Election fuels media boom

The Philippines is looking at a sharp spike in media billings in the first five months of this year, fuelled by national and local elections in May. "The entire economy is buoyed every time we have an election; it creates an artificial boom," observed Campaigns & Grey group chairman Yolanda Villanueva-Ong. "The difference this time is that some of the money will flow into media." On February 7, politicians finally legalised the Fair Election Act to lift a 15-year ban on political advertising in time for the election. Conservatively, this is expected to result in a three billion peso (USdollars 60 million) windfall just from candidates campaigning for 12 senate seats that are up for grabs. One media director reached this calculation based on senate candidates - 24 have since emerged - spending between 30 to 40 per cent of their budget, higher than the 10 per cent ceiling allowed for election advertising. On paper, senate candidates are allowed a maximum budget of 90 million pesos, but conventional wisdom is betting unofficial spending levels will balloon to as much as 600 million pesos per candidate because of the large numbers vying for office. If the 10 per cent ceiling is followed, each candidate should be spending just 18 million pesos each on advertising. "I assure you, a senate candidate will not get elected for only 90 million pesos," said Ramon Osorio, president of Campaigns Advocacy and PR, an affiliate of Campaigns & Grey. The rate for a 30-second exposure on prime-time television will cost 120,000 pesos, falling to between 70,000 and 80,000 pesos for regular programming, while a full-page black and white print ad sells for 118,000 pesos and 10 per cent more for colour. "What will happen is that friends and relatives will advertise on behalf of the candidate. This is not counted as part of the official campaign budget," said the media chief. Seen as the most efficient vehicle in reaching voters across the archipelago, radio is tipped to gobble up the lion's share of ad dollars. Ultimately, this will benefit broadcasters since many also own radio stations. - Additional reporting by Lee Chipongian, Manila (See also Page 10).

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