Media & MArketing/Emmet Oliver: There will be little fresh investment or many new initiatives in the television sector as long as advertising rates in the Republic remain among the lowest in Europe, the head of TV3's sales and marketing division has said.
Mr Pat Kiely, who previously worked with agencies like Saatchi & Saatchi and DDFH&B, is responsible for TV3's ad business, as well as its sponsorship and marketing activities. However with nine channels now chasing the €200 million of annual gross ad spend, competition is intense.
The 34-year-old says over recent years RTÉ has dropped its ad rates by 20 to 30 per cent in some audience categories and this has changed the whole market. TV3 has submitted a complaint to the Competition Authority on this issue of predatory pricing in relation to ad rates.
While advertisers are getting great deals for their clients at present, he says, the long-term future of the television sector in the Republic is being harmed.
"I have been that soldier in terms of being a media buyer.
"But I have to say there is little chance of new channels or new services based on prices in the market right now. It is good news in the short term, but I am not so sure about the long term," he says.
The nine channels now chasing ad revenue in the Republic are: RTÉ 1, Network 2, TV3, TG4, Sky One, Sky News, E4, UTV and Channel 4.
According to industry observers, the British channels are devoting more and more resources to the Irish market.
"We are in a unique position in that we are the only channel totally dependent on Irish advertising.
The others are either British broadcasters or they are stations getting public money," he says.
"The market has been flat so far this year, although we have experienced growth. Its high single digit growth," he says.
He explains that two major hits for the station this year have helped keep the revenue firm, Champions League soccer (particularly the match involving Manchester United and Real Madrid) and the Richard Hillman killing spree in Coronation Street, which attracted a total viewing audience of 802,000.
While RTÉ 1 remains out in front of TV3 among all adults, Kiely says among the 15 to 34 age group things are tighter with RTÉ 1 at 26 per cent; TV3 at 16 per cent; Network 2 at 15 per cent; UTV at 10 per cent; BBC1 at 7 per cent; and Channel 4 at 5 per cent and Sky One at 5 per cent.
The station will shortly present its case to advertising agencies to book space with the new talk show fronted by Eamon Dunphy. "It will be like the launch of TV3 in microcosm," says Kiely.
World Newspaper Congress
Dublin is to host one of the most important events in the newspaper and publishing calendar next week as the World Newspaper Congress comes to town.
Organised by the World Association of Newspapers (WAN) there will be presentations by many of the world's newspaper leaders at the event which starts on Monday.
The event gives newspaper owners, managers and editors an annual opportunity to get a full update on trends, innovations and strategies impacting the global newspaper industry.
Among the international media owners due to take part is Lord Conrad Black, owner of the Daily Telegraph, the Chicago Sun Times and the Jerusalem Post.
He will talk about strategies in the new business environment.
A team of consultants from the Innovation International Media Consulting Group will this year look at a new range of issues, including: advertising tools for on-line newspaper websites; newspapers that run TV news outlets; the best multimedia convergence cases in the world; news supplements and newspaper magazines; multimedia newsrooms and an update on free newspapers.
Sir Martin Sorrell, group chief executive of WPP, one of the world's biggest advertising and marketing groups, will explain his vision on the evolution of the global advertising situation.
Irish media representatives, including management and editorial figures from The Irish Times, will be taking part in the congress.
The 10th World Editor's Forum will also be part of the event.
New Lyric boss
RTÉ has appointed Mr Aodán O'Dubhghaill as the new head of Lyric FM, the struggling classical station. Mr O'Dubhghaill, who has been with RTÉ for 24 years, worked as a member of the creative team that set up Lyric FM, prior to its launch in May 1999. Media&Marketing
