Doping for private individuals?
Guest commentary No other broadcaster offers such a good advertising environment as those of SRG, says Matthias Künzler.
Guest commentary No other broadcaster offers such a good advertising environment as that of the SRG, says Matthias Künzler.public service by the SRG - commerce by the private sector. This is how the division of tasks between public and private broadcasting looks, at least when it comes to regulating commercial financing in the new Radio and Television Act and the associated ordinance: The SRG's advertising and sponsorship opportunities are now limited, while those of the private broadcasters are increased. It is hoped that the advertising funds freed up by public broadcasting could flow into the private broadcasting sector. This should have a stimulating effect on the development of private radio and television - like the doping drug EPO on the performance of cyclists. The logic of the equation is plausible, but it is unlikely to work in reality: Ireland tried to encourage the private sector with advertising restrictions on public broadcasting as early as 1988. However, a rapid increase in revenues for Irish private broadcasters failed to materialize. This has to do with structural problems in small states, which also affect Switzerland: As in Ireland, the development opportunities of private stations are limited because of the small market and the competition radiating in from other countries with the same language (the German private station RTL, for example, already has six times more money available than SF with fee and advertising financing combined).
Second, Switzerland is still a print country. More than 70 percent of total advertising revenue goes to the press, less than 20 percent to television. This is different in Germany: The total share of the press is less than 50 percent, while that of television is over 40 percent.
Thirdly, the question arises as to whether excessive advertising restrictions for SRG are in the interests of the advertising industry at all. After all, no other Swiss broadcaster can offer such a good advertising environment in the TV sector in terms of market share, reach and reputation of the programs - even the new private TV station 3+ will not be able to change that any time soon.
Conclusion: Doping-like effects on the performance of the private broadcasting sector are not to be expected from the additional advertising restrictions on public broadcasting. Those with many years of experience in the Swiss media industry seem to know this: The major Swiss publishing houses, contrary to their usual credo of rejecting state intervention in the market, have fought to maintain and increase fee-splitting. After all, they want to ensure that their stakes in regional radio and television stations are on a sound financial footing.
Matthias Künzler is a lecturer at the Institute of Mass Communication and Media Research (IPMZ) at the University of Zurich.
Second, Switzerland is still a print country. More than 70 percent of total advertising revenue goes to the press, less than 20 percent to television. This is different in Germany: The total share of the press is less than 50 percent, while that of television is over 40 percent.
Thirdly, the question arises as to whether excessive advertising restrictions for SRG are in the interests of the advertising industry at all. After all, no other Swiss broadcaster can offer such a good advertising environment in the TV sector in terms of market share, reach and reputation of the programs - even the new private TV station 3+ will not be able to change that any time soon.
Conclusion: Doping-like effects on the performance of the private broadcasting sector are not to be expected from the additional advertising restrictions on public broadcasting. Those with many years of experience in the Swiss media industry seem to know this: The major Swiss publishing houses, contrary to their usual credo of rejecting state intervention in the market, have fought to maintain and increase fee-splitting. After all, they want to ensure that their stakes in regional radio and television stations are on a sound financial footing.
Matthias Künzler is a lecturer at the Institute of Mass Communication and Media Research (IPMZ) at the University of Zurich.
