MANILA - Lopez-controlled media giant ABS-CBN Broadcasting Corp. will raise its ad rates by 8 percent on August 1, after a six-month moratorium announced in late January.
“From a pricing perspective, we eased the pain [brought by the global economic meltdown] by actually announcing a rate moratorium until July and, at the same time, we were focused on actually improving all the programs we had including the mix that we wanted to have especially during primetime [hours],” said head for Channel 2 sales Jose Agustin Benitez Jr.
Asked if there’s a possibility to extend the moratorium until the end of the year, he said, “since things are picking up, we thought implementing those rates in August would make a lot of sense.”
This, as the broadcasting firm is seen to record a 12-percent growth in advertising revenues in the second quarter on the back of continued high ratings of its TV shows.
In an interview on Friday, Benitez said ABS-CBN is tracking P3.8 billion in ad revenues this quarter, an increase over the P3.4 billion posted in the same period last year.
For April and May 2009 alone, he said, ad revenues already amounted to P2.5 billion.
“The advertisers are spending because maybe people are buying their products,” said Benitez. Political advocacies have also added to the growth, contributing around 8 percent to the total ad sales.
For her part, Oz Trinidad, head of sales strategic planning, said the market has been very receptive to the various special executions included in sales packages and has effectively strengthened ABS-CBN’s revenue streams outside of commercial spot placements.