The Hindu Business Line : Ten Sports' move to hike ad rates may hit roadblock

TEN Sports' plans of raking in additional moolah by jacking up ad rates, courtesy Doordashan's wider reach, may not cut ice with the advertising community.

Today, Mr Chris McDonald, CEO, Taj Television, Dubai said that the channel may consider re-negotiating rates after it has managed to sell off most of its inventory. "It's a challenge. We will see how to deal with it," he said.

The interest by advertisers for the ongoing series has been very high with rates going up to as much as Rs 5 lakh for a 10-second spot compared to Rs 3-3.5 lakh for a 10-seconder.

But media planners told Business Line that it is unlikely that they would pay a higher rate. "The channel could charge a higher rate for the last unsold inventory. But it is unlikely that advertisers who have already signed on will agree to pay more," said a Mumbai-based media planner.

They also added that the advertising was bought on Ten Sports, which is a cable and satellite channel and not on DD. "We can ask Ten Sports not to air our ads on DD. Will that be possible? In fact, since the matches are being shown on DD in public interest, how can they make a commercial killing out of this," he added.

Another media planner questioned the disparity in rates between DD and Ten Sports. DD with a 80-million-households reach had charged Rs 2 lakh for a 10-seconder for the first One Day International (ODI), but Ten Sports with lower connectivity charged higher rates.

The industry has estimated the total mass media advertising during the series to be at Rs 200 crore, with television having the highest share with Rs 130 crore, on-ground placements accounted for Rs 40 crore while the rest is being spent on the print media. The list of advertisers for the cricket series is almost endless.

Samsung, which is the title sponsor, is believed to have doled out Rs 15 crore, while Bajaj is the presenting sponsor. LG and Hero Honda, the associate sponsors have spent Rs 8 crore each.

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