"The demand for a total ban on SRG advertising is unworldly"

Roland Ehrler, Director of the Swiss Advertisers Association.MK What do you generally think of the idea of this new marketing company?ROLAND EHRLER The SWA is "cautiously optimistic" about this merger. We are curious to see what direction the ComCo's review will take. In our view, a merger makes real sense if it can actually launch innovative offers for advertising clients that would otherwise not have been available or would only have been available much later.MK Was there an urgent need for action for this merger from the perspective of the advertising clients?EHRLER There was no immediate need for action on the part of the SWA. The advertising bookings with the three companies involved worked perfectly. Today, most advertising clients book their advertising through a media agency, which in turn is in operational contact with the three companies.MK What is the greatest benefit that advertisers could derive from this?EHRLER The announced innovative and hopefully also partnership-based offers across several media that help advertising customers to achieve their advertising goals more efficiently.MK What disadvantages does this new marketing player have for advertising clients?EHRLER The concentration of marketing could encourage monopolistic behavior, as we know it from global competition. There, terms and conditions are quickly changed to the disadvantage of advertising customers.MK Do the three different companies fit together at all?EHRLER The three companies are indeed very different and the employees are therefore characterized by very different cultures. The management therefore has a lot to do in a short space of time to turn the three strong personalities into a new, independent identity. The as yet unknown company name will make an important contribution to this.MK Publisuisse, as an SRG subsidiary, has only recently started selling sponsorship on TV. Now online, print and private radio are being added. Is this even possible and is there not a lack of proximity to the marketed content of the media?EHRLER We don't yet know anything about the planned sales organization. Will it be divided according to media groups, across the board or according to customer groups? Product knowledge and proximity to content will certainly play an important role - this should not be lost in the sales force. The wide range of TV, digital, radio and print products will definitely be a challenge, all the more so as these media have previously fought each other and are now to be offered from a single source.MK It has been announced that it will be operational on the market in the first quarter of 2016. Is that realistic?EHRLER If the three companies communicate this in this way, we also expect it to work. The timing will certainly be challenging. As you know, the customer agreements for 2016 have to be made in the next few months, and TV bookings for 2016 will open at the beginning of November. I therefore assume that the three providers will only be able to consolidate these ongoing processes with customers over the course of next year.MK Is this new marketing organization trustworthy for the Swiss Advertisers Association?EHRLER Basically, definitely. In my view, the designated CEO Martin Schneider, the Chairman of the Board Marc Walder and the three renowned shareholders from the Swiss advertising market can count on a great deal of goodwill and trust. This must then be confirmed! The initiators Swisscom, SRG and Ringier argue that the planned merger is in line with the wishes of advertising clients. What do the advertising clients want from the media providers?EHRLER There are many wishes and I'll just mention the most important ones:- A diverse media landscape with high-profile media brands that are accessible for advertising.- Attractive forms of advertising at European-compatible prices and proven performance with little wastage.- Realistic performance values for all media offerings with up-to-date research data and performance guarantees wherever possible.- High-reach media as well as niche offerings with attractive target group affinities. Realistic performance values for all media offerings with up-to-date research data, whenever possible with performance guarantees.- Media with a wide reach as well as niche offerings with attractive target group affinities.- Simple and, if necessary, short-term booking and optimization options in all media.- Fair and transparent forms of cooperation and billing with all partners.MK There was no cross-media advertising offer from a single source!EHRLER Yes, this is not a direct priority for us. The fact is that advertising clients can already implement integrated campaigns across several providers. However, if this merger results in more attractive forms of advertising, this is also in our interest.MK What do you think of all the political fuss caused by the merger?EHRLER If three free-market companies are of the opinion that they want to operate this important advertising business together, politics should not stand in the way of the market. Anything else is a political power play with a view to vested interests. It is therefore unworldly for a publishers' association to call for a total ban on advertising in SRG programs after 50 years of TV advertising! The SWA wants freedom of advertising - and no restrictions in the media, neither for the private sector nor for the SRG.MK Can the new marketer compete with corporate giants such as Google, Facebook and the like?EHRLER There is currently no match for the global market power of the world's largest search engine and many advertising clients are already working very successfully with these global players. These providers have a strong position in the digital market and cover many of the needs of advertising clients extremely well. I don't see the planned Swiss merger having a major impact on the business of these global players at the moment.MK How is the SWA as an association dealing with this announced change in the Swiss advertising market?EHRLER This merger is a high priority for us. We are and will remain in contact with all major market partners and will also report to the Competition Commission.Interview: Simon Wolanin