Advertisers (ACA) will propose that TV advertising should be allowed on video-on-demand programs and that the 12-minute per hour advertising cap on specialty TV shows should be maintained.
The ACA argues, " 'we feel strongly that we have made a long-term investment in commercial broadcasting as an advertising medium. We want to protect that investment.' " In order to do that, the Association wants to ensure that it always exists as a medium for advertisers, even if viewing shifts towards on-demand programming.
Bob Reaume, ACA's VP of policy and research argues, " 'shouldn't viewers have the option to pay the full price for [VOD programs], pay half price and take a couple of ads, or take four or five ads and not pay anything?' " He adds, " 'the whole broadcast system in terms of content is changing and if the commission wants advertisers' support to continue for drama, we think [VOD] is where it's gong so let's allow us to provide a supportive role in the future.' "
Advertisers also want to ensure there is value in TV, which would be reduced if the amount of advertising per hour is increased. The CRTC lifted the cap off the 12-minute per hour advertising limit during primetime for conventional broadcasters, despite opposition by the ACA. The commission is considering a similar change for specialty channels, which the ACA is also against.
Reaume explains, " 'sixteen minutes an hour of commercials is a much different environment for commercials.' " He points out that " 'it's clutter for us. And if they're going to increase the [advertising] inventory, only those broadcasters with the top 20 shows will benefit because they will sell out to the increased limit.' "
Source: Tech Media Reports, 03/18/2008
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