TF1: Goldbach reacts meekly, Publisuisse concerned

Last year, Goldbach Media succeeded in positioning itself as the sole marketer for private TV advertising in Switzerland. But the monopoly was short-lived. Starting in September, a new advertising window entered the scene in western Switzerland with TF1, which is now being marketed by Ringier (TF1: Ringier enters the TV marketing business). Goldbach Media, which also applied for TF1 marketing, lost out not least because the company already markets the advertising window of TF1's fierce competitor M6. How are they responding to the new situation? Michi Frank, CEO of Goldbach Media and otherwise not at a loss for words, did not want to comment this time, but left this task to Jürg Bachmann, who is responsible for digital projects at Goldbach Group.

Bachmann begins by noting that the TV market in French-speaking Switzerland cannot be compared with that in German-speaking Switzerland, as it is much more dominated by SRG. With the new situation, however, TV in French-speaking Switzerland is "generally gaining in importance". Goldbach Media therefore welcomes the entry of another competitor into the Swiss TV advertising market. Bachmann goes on to write: "If you compare the duration of use with the advertising investments of the various media types, TV still has a great deal of untapped potential. The fact that TV in French-speaking Switzerland has not developed further in recent years can be attributed primarily to the years of obstructionist tactics by French-speaking Swiss TV (TSR)." Bachmann is referring to SRG's attempt to prevent the M6 advertising window by all legal means. It was in vain in the end.

Goldbach mimes the good loser

And what is Goldbach's position on the new marketing competitor Ringier? Since the TV market in French-speaking Switzerland is "much more dominated by SRG" than in German-speaking Switzerland, it is also "positive for Goldbach that another private provider is now entering the market, because it makes the medium of TV even more attractive.

Bachmann also sees the consequences for the advertising market in French-speaking Switzerland as positive. "Advertisers will be able to place their TV ads in an even more targeted way, which will make TV more attractive as an advertising medium. We welcome this development." However, Bachmann does not want to get into a discussion about the specific impact on M6 and its spot prices and future advertising revenues. "M6 has published its prices for the 2nd half of 2011. We do not yet know how the station will react to TF1's offer," he writes.

Publisuisse: Happy about another TV marketer

SRG marketer Publisuisse, which like its parent company SRG is naturally not happy about (further) advertising windows, is however positive about Ringier's entry into TV marketing. "A new strong TV marketer is good for the market," says François Besençon, member of the Publisuisse management board. However, the foreseeable consequences for French-speaking Switzerland make him more pensive: "We assume that the TF1 advertising window in French-speaking Switzerland will lead to a partial redistribution of advertising funds - not only in the TV sector, but in all media. The advertising pie won't get any bigger, everyone will have to cede something - TSR, however, probably less than the private stations and print. In addition, spot prices will come under pressure."

No 180-degree turnaround

Besençon has no sympathy for the Press Association of French-speaking Switzerland (Presse Suisse), which today accused Publisuisse and SRG of a 180-degree U-turn - because after years of fighting against advertising windows, they are now suddenly making the Publiplan planning tool available to Ringier. This would facilitate SRG's entry of TF1 into the French-speaking Swiss market. Besençon states: "We are giving Publiplan to everyone who has a use for it. The regional TVs and radios in German-speaking Switzerland use it just as much as those in French-speaking Switzerland. And Publicitas Cinecom is also using it until the end of 2010." It is also wrong to claim that Publisuisse receives a commission from TF1 for each commercial transmitted via Publiplan. He also stressed that SRG had not changed its position on advertising windows at all. It still regrets their existence, as they generate millions of euros in lost revenue. Therefore, the advertising windows of M6 and TF1 will continue to be fought - but now on a commercial level.

Markus Knöpfli

(Image: Ringier)