Television advertising demand is slowing as the TV ratings blackout continues ahead of the festive season, according to a report by The Economic Times today.
BARC India has withheld TV ratings since week 24 following an Information and Broadcasting Ministry directive. BARC India released ratings for the April-June quarter only up to week 24.
The lack of fresh ratings is making advertisers more cautious as they do not have updated data on viewership across TV channels and programmes.
According to industry data cited by ET, TV free commercial time (FCT) consumption fell to a three-year low in July. FCT consumption declined by around 10-12 percent in Hindi-speaking markets and southern India. Hindi, Kannada and Malayalam general entertainment channels recorded a sharper decline of around 20-24 percent.
TV news channels have also been affected, with industry estimates pointing to a 4-7 percent decline in advertising revenue. Hindi news channels have recorded a sharper decline.
The ratings blackout is creating challenges for broadcasters ahead of Independence Day and the festive season, when channels usually attract advertisers through special programming and movie premieres.
A senior marketing leader said advertisers could continue using historical ratings data for media planning and expected ratings to resume soon. However, the Information and Broadcasting Ministry has not indicated when TV ratings will resume.
The shift in consumer behaviour towards on-demand content on OTT platforms and advertisers’ growing focus on measurable, performance-based advertising are also putting pressure on traditional TV advertising.
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