TiTV transformation may spark rate rise

BANGKOK - Thai advertisers are unlikely to be affected by the transformation of TiTV into a public broadcaster, although airtime fees are expected to rise.

The Thai TV station is set to go ad-free and will change its operations to become a fully public television station from early 2008.

TiTV also stands to lose up to four million baht (US$12.7 million) in revenue from the change, mostly from advertising, predict media buyers.

Advertisers have been gradually reducing spend with the station since its troubles began in 2006, when it was taken over by the Government and renamed.

“Most media agencies have redirected spend to other channels,” said Narong Tresuchon, GM, OMD Thailand. “I’m worried about the content of TiTV’s programmes. Who’s going to finance it? Nobody will watch it if the programmes aren’t good.”

With one less platform to advertise on, airtime rates are set to rise, says Wannee Ruttanaphon, Chairman of Initiative. Channel 3 has announced that it will be increasing airtime rates by January. Channel 7 and others are expected to follow.